Cash Flows

A tight-lipped Western Colorado irrigation association is remaining neutral on the growing presence of private investors in their sizable pool of senior water rights.

In Nevada, Investors Eye Underground Water Storage As A Path To Profits

Jun 12, 2020

Twenty-two miles outside of the nearest town (Wells, pop. 1,246), graffiti on a crumbling hotel wall reads: "Home on the Strange." Down a dirt road, there's an abandoned car. An arch stands at the entrance of a dilapidated school. It's what is left of a town that lost most of its water rights.

Around the turn of the last century, New York investors established Metropolis, Nevada as a farming community. By 1912, they had constructed a dam. They built a hotel, a school and an events center. The Southern Pacific Railroad constructed an office and built a line to the town.

Then the water ran dry.

Central Arizona has been booming -- more people, more houses, more need for water. There's also a long-term drought, and less water to buy from the Central Arizona Project canal system . It's leading Phoenix exurbs to cast about, looking for new buckets.

Other regions of the state say: don't come here.

Western Colorado Water Purchases Are Stirring Up Worries About The Future Of Farming

Jun 10, 2020

For five years, Zay Lopez tended vegetables, hayfields and cornfields, chickens, and a small flock of sheep here on the western edge of Colorado's Grand Valley - farming made possible by water from the Colorado River.

Lopez has a passion for agriculture, and for a while, he carved out a niche with his business, The Produce Peddler, trucking veggies seven hours away to a farmers market in Pinedale, Wyoming.

Lopez also moonlights as a Realtor, with his finger on the pulse of the local real estate market. A few years ago, he noticed a strange new phenomenon. Much of the irrigated agricultural land sold in the valley - such as parcels just down the road from his farm - wasn't being bought by another farmer. Instead, his new neighbor was Water Asset Management, a New York City-based hedge fund with deep pockets.