Surge of interest in horticulture drives property prices up
TERRITORY mango farmers are reaping the fruits of their work, with rural properties in hot demand.
Real estate agents say a surge of interest in the horticulture industry has meant five Top End commercial-scale mango farms have been sold to locals or Australian-based companies.
Colliers International's national director of transaction services for agribusiness Tim Altschwager said buyers were looking for farms with scale.
"There is quite a bit of interest in horticulture assets not only just in the Top End but around Australia ... if it has scale it will sell,” he said.
The most prominent recent mango farm deal was the sale of the Oolloo Farms aggregation for $18m.
The portfolio had four farms in Darwin, Katherine and Mataranka covering 1311ha, with more than 500ha planted of the Calypso mango variety.
The Oolloo Farms sale follows ongoing interest in Territory mango farms by investors.
One of the NT's biggest mango farms, Jabiru Tropical Orchards near Darwin, fetched about $8m when it sold. It runs about 35,000 mango trees across four properties.
Acacia Hills Calypso Farm was sold for a sum understood to be about $10m.
Mr Altschwager said while a lot of inquiries came from overseas for horticultural assets, the majority tended to go to locals.
"A lot of the eventual purchases are local because they can move quicker on the finance to buy,” he said.
He said value rates were generally between $20,000 to $30,000 per planted hectare.
Mangoes are predominantly grown in the Northern Territory and Queensland, which combined produce about 95% of the total national crop.