THE South Australian rural real estate market is booming along and more records are expected to tumble in upcoming spring sales.
Rural land listings are close to all time lows as livestock producers capitalise on their best returns in years.
But at the same time most agents have a long list of potential buyers from investors who see agriculture as reliable earner to family farms looking to expand.
Landmark Harcourts state manager Simon McIntyre says it is shaping up to be very similar to spring 2016 with a lack of properties on offer and significant interest from both interstate and local buyers.
In the past 18 months he has seen the largest lift in land values in the past 20 years, with Landmark Harcourts setting seven district records at auction.
“We have seen some sections of the market lift up to 40 per cent,” he said.
Mr McIntyre said interest in rural land was “across the board” but pastoral properties and grazing land were particularly highly sought after.
He said it was a vexing question for potential vendors whether to sell while returns were so good, but there were opportunities for those looking to retire or exit the industry.
“I understand people wanting to hold on and get the most of the commodity prices but there are elements that should seriously consider the opportunity to realise good net worth while supply is tight,” he said.
Elders has historic Beltana Station, in the Flinders Ranges, among its listings.
The 1541-square kilometre property is being offered walk-in, walk-out at auction on October 18 in Adelaide.
It comes with well-developed watering points, extensive plant and equipment, a quality Angus cattle herd of 750 and 6000 head Dorper sheep flock, plus a significant homestead and accommodation.
Elders rural real estate manager Phil Keen says the sheep and cattle station and tourism venture is an exceptional opportunity for buyers who have serious interest in investing in a diverse, well improved pastoral enterprise.
“Beltana Station is a rare offering to the public market. It contains a good mixture of land types, from range country to undulating bush country, through to soft sand-hill cattle country.
HEATHFIELD SELLS FOR CLOSE TO $10M
SOUTH East blue ribbon property Heathfield, Bool Lagoon, has sold for close to $10 million walk-in, walk-out, in one of the sales of the year.
The 1336-hectare mixed farming property near Naracoorte included a substantial 1216 megalitre water licence used to irrigate pastures and the 116ha mixed varietal vineyard, planted between 1995 and 2000.
Colliers International marketed Heathfield for vendors the Tidswell family from Adelaide.
After keen interest from local graziers, wine industry participants and agribusiness investors it sold to Vic-based Jarrad Simcock and the Simcock family, Hamilton.
The sale included about 350 Angus cows and calves and 4500 crossbred sheep and lambs.
Colliers International rural and agribusiness national director Tim Altschwager, who brokered the deal with Jesse Manuel and Nick Dean, did not disclose the price, but said the sale reflected the ongoing strength in the market.
He said there was very strong interest for the grazing land but the vineyard did make it difficult for some potential buyers.
“We looked at separating the two but the vendor wanted to sell it as a whole,” Mr Altschwager said.
“It is probably off some of the top rates per hectare we have seen in recent months because not everyone had a use for the vineyard but it reflects the new level of the market. Everyone is looking for SE grazing land but opportunities such as this are hard to find.”
Mr Simcock said after selling their fertiliser company in 2016 they had been actively looking at properties throughout the SE to get back into farming.
“Heathfield offered us industry diversity, a quality vineyard and warm redgum pasture country with secure water,” he said.
“We are looking to increase production taking advantage of our background in biological fertiliser and will convert to full prime lamb production.”
The cattle herd was dispersed on AuctionsPlus last week through Thomas DeGaris & Clarkson.
- Spring Property Guide liftout inside