Can I rent that portion to my business?
Yes. It would be reported as a business expense on SCH C, and as personal income on SCH E. You're basically taking money out of your left pocket, and putting it in your right pocket.
The main thing, is that the rental income will be passive and will not count towards Medicare and Social Security. Therefore, you will not pay the additional 15.3% self-employment tax on the rental income.
Additionally, since you'll only be renting land, you will still not depreciate it.
