Mepunga West dairy farm sold through auction for $55,000-plus a hectare

A local dairy farming family has purchased a southwest Victorian property through auction for a stunning price. See all the details.

A tightly held southwest Victorian dairy farm has changed hands for more than $50,000 a hectare following a stunning auction.

A 51.26ha dairy run-off property at Mepunga West has been sold to a local farming family for a whopping $55,719 a hectare ($22,550 per acre), through an on-site auction on Thursday, February 15.

Bidding began on the day at $29,651 a hectare ($12,000 an acre), before climbing to the staggering winning bid totalling $2.856 million.

The Parson family purchased the holding, adding it to their existing dairy enterprise where it will be used as an add-on block to their nearby operations.

The Rae family listed the Mepunga West block for sale amid a move to a larger dairy property also in southwest Victoria.

Elders Real Estate Camperdown selling agent Rob Rickard handled the sale and said there was “enormous” interest in the property.

A 51.26ha dairy property at Mepunga West was sold for $55,719 a hectare ($22,550 per acre) through auction.

“Our expectations weren’t as high as $22,550 per acre ($55,719 a hectare), but we thought it would attract strong interest due to its location, it being only 10 minutes to the regional centre of Warrnambool and proximity to the magnificent shipwreck coast,” Mr Rickard said.

“Locals said on the day they couldn’t recall a Mepunga West property being offered through auction for 30-plus years, so it was an exciting day for the district.

“The vendors’ family have been in the district for generations, dating back to as long as dairy farming has been in the Mepunga region.”

A 47ML groundwater licence valued at $3500/ML was offered with the property and sold to the Parson family following the auction.

Located on the Great Ocean Rd, about 15km east of Warrnambool, the property had been subdivided into 12 main paddocks and machinery shed, disused dairy with yards and power connected.

The huge auction results come after an 81ha southwest Victorian property at Naringal was bought by the Membrey family with a winning bid of $42,502 a hectare ($17,200 an acre) for a total of $3.485 million in April last year.

A 417.68ha Wimmera cropping farm at Gerang Gerung was passed in through auction last week.

Meanwhile a pair of western Victorian properties were passed in at auction last week.

On Friday, a 417.68ha Wimmera cropping farm at Gerang Gerung, near Dimboola, was passed in. Negotiations are continuing on the property via Driscoll, McIllree & Dickinson agents.

Elsewhere, 148.92ha grazing property at Strathdownie was passed in on a vendor bid on Friday. Tony and Kathy Beck, with sons George and James, listed the property for sale late last year, where it was expected to receive offers worth about $24,710 a hectare.

Negotiations on the property are ongoing via Elders Real Estate Mt Gambier agent Damian Venn.