During the first quarter of 2026, activity among Latvia’s largest forest investors continued to decline. The number of transactions, the total area acquired, and the overall value of purchases all decreased. Activity in the agricultural land market was also weaker at the beginning of the year, accompanied by a slight decline in average prices. However, the latest transaction data indicate that land prices may resume their upward trend in the coming periods.
According to experts at the real estate agency Latio, the Land Register data only partially reflect the actual market situation. Shortly after the reporting period, Latvijas valsts meži (LVM) completed the largest land portfolio acquisition in the company’s history. However, because the transaction was structured as a share acquisition rather than a direct real estate purchase, it is not reflected in the official real estate transaction statistics. This raises renewed questions about the role of the state-owned company in Latvia’s forest property market.
Rural Property Market Index – Q1 2026
Agricultural Land
EUR 190/ha – average annual rental rate in Latvia;
EUR 5,232/ha – average agricultural land price in Latvia*;
EUR 14,755/ha – highest recorded agricultural land price in Q1 (Valmiera Parish, Valmiera Municipality).
Forest Properties
EUR 2,932/ha – average forest property price in transactions involving the largest investors;
EUR 24,000/ha – average price of mature coniferous forest;
EUR 17,500/ha – average price of mature deciduous forest.
Overall Market Activity
1,249 transactions involving agricultural land and forest properties;
9% fewer transactions than in the first quarter of 2025.
Agricultural Land Market Shows Lower Activity, but Prices May Rise Later This Year
In the first quarter of 2026, the average price of agricultural land in Latvia stood at EUR 5,323 per hectare. Compared with the first quarter of 2025, when the average price was EUR 5,550 per hectare, this represents a decline of approximately 4%.
The largest number of agricultural land transactions was recorded in Latgale, where 55 transactions were completed at an average price of EUR 2,574 per hectare.
Zemgale remained the region with the highest average agricultural land price, reaching EUR 7,706 per hectare, based on 31 transactions.
In the Riga metropolitan area (Pierīga), 17 transactions were recorded at an average price of EUR 6,973 per hectare. Kurzeme registered 11 transactions with an average price of EUR 5,682 per hectare, while Vidzeme recorded 22 transactions at an average price of EUR 4,525 per hectare.
At the same time, the latest transaction data point to a recovery in prices during the following period. Transactions registered in April indicate a higher price level, suggesting that if current market trends continue, the average price of agricultural land is likely to increase again over the remainder of the year.
The quality of agricultural land in Latvia is measured using a 100-point land productivity scale, where higher scores indicate greater production potential. The analysed statistics show that more than half of all transactions involved land rated between 40 and 49 points, with an average transaction price of approximately EUR 5,480 per hectare during the first quarter of 2026.
Among the country’s largest investors, market activity has declined more rapidly than land prices. According to Latio experts, buyers are currently taking a cautious approach, remaining interested primarily in high-quality properties. However, stronger economic justification is now required before investment decisions are made and transactions are concluded.
