Rural property sales hitting all time highs despite pandemic

Rural property demand shows no signs of slowing, even hitting new highs during the coronavirus pandemic. See where the biggest sales have been so far.

The historic Chatsworth Housew in Victoria was sold this year for an incredible $25 million.

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EVEN as the world grapples with the coronavirus pandemic, iconic rural properties across the country continue to sell amid record strong demand.

Rural property agents are adamant agricultural land will emerge a winner from the pandemic, in what is a losing situation for many, with demand for rural land said to be as strong as it was when the new decade kicked off.

Agents may have been forced to conduct auctions online, but so far there has been strong uptake.

CBRE’s Phil Schell says he is still seeing a huge number of sales and proposals, despite the virus.

“Everyone else is nervous. But interest rates are low and commodity prices are great,” Schell says.

One of the most iconic sales so far this year was sealed last month, with the historic Chatsworth House in western Victoria selling for more than $25 million.

The 2400-hectare mixed farming property was sold to Nerrin Nerrin farmers Tom and Sarah Whinney, in a walk-in, walk-out transaction. The property was listed for sale in spring 2018. It produces 15,000 prime lambs a year and fattens more than 300 cattle twice a year.

April also saw what is believed to be the first public sale of a wind farm in Australia. The NSW property, Woolangubra, located near Yass, was snapped up for $1.6 million – $375,000 more than the reserve price – by neighbouring farmers Kerry and Roger Rayner.

‘Woolangubra’ near Yass was sold in a competitive auction.

It will form part of the Bango Wind Farm, which will comprise 46 turbines when completed next year. It is believed Woolangubra will house up to five of those turbines.

Selling agent George Southwell, from Ray White, says the property attracted 40 inquiries, including from commercial investors who had pulled their money from share portfolios.

New benchmarks for regions have also been set. A record price was set for cropping country in Victoria’s Mallee last month, when a 4223-hectare aggregation sold for $13 million – 30 per cent more than prices previously seen in the region.

The Arkana Cropping Aggregation at Panitya sold to five local producers, for more than $3700 a hectare, or $1500 an acre. The Mallee’s previous best price was about $2840 per hectare, or $1150 an acre.

In the Snowy Monaro of southeast NSW, a new benchmark was hit when 1107-hectare grazing property, Mooresprings at Bibbenluke near Bombala, sold for more than $6 million in mid-April.

And this month, Northern Territory cattle stations Wollogorang and Wentworth sold for $53 million to McMillian Pastoral Co. They were sold by Chinese billionaire Xingfa Ma, who owns the ball bearing manufacturing company Tianma Bearing Group.

Hartwood Station at Conargo for sale

SIGNIFICANT RECENT SALES

$23 million Murranji Station

Murranji Station in the Northern Territory sold for $23 million to Bunderra Cattle Co

$17.1 million Dunns Plains

Dunns Plains at Rockley, NSW, sold for $17.1 million to the McIntosh Pastoral Co

$12 million Hartwood Station

Hartwood Station at Conargo in the NSW Riverina sold for $12 million to the Martin family of Barham

Shannon Twomey is The Weekly Times property editor