Renewed demand for Golden Vale dairy holdings
Published 10/06/2015 | 02:30
STRONG prices are being commanded for land in Limerick as the county's dairy farmers continue to build up their enterprises to take full advantage of the post quota world.
Last week a 167ac farm at Ballinguile Croagh was bought at auction by two local farmers for €8,200/ac.
The farm is a former dairy holding and comes with a wide range of outbuildings that include a 10 unit disused milking parlour and extensive livestock accommodation.
Located near the village of Adare and about 13 miles from Limerick city the farm is part of a rich vein of land that would be typical of the Golden Vale ground forming the backbone of the local thriving dairy sector.
The farm is set in old pasture and laid out in large fields, with a four-bedroom residence. The sale was handled by John Giltinane of Adare Properties and Irish Land Sales. While €8,700/ac would be somewhat shy of the strong prices paid locally for dairy land, nevertheless it is a healthy price given the size of the holding.
Another Golden Vale farm located at Pallas, Kilmeedy, Co Limerick sold at auction last week making €10,000/ac. The 35ac roadside holding was brought to auction by GVM Kilmallock.
Described as quality grazing lands, laid out in easily managed divisions, the farm included a derelict residence and some out offices.
At auction Richard Ryan of GVM opened proceedings at €250,000 and with two bidders in the fray the price rose sharply in bids of €10,000 until it reached €330,000. A recess was called at this point.
On returning the property was offered once more but with no further bids forthcoming the owners instructed that it be placed on the market.
One bidder then dropped out to be replaced by a new customer and after four bids of €5,000 Mr Ryan's gavel came down at €350,000 and the farm sold to a neighbouring farmer.
An 84ac tillage farm at Kilfadda, Lorrha, Borrisokane, Co Tipperary sold after auction last week having been withdrawn at €650,000. It sold immediately afterwards for a price believed to be close to the guide of €700,000.
The farm is described as fine agricultural land with 67ac in tillage and 17ac in grazing.
According to Paddy Jordan of selling agents Jordans about 7ac of the tillage land is on the heavy side but the rest is the best of ground.
The 17ac of grazing is laid out in five fields with a natural water supply and road frontage. Buildings on the property include a slatted unit with wintering for up to 100 cattle and a derelict cottage.
Two bidders showed interest when Mr Jordan opened proceedings at €500,000.
When the price reached €610,000 the auctioneer adjourned to consult with the vendors and returned to the auction room in search of further offers. He was rewarded when further bidding brought the figure to €650,000.
Neither bidder budged and the property was withdrawn. Negotiations ensued and a price was agreed.