Puketotara Station has "exciting" dairying possibilities.
Puketotara Station has "exciting" dairying possibilities.
KEY POINTS:
The sale of a farm in the Waikato could land New Zealand Rural Property Trust a $20 million payday.
Puketotara Station, a 1145ha property 15km northwest of Huntly, is being used for sheep and beef grazing.
New Zealand Rural Property Trust Management chairman Sir Selwyn Cushing said hedid not know how much the property would fetch and would get guidance from valuers if needed. The Business Herald understands the farm could fetch about $20 million, more than 10 times the national median farm price in May.
The Real Estate Institute last month said the national median farm price was $1.86 million in May, up from $1.81 million in April, with confidence in the rural sector showing no sign of waning.
The national median price for a dairy farm in May was $4.05 million, up from $3.9 million the previous month.
Last year a 490ha Southland dairy farm sold for a record of $29.3 million. It included five homes and more than $4 million worth of plant and stock.
"We're going to apply the proceeds to continuation of the developments around what we already have, and I think the board came to the conclusion it wasn't a good idea to go into borrowing at this stage and do a big development on Puketotara itself," Sir Selwyn said.
The Trust owned 30 farms including six dairy farms and was developing two dairy support units in the South Island.
The property would be marketed internationally as well as in New Zealand during spring, with a sale by tender closing in November.
Mark Dawe, Waikato country sales manager for sole agent Bayleys, said it was an outstanding property. "Seldom do properties of this nature and with this scale come on to the market. The dairy possibilities for Puketotara add a further exciting element."
