Blue chip farms worth more than $400m storm the market
More than $400 million of premium livestock, cropping and horticultural properties have hit the market in February as farming families and corporate investors look to divest in the face of record commodity prices, bumper harvests and a deep pool of cashed-up buyers.
Leading the charge, agricultural asset manager goFARM, jointly owned by the Costa family and chaired by Costa Group co-founder Robert Costa, has put the 6,298-hectare Sandmount Farms portfolio in Victoria’s Murray Valley region up for sale with price expectations above $250 million.
Located 45 km north of Shepparton at Katunga, Sandmount Farms includes more than 50,000 megalitres of water entitlements, the largest water portfolio in the Goulburn Murray Irrigation District.
Made up of mostly former dairy holdings, the aggregation includes more than 200ha of almonds and 70ha of seedless mandarins. The balance of land is currently utilised for irrigated and rain-fed row cropping of corn, barley, wheat, canola and faba beans.
Selling agent Danny Thomas from agency LAWD said Sandmount Farms would appeal to institutions and large corporate investors seeking a large-scale portfolio ready for development into a world-class horticultural production hub.
An estimated $200 million of further investment is required to capture the aggregation’s full value, Mr Thomas said.
Joining the premier offerings, and expected to sell for more than $60 million, is beef-producing powerhouse Upton Farms. It comprises four nearby properties totalling 2,668 hectares to the east of Walcha, in the Northern Tablelands of NSW.
The aggregation dates back to 1962 when Roy Upton purchased 660ha Pindari Tops and then added Alpha, Foxdale, Billy Creek and more recently Brislington.
His son Greg later joined the business, Upton Pastoral Company, which fattens about 6000 steers a year – equivalent to the production of 1.8-million kilograms of beef.
Veteran rural agent Chris Meares from Meares & Associates is handling the marketing of Upton Farms, which will be sold via online auction on April 13 and 14.
Mr Meares called the offering “some of the most highly improved and best-presented livestock fattening holdings in Eastern Australia”.
“Given the shortage of quality properties for sale, and the strong demand for the same, it is expected that Upton Farms will sell at above-land market rates, reflecting yields being achieved from such high-volume production levels,” Mr Meares said.
In the Northern Territory, one of the country’s biggest organic cattle stations, 733,700ha Mount Doreen Station has hit the market with price expectations above $45 million (excluding livestock and equipment, which can also be purchased).
Established in 1932 by William and Doreen Braitling, Mount Doreen Station is located on the Tanami Road about 380 km north-west of Alice Springs.
More recently it’s been operated by brothers Matthew and Shane Braitling, grandsons of William and Doreen.
Situated in a 300mm average rainfall area, Mount Doreen consistently carries well over 30,000 head in average rainfall years, with its long-term sustainable carrying capacity being 22,000 to 23,000.
Jesse Manuel and Rawdon Briggs of Colliers Agribusiness have been appointed to handle the walk-in, walk-out sale of Mount Doreen Station. The offering includes 18,000 head of cattle.
“A station of the quality of Mount Doreen, with its economies of scale sits in a market of its own and will attract a premium price,” Mr Manuel said.
Also heading to market is former Argo Investments director Robert Rich, who has listed the 2393ha Girrakool and North Pomeroy near Goulburn in high rainfall country in the NSW Southern Tablelands.
The premium grazing properties, which have a carrying capacity of up to 1,000 cows and followers are being sold by David Nolan of Webster Nolan and Roger Bushell Real Estate with a price guide of $33 million to $38 million. Mr Rich was deputy chairman of Argo Investments from 1992 to 2014.
Rounding out the batch of blue-chip offerings, the Reynolds family has put its 433-hectare Tyburn farm near Cressy – between Ballarat and Colac in Western Victoria – up for sale after more than 100 years of ownership.
Price expectations for Tyburn are above $12 million. Nick Myer and Sean Simpson of Elders are handling the sale.
The Reynolds ownership of Tyburn dates back to 1917 when brother Lew and James Reynolds purchased the first of two blocks near Cressy. Lew’s great-grandson Craig is the current manager of Tyburn Pastoral Company.
