South Australia’s viticultural market is thriving as some of the world’s finest wine regions have caught the attention of investors getting a taste for buying vineyards.
With some huge vineyard sales in 2020 and $32 million worth of viticulture properties currently up for grabs, much like the grape flowers that produce the wine we all enjoy, the market is blossoming.
CBRE’s Agribusiness team of Angus Bills and Phil Schell told OzHomeNews why vineyard prices are continuing to rise and why demand just keeps on growing.
“We’re lucky in South Australia to have some of the world’s best wine regions right in our backyard and, with access to local markets and ports, our fruit is able to be distributed domestically and internationally with easePhil Schell – CBRE Agribusiness
“In addition to this, ideal climate, soils and access to water all culminate in an ideal end-product that’s in high demand all around the world,” Phil says .
Notable South Australian vineyard transactions in recent months include the sale of Agosta Vineyards in Loxton, which sold for $1.637 million, and Ulithorne Vineyard in Blewitt Springs for $1.032m.
“Purchasers have included local buyers purchasing blocks for ideal add-on properties, existing industry producers and large corporate groups,” Angus says, adding that interest is expected to continue, with some recent listings attracting more than 90 enquiries and in excess of 10 offers to purchase.
“Buyer cohorts have expressed steady interest in wine grapes and properties in wine regions for blending opportunities, as well as almond and citrus crops, whilst being consistently interested in landholdings with permanent water entitlements,” he says.
With multiple development opportunities available, perhaps the pick of the bunch is the Alexandria Vineyard in Langhorne Creek, 65 kilometres south-east of Adelaide.
For sale with a $6 million price tag, the 104.5-hectare vineyard is planted to 100 per cent red grape varieties including Shiraz, Cabernet Sauvignon and Malbec.