Swedish pension fund to sell three Victorian dairy farms

A trio of dairy farms spanning a combined 570 hectares in the state’s north have been listed for sale after more than a decade in the hands of Swedish owners.

First Australian Farmland, a wholly-owned subsidiary of one of Sweden’s largest pension funds, Första AP-fonden, is selling a trio of properties known as Quality Ridge, Timmering and Hendersons Rd.

Three Victorian dairy farms located in the state’s north have been listed for sale following more than a decade in the hands of a Swedish pension fund.

First Australian Farmland, a wholly-owned subsidiary of one of Sweden’s largest pension funds, Första AP-fonden, is selling a trio of properties known as Quality Ridge, Timmering and Hendersons Rd, spanning a combined 574 hectares near Girgarre and Tongala in the Goulburn Valley.

Timmering (248 hectares), Quality Ridge (185 hectares) and Henderson Road (142 hectares) were acquired by first Australian Farmland between 2010 and 2012 and have operated as dairy farms for the past 10-12 years managed by agricultural investment manager, AAG Investment Management.

Offers ranging from $16,000 to $18,500 a hectare, depending on the level of development, holding size, soil type, and condition of improvements, are expected, meaning the Girgarre farms will attract interest in excess of $9 million combined.

Elders Real Estate selling agent Oliver Boyd said the dairy farms were positioned on highly fertile Goulburn Valley soil, in a region renowned for premium-quality feed and fodder crops.

Each of the Girgarre and Tongala dairy farms have been owned for more than a decade.

GIRGARRE, TONGALA
QUALITY RIDGE, TIMMERING, HENDERSONS RD
Property: dairy, mixed farming
Size: 574ha in three lots
Sale: expressions of interest closing November 29
Price: ranging from $16,000 to $18,500 a hectare, excluding water entitlements
Agent: Elders Real Estate
Contact: Oliver Boyd, 0407 095 143 and Nick Myer, 0427 610 278

Significant water entitlements support each of the Tongala and Girgarre dairies.

“With rich soils and a dependable water supply, these properties are ideal for high-yield agriculture and present strong potential for diverse crop and livestock enterprises,” Mr Boyd said.

“Supported by reliable irrigation, this area offers optimal conditions for productive farming.”

The three dairy farms form part of Första AP-fonden’s wider Australian agricultural portfolio which includes the 1600-hectare Merri Meric near Henty in the NSW Riverina, six properties in Western Victoria and 10 properties in Western Australia.

The largest of the three farms on offer in the Goulburn Valley, Timmering, is located 38km west of Shepparton and includes a well-maintained 50-stand rotary dairy, 14,300-litre Anderson milk vat, feed silos, hay sheds, calf sheds, and feed pad across a mix of Timmering, Wanalta, and Carag clay loam soils.

The property also holds a 390ML of High Reliability Water Share, supplemented by a 485ML shallow bore entitlement.

The three properties comprise Timmering (248 hectares), Quality Ridge (185 hectares) and Henderson Road (142 hectares).

There is also a 1970s-built family home with a detached carport and an in-ground pool.

At the nearby Quality Ridge there are 54 hectares of Pipe & Riser irrigation and 120 hectares of laser-levelled paddocks with Padman Stops, supported by 616.9ML High Reliability water share (Goulburn 1A), 450.2ML Low Reliability water share, Delivery Share of 7.88ML a day, 627.3ML shallow bore, and a 1663.6ML Water Use licence.

The main residence is a 1990s brick veneer home with four-bedrooms, two-bathrooms, outdoor entertaining area, in-ground pool, and double garage, plus a circa-1955 two-bedroom, one-bathroom brick veneer home as a secondary dwelling.

There is also a 50-cow rotary dairy with a modern yard and 25,000-litre Barry Brown milk vat.

Finally, about 20km north of both Timmering and Quality Ridge, the Hendersons Rd farm has 134 hectares laser-levelled for border check irrigation, plus a 44-stand rotary dairy (currently not in use), an 11,600-litre Fitzroy milk vat, machinery sheds, stock sheds and calf sheds.

There is also a three-bedroom brick veneer dwelling, built in 1985, suitable for owner occupation or farm management accommodation.

A 38.8ML High Reliability water share is associated with the property, plus a 9.6ML Low Reliability water share and a 1311.2 ML Water Use license.

Water entitlements are optional with the sale of each of the Girgarre properties.