AGRI LAND SALES ARE ‘FLYING’

THE farm property scene in Munster is flying shape in 2018 with much of the action happening around Cork and Tipperary.

According to Irish Independent writer Jim O’Brien, many commentators credit the dairy industry and the bloodstock industry with driving the prices in Cork and Tipperary respectively.

Indeed, it seems the current high prices are putting land purchase beyond the reach of many ‘ ordinary’ farmers.

Fourteen auctions in the province in the first six months of 2018 saw 577ac change hands, realising a total of €7,426,800 in revenue and a per acre price of €12,880, marking almost a 26pc increase on the average price paid in the first six months of 2017. The amount of land sold declined 13pc while the revenue generated increased by a whopping 13.4pc.

The sales were concentrated in Cork and Tipperary. The headline transaction was the sale of a 101ac farm at Monees, Douglas in Cork that made €5.8m. Located within the new Cork city boundary, it was bought in trust by a Galway solicitor.

While the residential holding is currently not zoned and farmed for tillage and grass there is a belief that its real value is associated with its location and its development potential.

Among the other headline sales in the province was the auction of a 92ac parcel of tillage ground at Beechmount on the outskirts of Cahir, Co Tipperary. It made €2.125m or €23,600/ ac. While this piece of land is in itself the best of tillage ground, it did bring a certain amount of ‘ hope value’ given its location on the edge of Cahir.

CCM Property Network saw €19,400/ac paid for a 17ac parcel of grazing ground at Corrin, Fermoy. while another strong price was paid for a 45.5 parcel of ground at Carrignavar, which made €14,945/ac at one of the earliest auctions of the year.