Darling Downs rural sales on the improve: HTW

Darling Downs rural sales on the improve: HTW
Darling Downs rural sales on the improve: HTW
The market for rural property in the Darling Downs is improving slowly with solid sales results in southern Queensland scrub grazing and broad acre farming sectors according to Herron Todd White.

Herron Todd White state in Central Queensland in late 2015 there was an 8.5 percent increase in the median price trend due to the market moving
on the back of a very strong cattle market, better seasonal conditions and resurgence in overall market confidence broadly.

"For a period we saw land values for quality scrub country in that northern Wandoan and Taroom country lag behind their northern neighbours for a similar quality asset, especially when compared on an adult equivalent basis," they said.

"Today it appears these values are now starting to catch up, demonstrated by the solid sale result of Glen Evis, a 1,951 hectare holding about 25 kilometres north of Wandoan via the Nathan Road purchased by the Dann family who holds Daldowie which adjoins to the north. The property consists of a well-developed Brigalow, Bauhinia and Bottle Tree scrub grazing block with standard improvements including a small opportunity feedlot operation. The property transacted in late October 2015 including cattle. On a bare basis, it reflected $5.5 million ($2,819 per hectare) overall or on analysis reflected about $6,800 per adult equivalent ex-improvements.

"Previously cashed up purchasers were willing to pay overs when compared to the broader market and as a result we saw a semi two-speed market. However as the resource companies have now already acquired key infrastructure sites this will limit the quantum of compensation capital available for further investment.

"Other evidence in the market of the continuing strong trend for quality farming holdings on the Inner Downs is that of the Stirling family’s aggregation containing Minyaka, Ballandean and The River Paddock, comprising a 1,227 hectare aggregation containing basalt to alluvial farming flats. All three properties were sold at auction on 8 April 2016 as separate holdings to individual purchasers."

Tags: 
Rural Darling Downs

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