For many years, tourists have experienced the hidden secrets of Pukeokahu, visiting River Valley Lodge on the Rangitikei River East of Taihape. Now a group of investors have taken the opportunity to own and experience a slice of that paradise.
Peter Stratton from Bayleys Taihape reports that Kaiangaroa Station has been sold for a record price for a sheep, beef or deer property in the Lower North Island. The price of $12 million surpasses the previous record set by Bayleys in May 2006, with the under the hammer sale of the 3354 hectare “Otiwhiti Station” in Hunterville, owned by The Sir Thomas and Lady Duncan Hospital Trust, for $8.75 million.
The sale to a group of investors under the MyFarm umbrella includes one of the previous owners and Guy and Jennie Melville as the cornerstone investors. Guy and Jennie Melville will manage Kaiangaroa, having previously run 891 hectares specialising in breeding and finishing lambs and cattle. 400 hectares of that holding has being sold to fund their investment in Kaiangaroa.
Both Guy and Jennie were bought up on family farms, Jennie on the cropping and seed business property Valhalla and Guy on a hill country sheep, beef and deer breeding farm. As well as holding his fixed wing and commercial helicopter pilot licenses, Guy competed for New Zealand in the 1992 Barcelona Olympics in the men’s coxed four rowing crew.
The MyFarm business plan includes adopting a very simple system with few stock classes. It proposes to breed and finish lambs and graze dairy heifers and calves. This involves running capital stock at only 2/3 of capacity to maximise the returns available from finishing up to 22,000 lambs, some for superior margins in the late winter and early spring.
Kaiangaroa is stunning and is widely regarded as one of New Zealand’s most attractive and productive breeding and finishing properties. Featuring two homesteads and a high level of improvements, Kaiangaroa was recently confirmed by independent consultants Baker & Associates as performing easily within the top 10% of farms in its class.
Mr Stratton says Kaiangaroa comprises 1,278 hectares (3158 acres), and breeds and finishes all sheep, beef and deer progeny. The subdivision boasts 670 hectares of deer fencing and 103 main paddocks with extensive laneways providing access to 70% of the farm. Other capital improvements have included re-grassing of 360 hectares from 500 hectares crop-able, plus a new six stand woolshed and covered yards complex with 3,000 night pen capacity, and the completion of a significant capital fertiliser programme.
The master homestead was built in 1981 from native timbers milled on the Station. It sits on an elevated site with stunning Northerly views and includes a heated indoor swimming pool and spa, full size billiard table and room, large decking/BBQ area plus an all weather tennis court.
Peter Stratton comments the purchase is a bold move in a very hesitant market, and this exciting development in a district dominated by family farms, will no doubt create a lot of interest and ensure the locals keep a close eye on their newest neighbours. He says that an extensive marketing campaign by Bayleys that included a feature in the Bayleys Country Portfolio closed on 26th November 2009. MyFarm secured a conditional contract on 12th December 2009, and after promoting the station were able to secure the investors required to go unconditional late in March 2010. He says with the hesitation by family farmers to invest in the current market, large scale quality properties are increasingly catching the eye of long term corporate investors.