The Sustainable Agriculture Fund has sold 10 properties across NSW and Victoria, the lion’s share of a portfolio it put to market in March, for a price understood to be about $110 million.
AgCAP, which manages the super fund-owned Sustainable Agriculture Fund, sold the tranche of properties – the first of several deals in the sale of the portfolio – across NSW and Victoria with a combined area of 16,000 hectares to TIAA-CREF Global Ag Properties.
‘‘This is a particularly pleasing result for the investors and managers of the fund, and builds on the strong operational returns from the last two years to deliver a very robust total return to the investors across the life of the fund,’’ AgCAP CEO Martin Newnham said.
The purchaser’s asset manager, Westchester Agricultural Asset Management, headed by chief executive Randall Pope, is understood to have struck several arrangements with local farming businesses over the plant, equipment and crops associated with the different properties.
‘‘AgCAP believes these transactions are in the best interest of the shareholders and our staff, and the future management of the assets,’’ AgCAP general manager of strategy, Deo de Jesus, said. ‘‘There will be continuity of operations with local contractors and service providers to be used under the new ownership.’’
The sale by its super fund owners of the fund – which owns 23,000 hectares of the highest-quality farms in Australia from King Island to Moree in NSW – highlights the difficulty for agricultural fund managers of ma...
Read "Prime" Ag News full story!
Be a "Prime" Monthly Member