The Herald Bulletin

Evening Update

Local Business

April 10, 2014

Paugh bids nearly $8 million for farmland

ANDERSON — A local businessman purchased more than 800 acres of prime farmland in Delaware and Madison County for almost $8 million during an open bid process.

John Paugh, CEO and president of Carter Express, bought the farmland and plans to keep it for agricultural use, he said Wednesday.

”I am very grateful for the opportunity to purchase the land,” Paugh said. “I believe land, and farmland in particular, is one of the best investments you can make.”

Paugh, whose companies employ more than 750 people locally, was recognized in December as “Entrepreneur of the Year” by the Madison County Chamber of Commerce and Anderson University for his commitment to the area both professionally and personally.

”My current plan is for the land to remain as crop producing farmland for the foreseeable future,” he said.

Approximately 150 people attended the auction at the Horizon Convention Center in Muncie on Tuesday. The Associated Press reported that Paugh outbid five others for the 14 tracts in western Delaware County. Ten of the 14 tracts of land are contiguous and total 557 acres, and one tract is in eastern Madison County.

The property sold for $9,482 per acre, totaling $7.9 million.

That is more than $300 per acre in price than some of the state’s best farmland, according to a survey of land value by Purdue University that estimates value of quality farmland is selling for $9,177 per acre. The survey shows farmland values have increased overall about 19 percent from 2012 to 2013.

In the last year, favorable interest rates, in addition to the high net income from farming, has created demand for farm land while limited availability of farm property has helped to drive up the values of farm land.

Located near Muncie, off Interstate 69 along West Division Road, the property, which had taken Dale and Nina Lee a lifetime to accumulate, sold in less than two hours of bidding. In addition to 833 acres, the land is stretched within a five-mile radius, is 97 percent tillable and the farm has a 156,000-bushel grain bin storage and drying facility.

The Associated Press reported that there was big demand in the auction.

”We appreciate your interest; if you’re done, we’re done,” auctioneer R.D. Schrader said after the bidding reached $7.5 million. “Anybody else?”

After Paugh bid $7.7 million, Schrader told a group of bidders, “You’ve got 2 minutes to beat $7.7 million.”

The bids kept climbing until Paugh bid $7.9 million.

Herald Bulletin reporter Traci Moyer contributed to this story by The Associated Press.

1
Text Only
Local Business
  • Travel restrictions on Interstate 69 this weekend During at least the next eight weekends, travel north of Anderson on Interstate 69 will be restricted as damaged concrete is repaired.

    July 22, 2014

  • Senior housing request continued A request for final plat approval for a senior housing development on property near Madison Park Church of God was continued Tuesday. The Anderson Plan Commission could not consider the request because of a lack of a quorum to conduct business.

    July 22, 2014

  • Street Department purchases 2 pickup trucks The Anderson Street Department received approval to buy two Dodge Ram pickup trucks on Tuesday.

    July 22, 2014

  • FEA - HB0722 - SAVI - 1 Staying strong during adversity

    When doctors told Judy Best she had cancer she was shocked, but she never lost hope.

    July 22, 2014 2 Photos

  • NWS - HB0721 - 4-H parade 3 - DH Scholarship recipients relish parade acknowledgement

    Taylor Jennings and Shelby Farmer took their last stroll around their hometown Sunday. At least, their last before starting college in the fall.

    July 20, 2014 5 Photos

  • Senior housing sought for Madison Park A senior housing development proposed almost six months ago for the Madison Park Church of God property is now moving forward.

    July 20, 2014

  • Wilkerson, Jesse mug Jesse Wilkerson: Unplug to reconnect I am inspired and influenced by people in our community who are creating a legacy of service. These people have disconnected long enough to realize there is more to their life than their job or personal success.

    July 20, 2014 1 Photo

  • BIZ-HB0720-Coldbeer-TM.jpg Brouhaha over cold beer

    Warm beer lines the shelves inside the Ricker’s BP on Eighth Street less than a foot from a refrigerated section, but the convenience store is not planning to move the beer anytime soon. That’s because a state law prohibits Ricker’s from selling cold beer to customers.

    July 19, 2014 1 Photo

  • Biz- HB0720 - HP Cycle Ski Biz Profile- TM Business Profile: Cycle shop owners fix-ated on power sport equipment When Mark Hains and Michael Palmieri opened a service and repair shop for power sport equipment, they were prepared to heavily invest in their dreams.

    July 19, 2014 1 Photo

  • Business People: July 20 A compilation of news items featuring members of the Madison County business community.

    July 19, 2014

Stocks
Hyperlocal Search
Premier Guide
Find a business

Walking Fingers
Maps, Menus, Store hours, Coupons, and more...
Premier Guide