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Saved the family farm. Now what?

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aalan94
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I'm finally days away from reaching a dream of mine I've had since I was 12 years old: to save our family farm. My mother passed away last year, and knowing I alone among the kids wanted it, gave me first right of refusal to buy it. The executor had it appraised, and the number was steep, but I've put together a plan over the last 6 months that gets me there, and I will close on it this week. Long story short, I have a house to sell yet in the Austin area, so I don't know what my cash/mortgage situation is yet. So I will only know what my full resources will be after everything shakes out. My house should be desireable and fetch good money, but we all know the housing market is jittery, so I can't bank on it until it happens.

My question is, now that I'm the proverbial dog that has caught the car, what do I do with it? Here are the variables:

Me: Work for the state of Texas. My job since the pandemic has become remote. This is huge, as it no longer ties me to living in the Austin area. My boss said as long as I've got reliable internet access and get the tasks he assigns done, I'm fine no matter where I live. My profession (mostly writing and researching) is such that if I change jobs, it is reasonable to expect similar arrangements in the future. Salary pays the bills in my current house and because of ag exemptions, the taxes on the farm are actually LESS than the taxes on my house in town. And they're covered already by the existing arrangements on the farm.

I want to do something valuable with the farm, but here's where it gets tricky. I grew up on this farm. So I have lots of old farm experience and experience with this farm in particular (I can point out the underground water lines to the surprise of my wife, even though they haven't been exposed for 30 years). But we were always part-time farmers, not full-timers and I was always splitting tasks with my siblings. So I have huge gaps in my farming knowledge. This is not too bad, because we currently have tennants who do most of the work. Unless I find a way to really transform the farm in a big way, I'll most likely leave the big sections to them and do more small, manageable agriculture (gardening, possibly raising trees, etc.) on some smaller plots. But I do want to explore options to possibly make it profitable or more so than it is now.

As for my family, my wife has no experience in farming, and my son is still a little too young to help.

The farm: 90 acres in Medina County, near Hondo. Soil is good, productive in good years, but there's no irrigation and without an Edwards well, traditional crops are hardly guaranteed. There are years like the last two, where the grass is almost non-existent. We've got a 60 acre field, plus 25 acres of pastureland. Currently, we have leases on both, with a farmer growing a crop on the field while a neighbor runs a small amount of cattle. The split on the crop in most years covers the taxes, which is fine by me unless I find something better. The cattle isn't much. In fact, my mom only charged him $1 as long as he fixed all the old fences. That deal was worth every dime for the last few years, but now the fences are all brand new and I might need a better arrangement.

The goal options:
1. Just live there, soak up the fresh air, watch the cows out my windows while all my co-workers on their zoom calls live in little suburban houses with loud neighbors playing rap. This I will happily accomplish either way provided my salary pays my bills, which is probably safe unless Biden gets re-elected and turns our economy into Zimbabwe.
2. On the other hand, I'd like to do something with the farm that's productive, valuable and fun. So option 2 is find some small, niche thing that makes a little side money without committing myself and my family to a full-time job, because well, my wife and I have real jobs and my son has this whole school thing. (I don't want to be my dad who gave us each a hoe, pointed to 40 acres of sunflowers and said, "chop them down."). I want my son to work, learn the value of it, but not suffer to no valuable point.
So in this option, I'm thinking of working on some crop that might be manageable on a small scale. We have about 60 legacy pecan trees, out of the 100 we had when I was a kid. Rehabilitating them and maybe planting some new ones we could get all the pecans we wanted but harvesting is a trick, and unless I can see ROI, I'm not investing in equipment heavier than the small tractor we already have. A shaker attachment might be a possibility. I'm also interested in planting and growing trees, anything from pecans and oaks to specialties, and then maybe selling them at least at farmer's markets or maybe to some nurseries. The question is how many can we do with 3 people. Maybe start small and work up to hiring some folks.

3. Now we get to the more ambitious options. I have dreams of getting the farm going at a large scale, and might be able to find some investors if I can find some good fits to do something out there that makes good cash. (Don't anybody say pot or anything related to it, because I ain't no ******* hippie and one of the reasons I left the city was because I was sick of smelling that **** from my neighbors. I have no interest in crops like that. I'd rather turn the place into a damn solar farm and stare at the glare all day).
What I could get interested in is a crop like, say Olives. I few years ago, when I was working at Texas Department of Ag, I toured an olive ranch with the commissioner and the soil at this place was very similar to ours. I'd probably have to do more testing to verify, but we're in the right temperature range that it could work. The reason I liked Olives is that the value per acre was relatively high, so it might be possible to plant a small test grove (knowing of course that the trees take about 7 years at least to be productive), and then use that to build on for a larger grove. Trees appeal to me, as I've said, as I want to reforest some of the land we have in the back that's not really good for anything, and maybe with more ground cover, I could even do some deer leases. Right now, the 60 acres has zero trees and the pasture only has a few, so there's only about 2 acres of forested land on the place. So building up more deer habitat was a goal and that's expanded to maybe looking at trees as a bigger thing. I also expect to hand this to my son, so if I plant trees that I'll never see become fully grown, that's not a loss to me.
We also are looking at livestock. I can run cattle, but my wife and kid are not ready for that, and I like simpler animals with fewer vet bills and other concerns. Chickens are easy, but I don't fancy doing them on a large scale. Goats are also easy, but with the drought we've had recently, I'm hesitant to put something out there that is pretty harsh on the grass we do have. Sheep I've done in the past, but never managed the sheering process. I could look at other animals. Open to anything but fad ones like Emus.

I'm not asking for some panacea, or perfect crop, because every circumstance is different. But I want to take the rudimentary knowledge of a kid who left the farm at 18 to go to A&M and study something other than ag, and rebuild my knowledge base to tackle this problem. A few ideas:
1. What does Agrilife or someone else have out there in terms of programs, training, or something to go back and learn all the stuff I never learned or learned incorrectly?
2. What are resources from other state agencies or USDA or whatever to help someone get into farming?
3. If I did find something that I thought would work and might be within a realm of possibility, could I approach a similar farmer and get their advice/encouragement without coming off as a competitor? For example, I know of an olive farm not too far away that seems to have all the pressing equipment there, so maybe if I planted and sold him the raw olives it could be a win/win. Or something similar with tree farmers. But I would hate to go in and come off like someone trying to cut into their business.
4. I have heard about farm management companies, that basically are regional companies that rent your land for a number of years and split the profits. A guy I met said they did it with his land and it was great, but I'm not sure about how that model works. In the past, we've worked with farmer Joe down the road, and though it's not a lot of money, its easy to manage and it has the benefit of helping keep other family farmers in business, as opposed to a corporation.
5. What would you recommend to someone in this situation. Doing nothing is an option, and if I was older and unable to work, I'd do that. But I can do anything I could ever do (I'm 51), so I want something that's a challenge and that could possibly evolve into something profitable. And who knows, if I get my son in on it, maybe he'll want to do that when he grows up. Or he could just do the part-time-farming like me. But I want to cast the widest possible net for ideas, because there is so much that I don't know but that could be useful.

Rocky Top Aggie
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Check out Ranching for Profit. Sign up for their newsletter now. Read all you can. Attend one of their schools.

Concerning sheep: get hair sheep. They shed so no shearing required.

TRIDENT
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Congratulations! I'd start with getting well settled into my new homestead first. There is bound to be a list of things that need to be sorted out. After that, it appears the pecan grove would bring the best and fastest ROI. I'd get that business going with equipment, packaging, website, etc. GL!
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cheeky
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I'm hearing that you have a remote work job in the public sector (read easily replaceable) that should pay your bills, and a piece of land that is important to you but otherwise a cash flow neutral proposition at best. You seem to have really waded carefully through a multitude of potential revenue enhancements, but the idea of investors and creating something of more value than its current situation seems ambitious. And I know a guy who has tried the olive crop and financially speaking, it will never be in the green. There is hardly any land in Texas buyable today that can support itself in a profitable fashion for the current generation much less the next. If you don't have land that can be developed, then you likely paid too much. Just my city thoughts and don't wish to rain on any parade, but perhaps you need to consider some harsh realities. If that's the lifestyle you seek, don't include positive cash flow as a necessity.
SKY1
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I have 50 +/- acres in Quihi off of FM 2676 not far from the Quihi Gun Club. It's my small portion of the land that's been in my family for 130+ years. I'm 57, getting divorced, selling my McMansion in West Plano and building the awesome getaway place I've always wanted since I was a young man before I had any money. Looked in to farming the land like my grandparents & great-grandparents used to do. Not worth it to me. Plan on it to be my whisky drinkin', BBQ smoking, gun range little slice of heaven.
BrazosDog02
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We live in Medina Co. As well. You're going to want to get the water situation sorted if you are doing any kind of ag stuff. I can't recall a summer when it wasn't 110 on my porch with a good breeze.

If you have a job that will pay your bills, you should keep doing that. You've already identified what that property is good for and that's enjoyment. We live and work on our farm but have gigs that pay the bills and don't require 40 hours a week to generate living wages. That means there is a lot of time to enjoy life and do whatever we want. We have cattle and train horses. The kids compete with them. I enjoy gardening. So, I fenced off an acre to just that. And put in another couple of gardens in other places. Then I use old tractors and implements to work it which is another hobby. For me, I have zero interest in turning any of the above items into "money makers". Yes, we make money on them but their purpose is not for generating income. I can't think of a single thing that would ruin something you love than turning it into a job. That's my personal opinion but lots of folks do it. For us, as a family, those items serve a bigger purpose in teaching hard work and fruits of labor that are not related to money.

It kind of sounds like that's the direction you kinda want to go, just don't get bent out of shape and focused on making a living off the farm. You don't have to. Just enjoy it and do things on it that make you happy. Cattle, olives, chickens…all of it..whatever. As the above poster stated, you probably won't generate an income level off of it that is "worth" the effort, which is why I think you need to find additional points of value for the work. I think you will.
tamc93
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Enjoy the land for awhile and then figure it out. Plenty of hidden expenses coming your way on repairs of an older place, equipment needs, etc.

Other then living on ours, I did the same thing a few years ago and bought out the relatives to keep it in the family (thankfully everyone agreed that I was the correct person and worked on a fair price). Currently maintaining the same sharecropping relationship on part of it and growing hay on the rest with an arrangement from a local who buys the hay and helps watch the place.
Yesterday
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Congrats! You'll never regret it!
WaldoWings
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We moved home 12 years ago and were fortunate enough to buy our small part of the family farm. We just lived on it and let my dad keep the cows on the pasture. It isn't big enough to support anything mainstream, which is what I believe you are alluding to, also. Over time, my interests really presented themselves and an opportunity to make a little side cash became clear. But this is a little place so providing me with some personal satisfaction and enough profit to take some summer weekend trips is really all I ever expected. Stay niche and check out craigslist to see what people are willing to buy and for how much. If you put it on Craigslist you will surprisingly sell it nearly every time. That's how my little thing started with the turkeys. Went to buy a few and saw what they go for and said, dang! That's a lot but seems like the going rate. Then I realized I had the ability and interest to do it myself and a side biz was born. Now a few years into and it seems to have a steady demand. As soon as the demand drops off, I won't do it any more, and will focus on something else, I suppose.
Animal Eight 84
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I had a full time paycheck job and also raised cattle , pecan and hay for 35 years.

Try to develop a farm income stream that is minimally impacted by weather- that is a variable that you can't control that can bankrupt you. Especially since you can't cheaply irrigate.

I suggest pasture raised chickens and eggs. Look into it.
Also speciality small acreage crops for a farmers market such as thornless blackberries.

If you want olives contact Stephen Janak ASAP. He is the state olive expert with Ag Extension.
Young guy , nice, Aggie. I know him. Definitely get his advice if you grow any horticultural crops.
One-Eyed Fat Man
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Prepare for the eventual legalization of weed.
https://y.yarn.co/8cbbc300-a8ef-4358-aeb3-c5d6805a6788_text.gif
bmfvet
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Plant sunflowers and lease for dove hunting!
‘99
Mas89
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Congrats on buying the farm. You will never regret it. 90 acres near Hondo. How is the dove hunting?
If great, that could be a great income source. Depending on how it's laid out and neighbors, maybe 10-12 guns per day to lease it at $100 per gun or more. Could even add a nice sized pond and plant crops to attract the birds.
Plenty of hunters would love to have an annual dove lease or you could do day hunts for part/ all of the season.
I did this years ago after buying parts of my grandfathers farm from our family. The cash hunting lease income was a big help while paying land notes and equipment notes. It was a sure thing while the ranching and farming income has been consistently unpredictable for the last 33 years. Only regret is not buying more land over the years.
BrownDeerAggie
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Enough water to plant a peach orchard or other fruit trees for a pick your own set up? A few of those around me in Wisconsin turn a nice profit as buyers do all the harvesting…they pay you to work!
Psalm 42:1
Milwaukees Best Light
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I don't know about your farming skills, but only going off your op, you seem to have made a wise career choice by writing for money. Holy words, Batman!
Dirty-8-thirty Ag
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Getcha some hair sheep and do day hunts for dove around Hondo and you will kill it! That will be a nice supplemental income.
Schall 02
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Bosses change.
CowtownAg06
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See if A&M's Agrilife program is set up in your county. They will do new land owner classes. I've also wanted to go, but haven't made the schedule work yet.
Apache
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Well the OP did write a book on Texas History, so I'd say he's a little "wordy"!

When does that book get published, btw?
jtp01
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I work in ag (irrigation). I'd suggest getting an understanding of where you are before trying too much.

With 25 ac in that part of the country, you could look into raising a few beef calves to sell each year. Honestly if I were you I'd stay away from crops for a few years and let inputs come back to a reasonable level. Let your lessee take that risk (plus you have a day job and likely don't have harvest equipment).

You might look at some specialty stuff like a nursery (think trees) but you'd need some irrigation (not an expensive endeavor if you are willing to do the work).

whisperingbill
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My wife wanted to make omelettes this morning and we were out of eggs. So, I ran to the store and bought two dozen. I now think 4 chickens should pay for your whole place in a year !!!
fightingfarmer09
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One-Eyed Fat Man said:

Prepare for the eventual legalization of weed.


My only advice I will give on this topic as someone in the Ag industry and that operates a small cattle operation as well:

Do NOT get involved in any of this crap. I've seen so many families, farms, and businesses bankrupted and destroyed because some potheads swear it's going to be a gold rush. That goes for every "new" crops that you hear pitched. Harvest your pecans, make some hay, and learn while keeping the Ag exemption.

In a couple years if you come up with a business idea you are passionate about then do it. But 90 acres of anything isn't even going to get you an in person visit from a salesman if you have a problem outside maybe contracted vegetables and maybe your pecans.

Sunflowers and day hunts sounds possible.
Sooper Jeenyus
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Tempranillo grapes. Texas' signature wine grape. They like the hill country. Supposedly similar their origin in Spain.

Since you're throwing things against the wall to see what sticks… could be fun. Lots of wineries in that area. Plus, would be cool to have your own house wine.
p_bubel
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Quote:

What I could get interested in is a crop like, say Olives. I few years ago, when I was working at Texas Department of Ag, I toured an olive ranch with the commissioner and the soil at this place was very similar to ours. I'd probably have to do more testing to verify, but we're in the right temperature range that it could work. The reason I liked Olives is that the value per acre was relatively high, so it might be possible to plant a small test grove (knowing of course that the trees take about 7 years at least to be productive), and then use that to build on for a larger grove. Trees appeal to me, as I've said, as I want to reforest some of the land we have in the back that's not really good for anything, and maybe with more ground cover, I could even do some deer leases. Right now, the 60 acres has zero trees and the pasture only has a few, so there's only about 2 acres of forested land on the place. So building up more deer habitat was a goal and that's expanded to maybe looking at trees as a bigger thing. I also expect to hand this to my son, so if I plant trees that I'll never see become fully grown, that's not a loss to me.
There are several olive groves immediately south of San Antonio around Elmendorf and Pleasanton. Perhaps reach out the owners and get a feel for the ins and outs? The soil around there is typically very sandy.

And congrats!

Was this the place with the cabin you were messing about with years back?
p_bubel
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Link

If you haven't already read that article on olives in Texas. They're cool trees and I would love to just have some around.
PharmD4
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Personally I'd find myself somewhere between option 1 and 2….a goal of mine actually.

Beekeeping would be a great starter activity that can involve the family but isn't a full time commitment.

A vineyard would also be pretty cool, maybe some wildflower fields. Stick a couple of tiny homes on the property and offer the yuppies in SA a great weekend getaway on an authentic farm. Get you some passive income coming in.
Apache
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I wouldn't go Olives, too long to see any return on investment.
Vinyard is big $$, and very specialized.

Beekeeping would be something that fits the bill as other posters have mentioned.

A plant nursery would be a pretty good bet. I would recommend not getting into smaller perennial color or regular shrubs or even trees like Live Oaks. IMO the sweet spot would be specializing in a few native species that have high demand, are drought/freeze tolerant with few fatal pests. (Yuccas, Texas Mountain Laurels & Sotols for example)

Yesterday
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Grow some grapes. Make a few bottles of wine. Throw up a few cabins and market weekend stays on the vineyard. People will eat that **** up.
BrazosDog02
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Yesterday said:

Grow some grapes. Make a few bottles of wine. Throw up a few cabins and market weekend stays on the vineyard. People will eat that **** up.


Pro tip….don't sell your wine. Get donations for the farm and give the wine as a gift.

Just sayin.
Yesterday
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BrazosDog02 said:

Yesterday said:

Grow some grapes. Make a few bottles of wine. Throw up a few cabins and market weekend stays on the vineyard. People will eat that **** up.


Pro tip….don't sell your wine. Get donations for the farm and give the wine as a gift.

Just sayin.


Even better!
p_bubel
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Apache said:

I wouldn't go Olives, too long to see any return on investment.
Vinyard is big $$, and very specialized.

Beekeeping would be something that fits the bill as other posters have mentioned.

A plant nursery would be a pretty good bet. I would recommend not getting into smaller perennial color or regular shrubs or even trees like Live Oaks. IMO the sweet spot would be specializing in a few native species that have high demand, are drought/freeze tolerant with few fatal pests. (Yuccas, Texas Mountain Laurels & Sotols for example)




I'll toss in Big Tooth Maples as well. Can't find those anywhere lately. I've heard they're difficult to propagate, but don't know much about that.
fightingfarmer09
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All the suggestions and even the OP show a disconnect folks have from the investment capital and access to competent labor required to do all of the ventures mentioned.

I hope the OP really does some homework and takes some time to find a good direction.

Best of luck.
SWCBonfire
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Highly recommend you not invest in pecans without irrigation other than as a hobby. Plant some fruit trees as well while you're at it. You don't have any economy of scale and you have to wait it out until they produce. If you already have pecans worth gathering someone will come gather them.

If you really want to maximize farm income on a somewhat immediate and reliable basis, my suggestion is either improved pastures and intensive grazing, or buy old farm equipment and farm it as inexpensively as possible (as in none of your equipment has a cab kind of cheap). Neither is likely worth the stress on an income basis.

Your high purchase price was you buying your family the privilege of growing up on the farm. If you are financially able to do so, understock your pastures, raise chickens and 4H/FFA animals, get a horse if you want one and enjoy your family legacy without constantly worrying that you're going to be financially strapped if it doesn't rain soon.
aalan94
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Quote:

I have 50 +/- acres in Quihi off of FM 2676 not far from the Quihi Gun Club.

Sky1, that makes us neighbors. I'm also on 2676. I grew up at the gun club, practically.

Quote:

We live in Medina Co. As well. You're going to want to get the water situation sorted if you are doing any kind of ag stuff.

Agreed. I have a great relationship with the neighbor who has an Edwards Aquifer well. I could probably buy some water for the small scale stuff, but if I did do anything more ambitious, I'd have to get my own well. And then it comes down to what expenses can be justified by ROI.

Quote:

Congrats on buying the farm. You will never regret it. 90 acres near Hondo. How is the dove hunting?

If great, that could be a great income source.

Definitely on my list of options. I've hunted there all my life. Some years are lean, but we've done nothing to manage it. We have water in the front for the cattle, but nothing in the back where we do most of the hunting. I'd like to work on that. I've got some small plots where I can put in some dove-friendly crops. There have been years when our tennant put something good out there and we had flocks of doves.

Quote:

Enough water to plant a peach orchard or other fruit trees for a pick your own set up?

Most years, yes, but as I noted, the last 5 have been really bad, and depending on your perspective, it's either just five years or global warming. I tend to think the former, but I'm not so much a stick in the mud to pretend the other is not possible.

Quote:

Bosses change.

Indeed they do, but this is now agency policy. At some point, I'll probably look for a San Antonio job to get that extra security, since it's in commuting range. But the need now is to get the transition over and then once I'm settled do the more long-term planning.

Quote:

Well the OP did write a book on Texas History, so I'd say he's a little "wordy"! When does that book get published, btw?

Hey, Apache, good to see you here. Yes, my book will be published by A&M University Press in the fall. For those who don't frequent the history board, I've written a book on the forgotten first Texas Revolution that happened 25 years before the one we know and love. I went back to school on the GI bill and this was my master's thesis that evolved into a book. Took me 5 years to write and 2 years to get a publisher. Now I'm just waiting on edits.

So yes, the plan is day job, write books and farm as much or as little as I have time for.

Quote:

Tempranillo grapes. Texas' signature wine grape. They like the hill country. Supposedly similar their origin in Spain.

Thought of that, but it seems you kind of have to go all in for wine grapes. And I don't drink, so it would be kind of funny for me to do wine.

Quote:

There are several olive groves immediately south of San Antonio around Elmendorf and Pleasanton. Perhaps reach out the owners and get a feel for the ins and outs? The soil around there is typically very sandy.

Yeah, I've got a mix of sandy and more clay type soils. I could probably do them on part of the place, but not all. Still, you can get pretty good production out of a small acreage of them if it checks out.

Quote:

but only going off your op, you seem to have made a wise career choice by writing for money.

Well, I'm also getting the farm at a 1/4 discount and selling an overpriced Austin area home that I bought in a steal 10 years ago.

Quote:

Was this the place with the cabin you were messing about with years back?

Yes. My log cabin is on the farm. It's where I write on my manual typewriters trying to do the Hemmingway thing.

Quote:

Beekeeping would be a great starter activity that can involve the family but isn't a full time commitment.

Brother-in-law used to have bees on the place. And we've had some wild ones out there from time to time. Not sure I want to do bees myself, but I'd love to find some folks from nearby who want to do it but don't have land and just lease them a quarter acre for $1 a year. Would help my garden and other crops.

Quote:

IMO the sweet spot would be specializing in a few native species that have high demand, are drought/freeze tolerant with few fatal pests. (Yuccas, Texas Mountain Laurels & Sotols for example)

Not a bad idea. We've got lots of Mountain laurels out there and they love it. Yuccas too.

Quote:

Throw up a few cabins and market weekend stays on the vineyard. People will eat that **** up.

Actually, as a writer myself, who loves the solitude to write, I've thought about putting a few cabins like my small one on the place and rent out to writers and such. The back is very far from the road and quiet, but the gravel driveway doesn't go there, so could only be used in non-rainy weather. And then getting power and electrical out there is a problem. There are spots closer to the road that might work. But I've been reading into AirBnBs and other options like that and it seems hit or miss. There's a big cost to clean them, and the other concern is risking my ag exemption. If I do something like that, I might need to subdivide off a couple of acres so that can be taxed as non-ag without risking the rest.
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