Cargill Inc.’s subsidiary hedge fund, Black River Asset Management, has acquired Vaucluse, a historic 2,654 hectare cropping and grazing property in Tasmania for $20 million.

 

The property in the Northern Midlands will add to Black River’s other holdings, including Billabong Station in New South Wales, and sugar cane farm, Marwood in Queensland.

 

Long-time Vaucluse owners, Michael and Susie Warner, ran 14,000 merino sheep and 400 Angus cattle, and produced potatoes, poppies, canola, grass seed, and cereals on the land.

 

Although crashing milk prices are somewhat hobbling the dairy sector, grazing properties are in demand from overseas investors according to John Hewitt, director of Landmark Harcourts Tasmania which marketed the property. Lower interest rates, the weaker Australian dollar and rising commodity prices are bringing a firming of land values.

 

"Money is coming in from Switzerland and other parts of Europe. There's also appetite from local operators," Mr Hewitt said.

 

Other properties that Landmark Harcourts plans to bring to market this spring in Australia include Middle Park, a 1,931 hectare grazing, irrigation, and forestry property with prices expectations between $4 million and $4.5 million. The property also produces wool and prime lamb and includes a 160 hectare eucalyptus plantation. Panorama Vineyard and winery, which produces pinot noir and chardonnay wines with a price expectation of between $1.5 million and $2 million, and Elders Rural plans to bring to market the 160 hectare organic Forest Hill Farm which produces carrots, onions, potatoes, broccoli, cabbage, garlic and zucchini for local and Asian markets.