Farm Ireland

Sunday 17 December 2017

Figures for Kerry farm add up for accountant

Jim O’Brien

An accountant was the highest bidder on a 122.6ac residential farm at Knocknacaheragh, Kilmorna, near Listowel, Co Kerry.

The gentleman, acting for a client, bought the farm after auction for a figure in excess of his final bid of €380,000. The sale had been guided by Real Estate Alliance North's at €400,000.

Auctioneer Eddie Barrett said the farm comprised around 60ac of low-lying cutaway bog, suitable for planting, and more than 60ac of elevated land that suffered from overgrazing and needed attention.

The former owner, the late Daniel Relihan, had spent the last number of years in a nursing home and the farm had been let during that time.

The residence with the property is an old single-storey farmhouse in need of complete refurbishment.

Mr Barrett said a range of century-old outbuildings were of little consequence. However, the farm came with entitlements to the value of €9,800 and had the added attraction of 650m of road frontage.

There was a full house for the auction at the Listowel Arms Hotel and two bidders indicated interest when Mr Barrett opened proceedings at €300,000.

In bids of €10,000 the amount on offer soon came to €380,000 and the property was withdrawn.

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It was sold immediately afterwards to an accountant acting for a customer believed to live in Co Kerry but some distance from the area where the farm is located.

Mr Barrett said the low-lying half of the farm was probably valued at between €600 and €700/ac, which would leave the rest of the land valued at 10 times that amount at €6,000/ac.

"This is indicative of a nervousness people have in relation to buying marginal land. Up to now, people saw this land as an investment opportunity and were happy to buy such ground for forestry.

"But with all the recent legislation in relation to wildlife, habitats and other issues of conservation, people are nervous about buying poorer land for fear they may not be allowed do anything with it," he said.

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