read for you By Donatella Cinelli Colombini
Knight Frank is the largest independent estate agents in the world with 330 offices and 12.000 properties on sale. But most of all it is a formidable consulting and information office. They like vineyards and wineries very much. That type of business Knight Frank keeps a constant eye on, and is summarized in a report published on January 7th last:
•Vineyards are considered a good investment all over the world
• Mendoza and Tuscany have had the major increases in value in 2013 with 25% and 20% (music to my ears)
• The Spanish vineyards have registered the major decrease with 20% since 2000, the Italians with 15,3% and the French with 11,8%
• The extension of vineyards in New Zealand and China has increased by 164 % and by 90 % during the last 12 years.
In December Knight Frank published its “Global Vineyard Index 2013” a type of report regarding the value of wineries with a surface of less than 5 hectares. Its estimates, brought to us by WineNews, are very very interesting.
The highest prices are in Bordeaux for vineyards of Merlot, Cabernet, Sauvignon and Semillon in properties with traditional stone buildings, which have been renovated and with swimming pools. The values varies between 20.500 to 2.500.000 dollars per hectare and has decreased by 4% since last year.
Studying the report one understands how these most sought after properties are those where together with the vineyards there is also a historic building to be used as a holiday home. Evidently the attraction for wine is entwined with the desire of a lifestyle where there is contact with nature, where many friends can come and visit.
This explains the 10 bedrooms in a historic villa, which results in being the most
sought after in Chianti and Brunello land. The value of these properties has increased by 20% in a year and goes between 135 and 200.000$ per hectares. A price which at least in Montalcino seems to regard the average price for land including woods, land for crops, olive groves , untilled land and vineyards.
Among the highest quotations of the “Global Vineyard Index 2013” by Knight Frank, in second position is Chiavennasca in Lombardia and the Barolo area in Piedmont. Here too the price goes up if there is a historic building with con 3-5 bedrooms that can be increased so as to create a country inn. The quotation goes from 202 to 1.200.000$ per hectare.
Third, still in the highest quotations, Stellenbosch in the Cape region in South Africa where however the prices vary a lot: between 4.000 and 600.000$ per hectare and there has been an enormous decrease during the past few months. In this area too though, it is important that there be a villa on the property, that must be in the style of the local tradition. On the other hand, the area that has been mostly revalued in 2013, is Mendoza in Argentina where it is possible to buy at 30-100.000$ per hectare.
A wide range of prices – 135-588.000$ – also in Napa Valley for a “California Ranch style property ”with swimming pool and vineyard.
If we go and see who buys the vineyards we discover that in China in the Xingjiang valley only Chinese buy, those who receive most foreign investments are Bordeaux, Chianti, the Loire valley and Mendoza where 40% of buyers are foreign.
For Italy the graph of values arrives from Assoenologi and regards only vineyards, not houses or other types of land of the properties on sale.
So at the top of the list we have Cartizze with 1.200.000€ per hectare, an area which has seen its value decrease during the last few years but however stands out in the middle of the Prosecco area where the prices go from 110.000€ for simple allotments to 400.000€ in the historic area in the best spots. The Alto Adige prices are high and stable, quoted between one million and 600.000€ per hectare.
In the two most famous areas for red wines -Piedmont and Tuscany- the panorama is very diversified. 70-80.000 € for a hectare in Asti, 230-350.000€ in Barolo but 700.000€ on the Cannubi hill, if it is possible to find someone who wishes to sell.
Montalcino is top of the list for Tuscany with its prices 4-500.000€ for a hectare of Brunello, not even one of the most famous ones.
On the other hand, among the most convenient areas one must point out the Trapani area in Sicily and Castel del Monte in Puglia where with 30.000€ it is possible to buy a hectare of vineyard, and just a little more expensive, except a couple of exceptions , is the Oltrepò Pavese.