Canterbury Sheep and Beef Farm Sales | June 2019

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 06_2019 Highlights_pastoral v3

There have been more sales of North Canterbury pastoral properties over the last twelve months than other parts of Canterbury. The market appears to be active and property values are steady.

Several factors that influence this market segment are in play at the moment.

Commodity prices, except for crossbred wool, are high relative to long-term averages and climatic conditions this season so far have been favourable.

Returns have improved and sheep and beef farmer confidence is high relative to other sectors. Banks are willing to lend to the sector.

Most of the recent property sales have been for less than five million dollars. This lower weight of money means a deeper buyer pool, and the North Canterbury sheep and beef market has been less impacted by the absence of overseas buyers.

Buyers appear to be either neighbouring or nearby farmers expanding their operations or the next generation of farmers buying their first farms, often with family assistance.

We are also seeing dairy farmers selling high-value land to buy larger, more extensive properties to become self-contained.

The purchase of land for afforestation appears to be having less impact in Canterbury than other parts of the country, with pastoral buyers mostly outbidding buyers of land for forestry to date. Relatively low carbon sequestration in Canterbury compared to other regions can explain this to some extent:

carbon stocks comparison

There have been more sales of North Canterbury pastoral properties over the last twelve months than other parts of Canterbury. The market appears to be active and property values are steady.

 For more information, contact Ryan, Tim or Greg.



Canterbury Sheep and Beef Farm Sales | June 2019

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Related Experts

Tim Banks

Associate Director

Christchurch (Rural Valuation)


Prior to joining Colliers, Tim had 25 years agribusiness banking experience in the North and South Island in relationship management, business development and senior leadership roles.

He completed and peer reviewed rural valuations throughout his banking career.  His banking skills include agribusiness finance, credit analysis and rural valuation.

With his wife he owns an irrigated, intensive stock and cropping property in North Canterbury.

The family property was leased prior to farming meaning Tim understands the lease market, has experience dealing with lessor and lessees and negotiating lease agreements.

Tim brings to the Colliers Rural Valuation and Advisory team agribusiness banking and practical farming experience, an understanding of irrigation and environmental compliance as well as a strong network of farmers and their advisors.

His focuses are all types of rural land valuation throughout the South Island and advisory work in the rural sector.
 

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Greg Petersen

Director | Rural Valuation

Christchurch (Rural Valuation)

Greg is an experienced registered valuer and leads our Canterbury rural valuation and property consultancy team in Christchurch.

Greg specialises in the valuation of rural property throughout Canterbury and the South Island. His work for the firm has included financial reporting valuations of large scale rural portfolio’s, compensation assessments for major infrastructure projects and one off individual farm valuations for lending, estate and development purposes.

Greg offers our clients excellent technical skills and he has a highly developed understanding of the public sector and relevant legislation. He plays a lead role in our corporate dairy farm valuation work, high country, infrastructure compensation and in other valuation practice areas.

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