Rural investment firm MyFarm is partnering with Sacred Hill wines to offer investors a share in a large-scale Marlborough Sauvignon Blanc vineyard conversion. MyFarm is seeking $7.8million from investors to establish Mt Olympus Vineyard Limited Partnership, which will purchase a 114 canopy bareland block in the Wairau valley, to be converted by Sacred Hill into a 98ha Sauvignon Blanc vineyard. Investors will own the new vineyard and receive a lease rental from Sacred Hill once the property is fully developed in two years’ time.
MyFarm CEO Andrew Watters said that Marlborough Sauvignon Blanc has become a brand in its own right and the export market demand for it continues to grow.
“Total direct New Zealand wine sales have grown strongly since the early 2000’s to sit around $2.1-2.2 billion per annum today. Marlborough Sauvignon Blanc has been at the epicentre of this growth.”
However, he says Marlborough Sauvignon Blanc’s growth is limited by land availability. Latest estimates suggest that only 10 percent of Marlborough land suited to growing Sauvignon Blanc remains undeveloped.
“The rarity of land and conversion opportunities in Marlborough is a key part of the appeal with this investment. These kind of opportunities are getting harder and harder to find.”
The Mt Olympus investment opportunity is open to wholesale investors with $100,000 to invest. It closes Friday 2 November.
In 2016 Sacred Hill successfully managed the conversion of a 90 canopy ha vineyard, Bartletts Creek Limited Partnership, which the company now leases. A 2017 valuation of the vineyard indicated 48 percent capital gain in the value of investors units since conversion.