Friday, March 29, 2024

Gold orchard at record price

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A gold kiwifruit orchard has sold for a new record of $800,000 a canopy hectare.
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PGG Wrightson Real Estate Tauranga-based salesperson, Stan Robb said demand for orchards keeps climbing.

“Located in the prime Te Puke-Paengaroa area, this recently developed 6.2 hectare orchard is in the sweet spot in terms of altitude, with excellent water supply and frost protection.

“This time last year, similar properties were selling for $600,000 per canopy hectare and two years ago, they were around the $450,000 per canopy hectare mark,” he said. 

Zespri’s confirmation last month that it will release another 400 hectares of licences for gold kiwifruit in 2017 further consolidated the exceptional levels of confidence in the sector’s property market.

Robb said interest is dominated by existing orchardists and packhouses, with bare land for development also in heavy demand.

“Orchardists are keen to exercise the licences that Zespri is making available. Suitable free-draining bare land between 30 and 100 metres above sea level is scarce. One eight hectare block sold in November at $150,000 per hectare, with larger properties also highly sought after and a number of other bare land transactions exceeding $100,000 per hectare,” he said.

Although less sought after than those growing gold, green kiwifruit properties are likely to change hands this season at similar values to last year, around $400,000 per hectare for premium orchards. 

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