Navigating the Shift in the Rural Real Estate Market
The rural real estate market is experiencing a significant shift following what is now referred to within the industry as a scary period of dry conditions and a sell-off in the cattle market during 2023. The wet summer of 2023/2024 has provided relief but has also prompted many landholders to consider selling their properties to capitalise on the improved conditions. However, demand remains highly selective, closely aligning with property quality and location. Properties of lesser quality or in remote areas face tougher competition against superior listings. The goat market remains challenging for those heavily invested, while the integrity of natural capital markets, including carbon farming, plays a crucial role in determining property values. Here are 10 current listings to provide a market snapshot.
Rural Property Insights
- A 328ha property near Yarram, formerly valued at $4 million, is known for its first-class irrigation setup and productive soil, making it ideal for beef, fattening, or dairy pursuits. Its proximity to the ocean and consistent rainfall add to its allure. Currently on the market without a set price, expressions of interest close on May 1.
- Lake Torrens Station: A vast 43,300ha property, offering a unique opportunity for pastoral business with its inclusive sale of cattle and equipment. The station, up for auction on May 1, boasts abundant water sources and a history of conservative stocking, ensuring sustainability and EU accreditation for the cattle.
- Runnymede Aggregation: Spanning 4,468ha in the NSW Northern Tablelands, this property is eyeing over $20 million, with potential for renewable energy development. It demonstrates extensive infrastructure and has been meticulously assembled over 20 years. Expressions of interest close on April 23.
- Bowen Park: Located in NSW's Macquarie Valley, this 3,250ha cotton and grazing farm boasts substantial irrigation resources and is poised to exceed $40 million. With diverse water sources and a solid infrastructure, it’s set for auction on May 1 and 2.
- Deepwater: A productive beef enterprise in Central Queensland, spanning 3,066ha. Owned since 2006 by the Fairweather family, it's recognized for its significant improvements and is currently open for expressions of interest until March 28.
- Barragunda: This 9,269ha property in North Queensland is known for its prime grazing conditions and strategic location. Offering extensive grass coverage and a strong start to the season, it will be auctioned on April 18.
- Pamaroo: A 4,477ha property renowned for its productivity and high carrying capacity, located in Queensland's Maranoa region. On the market for the first time in 97 years, it will be auctioned bare on April 18 with significant and strong demand expected for this premium listing.
- Springvale: One of the largest freehold grazing properties in NSW’s Walgett area, this 9,053ha property boasts diverse pasture and solid water sources. Priced at $5.8 million, it presents a rare opportunity for extensive livestock farming.
- Maryfield and Limbunya Stations: Back on the market after a significant sale in 2022, these properties have a registered carbon project for which the vendor is hoping to extract value above the 2022 sale price. Being marketed based on this potential, the integrity of the project and risks associated with its delivery are likely to be the key drivers of any attributable value. Expressions of interest for separate sales close on April 11.
- Talbalba Aggregation: A vast 80,887ha livestock enterprise in Southwest Queensland, this aggregation stands out for its scale and development level. Offered for private sale at $40 million, it suits those seeking large-scale livestock operations.
Acumentis expects some of the above property listings to result in regional value records, while others will struggle to sell due to a variety of challenges. As the rural property market evolves, the alignment of property demand with property attributes such as location, quality, and sustainable practices continues to shape the landscape, underlining the importance of well-informed investment decisions in these changing times.