Microsoft’s Climate Innovation Fund has made a key investment in Farmland LP, the largest US fund manager focused on organic regenerative farmland. This investment, made in Farmland LP’s third fund, Vital Farmland III LLC, aims to accelerate the development of Soil Carbon Credits across Farmland LP’s 18,500-acre portfolio.
The partnership will drive the expansion of the regenerative soil carbon credits market and develop crucial protocols needed to scale carbon sequestration globally. These efforts are aimed at capturing large amounts of atmospheric CO2 as mineralised soil carbon, contributing to the fight against climate change.
“Farmland LP’s use of regenerative agriculture practices to ensure healthy soils, and therefore high-quality soil carbon credits, is a critical element of advancing nature-based carbon removal solutions,” said Erika Basham, director of Microsoft’s Climate Innovation Fund. “We’re excited to invest in their fund and work with them to create a more sustainable agriculture sector.”
Craig Wichner, Founder and Managing Partner of Farmland LP said, “This investment from Microsoft is a significant milestone for Farmland LP and the broader regenerative agriculture sector. Microsoft’s investment in our Fund III is a powerful validation of our approach to regenerative agriculture, and this capital will allow us to acquire additional properties and increase our fund’s economic and environmental returns.”
Microsoft’s investment aligns with its broader sustainability goals. Farmland LP will use the funds to package carbon credits generated through regenerative agriculture practices, with verification under Verra’s globally recognised Verified Carbon Standard. The initiative is poised to demonstrate the economic benefits of sustainable farming, boost the carbon credit market’s focus on regenerative practices, and contribute to global carbon reduction efforts.
Farmland LP is currently raising capital for its $250 million Vital Farmland III LLC fund.