Centuria acquires six SA vineyards from Accolade Wines

ASX-listed Centuria Capital has boosted its agricultural holdings with the acquisition of six South Australian vineyards from wine giant Accolade Wines.

The Clarendon vineyard in McLaren Vale. Picture: Supplied by Centurial Capital

ASX-listed Centuria Capital has boosted its growing portfolio of agricultural holdings, snapping up six more South Australian vineyards from wine giant Accolade Wines.

The $8.2m off-market deal includes sites in five regions, including the renowned Barossa Valley and McLaren Vale regions, and covers close to 114ha of land with 75ha of red and white grape plantings.

Accolade will lease back the vineyards on a 10-year triple net basis.

The properties, which come with 233ML of water assets, will be added to Centuria subsidiary Primewest’s Agricultural Trust No. 1, which comprises of 11 assets worth $115.2m.

They include the former Rolf Binder vineyards in the Barossa Valley, currently leased to Accolade, which acquired the Rolf Binder brand and winery assets last year.

Centuria head of agriculture Andrew Tout said the latest additions to Primewest’s agricultural portfolio included a number of premium grape producing properties.

“This was a rare opportunity to secure a viticultural portfolio across five well-regarded South Australian wine regions, famed for producing internationally renowned wine varieties,” he said.

“Each estate is meticulously managed, with all vines hand-pruned; an element that facilitates in the production of ultra-premium wines such as St Hallett Blackwell Shiraz and the Petaluma Hanlin Hill Riesling, which recently received a James Halliday wine rating of 98/100.”

The portfolio includes the 18ha Resurrection Vineyard in the Barossa Valley, the 9ha Clarendon vineyard in McLaren Vale and sites in Coonawarra, Clare Valley and the Adelaide Hills, producing shiraz, cabernet sauvignon, riesling, chardonnay and several other varieties.

Centuria has flagged making more investments in the agricultural sector following its merger with Primewest in July 2021.

It recently launched a new unlisted agriculture fund, seeded with a $177m purchase of a glasshouse facility in Victoria’s West Gippsland region.

Primewest runs two unlisted agriculture funds, which control properties across Victoria, NSW and South Australia, producing celery, carrots, potatoes and other vegetables, citrus and stone fruit, table and wine grapes and almonds.

Last year’s Rolf Binder purchase included 101ha of premium vineyards in the Barossa and nearby Eden Valley regions.

Meanwhile Accolade has offloaded several of its vineyard assets in recent months, including its Beenak Vineyard in the Yarra Valley to Treasury Wine Estates, and three McLaren Vale vineyards to Randall Wine Group.

Accolade Wines general manager of strategy and transformation Matthew Adams said the sale to Centuria provided additional capital to reinvest in the company’s wine production.

“Importantly, it also locks in grape supply for flagship brands in our premium range, ensuring we can continue making the great wines that our customers love,” he said.