In conventional reallocation, farmers' preferences are used to determine the location of their new parcels in predetermined blocks. The most common conflict that can arise during this process is that demand may be high for some blocks. The manner of resolving such disputes, which deal directly with landowners' rights, can affect the success or failure of land consolidation projects. In this study, a novel model for land reallocation is proposed which is based on the principle that the initial situation of the landowner's parcels before land consolidation will be comparable with the new situation that includes all of his/her rights. For this, a spatial similarity-based approach was proposed, taking into account geometric, ownership, physical, and locational criteria. Then, the agricultural land reallocation model (LR-MOPSO) was developed using the multi-objective particle swarm algorithm. Three objectives were defined: (1) simultaneous consideration of farmers' priority and spatial similarity criteria; (2) pooling of farmers' fragmented parcels; and (3) optimal placement of parcels within the block. The LR-MOPSO model was applied to an Iranian case study and results were compared with a conventional approach. With this model decision-makers in land consolidation projects will be able to redistribute parcels in a more transparent way, while dealing with landowners' rights.