Vacant land poses a wide range of income-generating opportunities for Arkansas landowners. If you’re curious about how to use your land, it’s important to understand external factors that may impact your options:
- Land-based considerations, such as soil quality, water rights, conservation easements, and local infrastructure.
- Legal considerations, such as zoning laws, permits, tax incentives, habitat protection, liability and insurance, and state and federal land use restrictions.
- Economic and market considerations, such as market demand, investment costs, and potential for diversification.
Unique characteristics, like size, location, and terrain, should also play a role in how you use your land. Understanding your opportunities and limitations allows you to evaluate your viable options.
1. Agriculture and Crop Production
Agriculture is a thriving industry in Arkansas. In fact, it’s the largest industry in the state. If you decide to use your land for crop production, consider high-demand specialty crops suited to the climate, like rice, soybeans, or wheat.
Organic farming can increase your potential earnings; though it costs more to produce, it demands a higher premium. This can be a good option for landowners with smaller parcels who may prefer to target local farmers’ markets.
Arkansas is also home to over 18 million acres of forest land. If you have marketable timber on your land – such as pine, oak-hickory, bottomland hardwood, or cedar – you can generate income by growing trees for lumber or selling to nearby mills.
2. Livestock and Animal Farming
Does your vacant land provide access to flat, open fields or pastures? These landscapes are ideal for poultry, cattle, and swine production. If this is how you choose to use your land, you’ll need to ensure that your property offers water access for the animals you are raising and shelter to protect animals from the elements and natural predators.
Focusing on sustainability can help lower operational costs and increase your potential income from livestock and animal farming. Strategies can include:
- Rotational grazing, which can promote regrowth of native plants and offset greenhouse gas emissions.
- Manure management, which reduces methane emissions and enhances soil health.
- Improving water quality with efficient watering systems, which conserves on-site resources and protects local ecosystems.
- Selecting nutritious, locally sourced feeds, which can improve feed efficiency, reduce food waste, and lower methane emissions.
3. Outdoor Recreation and Hunt Leases
Arkansas offers a variety of picturesque landscapes and a moderate climate throughout most of the year. Landowners with lakeside or river-adjacent land can attract campers, kayakers, and outdoor enthusiasts seeking scenic views. Adding simple infrastructure, such as fire pits, docks, and boat ramps can elevate visitors’ experiences.
Does your land fall on a steep or rugged landscape, or have unique geological features? Consider developing trails for ATV riders and guided hiking tours, or market your land to tourists interested in exploring the state’s natural landscapes.
Additionally, hunting leases provide significant income potential for landowners in Arkansas. Known as the duck capital of the world, the state also boasts exceptional opportunities for whitetail deer, turkey, bear, and even elk hunting in specific areas. By leasing your land for hunting, you can tap into a lucrative market while preserving your property for wildlife and recreational use.
4. Agritourism and Ecotourism
With careful planning and the right land, Arkansas landowners can create unforgettable experiences that attract visitors to their property. Agritourism and ecotourism can diversify your income with consistent revenue while creating positive impacts through community engagement and sustainability.
To be successful, these ventures should be in alignment with the type of land and location. Farmland and orchards, rural locations, and livestock farms are best suited for agritourism experiences:
- Pick-your-own crop experiences
- Farm tours
- Goat yoga
- Petting zoos
- Dairy tours
If your property features scenic or forested lands, wildlife habitats, or is located near Arkansas’s natural attractions, it may be better suited for ecotourism:
- Eco-lodges and camping
- Guided nature walks
- Adventure activities
- Birdwatching and hunting
- Educational tours focused on conservation
5. Carbon Credits and Conservation
As the importance of environmental sustainability grows, Arkansas landowners can generate income through carbon credits. These credits are tradable certificates that represent the reduction or sequestration of carbon dioxide. By managing your land to store carbon—through reforestation, sustainable forestry, or improved agricultural practices—you can participate in carbon credit markets.
Participating in carbon credit programs allows Arkansas landowners to align financial goals with environmental stewardship, making it a win-win opportunity.
Engaging in sustainable land management practices can increase your property’s potential for a successful carbon credit program. Strategies can include:
- Selling conservation easements
- Implementing rotational grazing
- Undertaking reforestation or afforestation efforts
6. Renewable Energy Installations
Landowners in Arkansas can benefit from supportive state policies and growing demand for energy. For example, the state offers financial incentives for renewable energy equipment installation, and the federal Investment Tax Credit (ITC) offers a 30% credit for solar energy projects.
Options like solar farms or wind installations can transform vacant land into long-term revenue streams, allowing you to generate income from a sustainable source with minimal operating costs.
If you’re considering using your land for renewable energy, it’s important to first assess the suitability of your property before consulting local regulations, such as zoning laws, permits, and compliance. Sun exposure and wind patterns are additional factors to consider when deciding whether to focus on solar or wind energy.
7. Real Estate and Development
Investing in real estate and development projects can provide landowners with long-term income potential and increased property value. Opportunities include:
- Residential developments, such as subdivisions, residential neighborhoods, and mobile home parks.
- Commercial developments, such as retail centers, office spaces, and storage facilities.
- Recreational and mixed-use development, such as RV parks, campgrounds, and combined residential, retail, and leisure spaces.
Keep in mind that choosing to develop your land for residential or commercial purposes often means stepping into a landlord role. You’ll be responsible for tenant management, property maintenance, and lease agreements, which can be complex and time-consuming. Working with a landlord representative can ensure that your investment is both profitable and hassle-free.
8. Specialty Business
Landowners who prefer to take on a more creative, unique approach may enjoy investing in a specialty business. As with most land-based opportunities, it’s important to first assess your property’s characteristics and location.
Scenic properties and rural land within a short drive of urban centers work well for event venues, while farmland or properties with large acreage are great options for niche agricultural operations like growing specialty crops or hosting specialty livestock ventures.
Here are some ideas to get you started:
- Wedding venue
- Yoga retreats
- Culinary classes
- Holiday light shows
- Beekeeping operations
- Gourmet mushroom farm
- Pop-up artisan markets
- Roadside stands
- Ice or water vending stations
With the right concept, guidance, and strategy, these businesses can become a source of income and an asset to the local community.
Unlock Your Land’s Potential
Arkansas landowners have a wealth of opportunities to transform vacant land into thriving ventures. By considering the unique aspects of your property, you can choose an option that aligns with your goals and maximizes your land’s potential.
At Saunders Land, we understand that making the most of your property can feel overwhelming. Our team of land experts is here to guide you every step of the way, from evaluating potential uses for your property to connecting you with land for sale that suits your vision.
View our available land listings and take the first step toward realizing your property’s potential.