While some NFL quarterbacks like Tom Brady and Patrick Mahomes are investing their fortunes in other professional sports leagues, Cincinnati Bengals quarterback Joe Burrow is traveling a different financial path.
Rather than pay for part ownership of a pickleball or soccer team, the young NFL star recently bought a farm.
Front Office Sports reported Monday that Burrow and a group of roughly two dozen other professional athletes, including Milwaukee Bucks small forward Khris Middleton, are purchasing a 104-acre corn and soy farm in northern Iowa for about $5 million.
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Why buy a farm?
The purchase was arranged by Patricof Co., a firm that connects athletes with investment opportunities. Patricof Co. founder Mark Patricof told the Sports Business Journal that agricultural investments are a smart start for athletes learning about long-term investments.
“It provides really significant downside protection and the opportunity to create a long-term investment strategy that fits the profile of somebody who’s young and can continue to make a lot of money and wants to be conservative with their investment strategy,” he said.
Iowa is the No. 1 producer of corn and the No. 2 producer of soybeans in the country, and the average value of Iowa farmland increased by 17% last year, according to the Des Moines Register.
As part of the arrangement with Patricof, Burrow and the other athletes will lease the land to farmers and eventually buy four more farms. They have eyed a watermelon farm in Oregon as a potential purchase because they offer higher per-acre rent, Front Office Sports reported.
Middleton was attracted to agriculture investment strategy because of its uniqueness and the long-term nature of the deal.
“When I looked at the history of returns, especially how U.S. farms have performed over the last 30 years, including during bad times in the economy, the stability is what stood out,” he said, according to the Sports Business Journal. “I’m always thinking about the long term when it comes to my wealth and how I can provide for my family after I retire.”
Who else bought the farm?
Athletes involved in the farm purchase include:
- Boston Celtics forward Blake Griffin.
- NBA guard Kemba Walker.
- Arizona Cardinals tight end Zach Ertz.
- Cincinnati Bengals defensive end Sam Hubbard.
- Toronto Blue Jays pitcher Kevin Gausman.
