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Grazing lease rates are always a topic of discussion. What's the magic number that should be paid/charged? Obviously there is no “magic number” for rental rates. Determining rental rates is not an exact science. Local demand and supply conditions, anticipated market conditions, and even long standing working relationships can have a bearing on rental rate negotiations. It is in the best interest of both land owners and renters to establish and record rental agreements that are equitable.

The success of the lease depends on meeting the needs of all parties. Both the land owner and...