This article is from the Australian Property Journal archive
DESPITE concerns about demand for sub $40 million rural properties, the 2024 year is closing out with a number of deals in this range.
In the Northern Territory, a 7,390-hectare agricultural site with 14km of frontage to the Katherine River recently changed hands for $12.8 million, in a Elders Real Estate managed deal.
The freehold title features quality river levee soils, making it ideal for horticulture, cropping, hay, and pasture, with around 1,500-hectares cleared for hay production, plus further grazing paddocks.
The property also includes an extensive homestead complex, with a pool, tropical gardens and lawns, plus a separate managers’ residence, staff quarters, and guest rooms.
There is also an established cattle yard and feedlot designed for a capacity ranging from 5000 head.
2024 also saw Southern Pastoral has also snapped up a 1,900-hectare wool aggregation Avingtonin Victoria’s Macedon Ranges in a circa $35 million deal by CBRE.
While in NSW Sharwood Pastoral Company acquired a 2,842-hectare property. in Mount Nombi, which is part of the 4,942-hectare Wyuna Aggregation. Singapore-based Silverstrand Capital sold the property for around $18 million in a deal managed by LAWD.
This comes as Danny Thomas from LAWD recently spoke to Grain Central about the difficulty selling properties in the sub $40 million price bracket.
“It has been a challenge taking a property to market in a district where there is an absence of strong neighbours or nearby larger producers looking to expand, and then finding the right buyer to support existing levels of value for family farms,” said Thomas.
“Demand is still strong for properties above $40m, particularly for high quality assets where institutions have already invested, including the NSW Riverina, north along the Newell Highway, and into the Northern Rivers.”
LAWD recently listed a 3,033-hectare Northern Tablelands property, Romani, with potential for carbon offset and renewable energy projects.
The NSW property is made up of over 42% undulating arable land, with grazing capacity of approximately 16,000 Dry Sheep Equivalents (DSE). With 28% or 859-hectares of the property timbered grazing and timbered hills.
Vendors, Will and Harriet Corlis, have run approximately 5,000 Dorper ewes on an eight-month breeding cycle since acquiring the site in 2016.
The expressions of interest campaign for Romani is scheduled to close 23 January 2025.
