Swiss wealth management firm, Blue Harvest SA, has completed its sixth investment advisory mandate in Danish farmland. With this transaction, Blue Harvest is now advising on more than 700 acres of farmland with a total capacity of approximately 9,000 hogs.
In a conversation with GAI News, Blue Harvest explained that many Danish hog producers are facing challenges in connection with nearly record low prices, providing the firm with excellent opportunities to acquire distressed hog production operations.
In several of its transactions, the firm has structured deals on a buy-to-lease basis, letting the facilities back to the seller. However, although the hog industry is currently attractive, the firm is also exploring dairy farms and other opportunistic farmland deals.
Geographically, Blue Harvest is currently focusing on farmland investments in Denmark, where attractive market conditions and positive risk/return rewards present an attractive investment landscape. For centuries, agriculture has been the main industry in Denmark, and today the country, which boasts 4.310 million hectares (10.650 million acres) of land, of which 60% is cultivated, maintains one of the most efficient and knowledge-based agricultural sectors in the world, providing a safe play in the landlord investment space.
“We currently see a window of opportunity to investment in Denmark, as you do not only benefit from attractive farmland prices, but also from the infrastructure of a mature market and the transparency of a stable triple-A country”, said Jens Ohnemus, CEO of Blue Harvest S.A.