December 23, 2024

By Gerelyn Terzo, Global AgInvesting Media

FarmTogether, an investment firm specializing in U.S. farmland, has added a pair of illustrious vineyards to its expanding portfolio, bolstering its wine grape offerings. The firm has announced successful closings on Josephine Vineyard and Pearl Vineyard in transactions totaling nearly $6 million. FarmTogether, which oversees $200-plus million in assets under management across over a dozen crop types, is behind an innovative crowdfunding platform that offers investors flexibility to invest on a deal-by-deal basis.

The deals align with FarmTogether’s strategy to hunt diverse farmland investment opportunities reflecting sustainable agricultural practices in unique wine-growing regions of the country.

Located in Oregon’s Applegate Valley AVA wine region, the Josephine Vineyard marks FarmTogether’s foray into the Beaver State’s wine grape territory. It comprises 75 acres of mature Pinot Noir vines planted about a decade ago. As a $3.6 million crowdfunded offering, this deal was fully syndicated in a quick three days, demonstrating robust demand among both returning and new investors. The property targets a net IRR of 10.6 percent, net average cash yield of 8.3 percent and an equity multiple of 2.2x over a 10-year term.

Pearl Vineyard represents the fifth holding in FarmTogether’s evergreen Sustainable Farmland Fund, a diversified portfolio of Northern California pistachios, Oklahoma pecans, Colorado corn and soybeans, and Central Valley California citrus. Pearl Vineyard comprises 53 acres across Pinot Noir and Viognier varieties. The property is supported by senior-priority water rights, ensuring a reliable and sustainable irrigation supply.

FarmTogether Head of Asset Management Boyd Corkins stated, “Both Josephine and Pearl Vineyards exemplify the caliber of opportunities we aim to offer investors — properties with strong fundamentals, proven crop potential and a commitment to sustainable agricultural practices.”

Established at the turn of the century, Oregon’s Applegate Valley region spans 278,190 acres just north of the California border, including a planted area of 750 acres. Prevalent in stream sediment soils, the acreage is known for growing varieties like Merlot, Cabernet Sauvignon, Chardonnay, Syrah, Tempranillo and Pinot noir. Soil development in the region has been largely influenced by the Applegate River, which has created deep, well-draining stream sediments such as fractured granites. In turn, vineyards are known for producing plush and full-bodied Southern France-style wines with subtle hints of savory minerality, per the Oregon Wine Board.

Separately, FarmTogether has appointed Isaac Querub Caro, a shareholder of the firm with decades of C-suite experience, to its board of directors. As the former CEO of Glencore Spain, Querub Caro led the operations of one of the biggest commodity trading firms on the planet.

Of the board addition, FarmTogether’s recently named CEO David Gould stated, “Isaac’s unparalleled expertise in scaling industry-leading companies and navigating complex global markets will be invaluable as FarmTogether expands its footprint and product offerings. Isaac is a proven leader whose insights into commodities, capital markets and operational strategy will undoubtedly enhance our ability to deliver innovative farmland investment solutions for our clients.”

In addition to its crowdfunding platform and Sustainable Farmland Fund, FarmTogether offers investors multiple ways to access U.S. farmland, including both bespoke and separately managed accounts (SMAs).

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