North dairy farm sales hit rut

NOT MOO-VING: Dairy farm sale prices have increased 50.5 per cent nationally over the past 12 months, but Northland is not sharing this cream. PHOTO/FILE

While Real Estate Institute of New Zealand (REINZ) national sales figures show the median price per hectare for dairy farms has increased 50.5 per cent over the past 12 months, the price trend has taken a different direction in Northland.

The 14 dairy farms sold nationally in the three months to August 2016 averaged 100ha and had a median price of $40,469 a hectare, compared with $35,614 for the 32 dairy farm sales in the three months to July and $26,906 for the 21 dairy farms sold in the three months to August last year.

By contrast, the single Northland dairy farm sold in the three months to August was priced at $11,321 a hectare, lower than the $11,544 a hectare for the region's dairy farm sales in the three months to July and $14,511 median for sales in the three months to August last year.

Twenty-eight of the 46 Northland farms sold in the three months to August 31 were grazing units fetching a median price of $9182 a hectare, a drop from $11,811 a hectare for sales over the three months to July.

The 158 national sales of grazing units averaging 53ha in the three months to August - leading the 393 national sales of farms of all types over that period - had a median sales price of $15,326 a hectare, down 9.8 per cent on the same time last year.

By contrast, the single Northland dairy farm sold in the three months to August was priced at $11,321 a hectare, lower than the $11,544 a hectare for the region's dairy farm sales in the three months to July and $14,511 median for sales in the three months to August last year.

Eight horticulture properties had the second highest sales tally for Northland in the three months to August, bringing a median price of $149,684 a hectare.

Over the same period 77 horticulture blocks averaging six hectares sold nationally for a median $190,338 a hectare, compared with a $205,020 median for 83 horticulture properties sold in the three months to July.

Five Northland finishing farms sold in the three months to August fetched a median $17,075 a hectare, a solid improvement on the region's $15,531 median for sales in the three months to July and $9213 a hectare median for August last year.

Nationally, the median price for 75 finishing farms averaging 37ha sold in the three months to August 2016 was $27,208 a hectare, compared to $26,249 for 95 properties sold in the three months to July and $26,038 for 69 finishing farm sales in the three months to August last year.

Five forestry blocks sold in Northland in the three months to August went for a median $10,984 a hectare, down on $11,072 for the three months to July.

The national median for forestry sales to the end of August was $9882 a hectare. The REINZ said forestry sales activity was reduced in Northland, Nelson/Marlborough and Canterbury.

Meanwhile, there were 310 Northland properties among the 2354 lifestyle blocks sold nationally in the three months to August for a median price of $545,000, down $25,000 on the three months to July.

The median price for lifestyle blocks in Auckland rose by $255,500 (26.9 per cent) from $949,500 for the three months to August 2015 to $1,205,000 for the past three months.