Part-own a wine farm
HEMELZICHT: SHAREHOLDING FROM R1M New unitised investment model makes it a lot more accessible.
Q&A with the pioneers: Hemel-en-Aarde valley’s new unitised investment model now makes owning a wine farm and becoming a winemaker more accessible. As wine auctions grow the world over it has become a lucrative auction market to be involved in.
Roland Peens: Hemelzicht Vineyards CEO
Q: Your experience in fine wine spans decades. Please tell us about your background.
Having studied economics at the University of Stellenbosch I fell in love with wine and the industry. I later studied wine and worked in exports, marketing, sales and as a sommelier in London. Over the last 15 years I have been at the helm of leading retailer WineCellar.co.za and continue as a director. In 2018 we launched South Africa’s first wine investment products and in 2019, Strauss & Co Fine Wine Auctions.
Q: How did the Hemelzicht Vineyards opportunity come about?
Hemelzicht Vineyards was born when I sat next to Cairo Howarth on a bus during the annual Hemel-en-Aarde Pinot Noir Celebration. The local resident and successful entrepreneur was excited by a particular property, as well as a model to make owning a wine estate and brand more accessible, as were the Newton Johnsons. We all recognised the value of this opportunity, especially with the high Hemel-en-Aarde brand equity. During 2020 we built a unique model to develop the prime Hemelzicht Vineyards.
Q: What makes this unitised investment model so special?
The Hemelzicht Vineyards investment model is unique in that you can become an owner for as little as R1 million, and it allows shareholders to enjoy the benefits from year one, in a simple fractional ownership investment. Importantly, the founder families of Newton Johnson, Howarth and Peens bring vision, experience, and track record to the development.
Q: What are the key benefits to the investor?
The owners enjoy a hassle-free investment offering high potential capital growth, with no servicing costs (no monthly/annual levies or fees). Secondly, the estate will be sales-led, focusing on the sales targets to increase company growth. Along with capital growth, dividends are distributed in fine wine and luxury accommodation each year. Cash dividends will be considered in year seven.
Q: What exactly will investors own if they invest in the Hemelzicht Vineyards venture?
Shareholders will own equity in the company that owns the wine estate land, the brand, villas and winery.
Q: Are there similar investment models on the global arena? How do they compare?
Similar international options allow you to invest in projects within a wine business such as Winefunding.com and Smergers.com. The Hemelzicht Vineyards model allows investors to become owners with the same rights as the other shareholders. – Citizen reporter