Key Takeaways
- FarmTogether launched Riviera Avocado Grove, the firm's first avocado-focused investment offering, located in Santa Barbara County, California.
- The investment targets a 10.5% net internal rate of return and 9.3% net cash yield over a 10-year hold period.
- The offering is available as both a crowdfunded investment and a tenancy-in-common structure eligible for 1031 exchanges.
- FarmTogether currently manages approximately $217 million in assets across 51 farmland properties spanning 8 states and 15 crop types.
- The mature Hass avocado grove is supported by a multi-source water system and managed by an experienced local operator with a California permanent crops track record.
FarmTogether Expands Into Avocado Investments
FarmTogether has launched Riviera Avocado Grove, marking the farmland investment manager's first venture into avocado investments. The offering represents an expansion into one of the fastest-growing segments of U.S. permanent cropland, according to the company's announcement on April 15, 2026.
Located in the coastal foothills of Santa Barbara County, California, the property consists of a mature Hass avocado grove in a leading avocado-producing region known for its temperate coastal climate and consistent growing conditions. The asset features a multi-source water system and is managed by a local operator with experience in California permanent crops.
Investment Structure and Returns
The offering is structured as a 10-year hold, targeting a 10.5% net internal rate of return (IRR) and a 9.3% net cash yield. Investors can participate through both crowdfunded investment options and tenancy-in-common structures that may be eligible for 1031 exchanges.
“Avocados represent a notable segment within permanent cropland, driven by sustained consumer demand and constrained domestic supply,” said Gretchen Montague, Head of Farm Management at FarmTogether.
Market Dynamics Drive FarmTogether Strategy
The launch addresses continued growth in U.S. avocado consumption alongside structural constraints on domestic supply. These constraints are driven by geographic limitations, water availability, and production concentration in a small number of regions. Limited scalable acreage in coastal California and increasing reliance on imports to meet demand have created supply constraints in domestic avocado production.
“We view high-quality avocado assets in coastal California as positioned to generate income and long-term value, particularly when supported by strong growing conditions and experienced local operators,” said Montague.
Operational Management and Company Portfolio
Riviera Avocado Grove is operated by an experienced local farm management partner with whom FarmTogether maintains a long-standing relationship. The property's location above Goleta provides proximity to established agricultural infrastructure and access to reliable water resources.
FarmTogether currently manages approximately $217 million in assets across 51 farmland properties spanning 8 states and 15 crop types, with a focus on high-value permanent crop investments in key West Coast growing regions.
