Receivership sale brings end to farmers’ dreams

Receivership sale brings an end to family farmers’ dreams.

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Two brothers’ dreams of owning and running a large scale sheep and beef farming operation in the Central North Island have seen their ambitions disappear – with the announcement of a receivership sale of their sizeable landholdings.

Pohonui farm and Rosemerryn farm – both west of Taihape – were purchased only a few years ago when the farming sector was booming. Pohonui is a 1595 hectare property historically wintering up to 15,000 sheep and cattle stock units, while Rosemerryn is a 537 hectare ‘finishing farm.’

While both farms have been farming in conjunction by the same owners, the properties are being marketed individually by Bayleys Real Estate on behalf of receivers McDonald Vague.

Bayleys Lower North Island director Pete Stratton says the brothers’ predicament was stereotypical of what many farmers in New Zealand had gone through as a result of the global recession, combined with a downturn in the rural economy.

“Essentially, both these farms are high quality units, having been very well maintained and with proven histories of producing excellent sheep and cattle. Their solid reputations were what initially attracted the owners to purchase them - with the opportunity to substantially invest in the properties and increase output even further,” Mr Stratton said.

Both properties are being sold through a tender process through Bayleys, closing on April 8, 2010. Bayleys Rangitikei agent Geoff White is responsible for the marketing of both properties.

Mr White said that at Rosemerryn there has been extensive cropping, re-grassing and a fertiliser program that has lifted production and wintering capacity. Rosemerryn has been subdivided into more than 60 holding paddocks and lanes - utilising conventional and deer fencing over moderately contoured and fertile soils.

The farm’s homestead has been extensively renovated, while a three-bedroom renovated cottage was available for use by farm staff. Other utility buildings on the farm include two woolsheds totaling seven stands, as well as substantial deer handling facilities and cattle yards.

Mr White said that sister property Pohonui has two distinctive blocks on either side of Pohonui Road. The Wallys block was 863 hectares and had a central ridge running the length of the property - making for easy access for stock with some of the ridge top being lane fenced. It had the added bonus of 75 hectares of flats meandering around the Mangapapa River.
Meanwhile the sheltered Karetu block was another 732 hectares with a good balance of easier contour terrain –including approximately 40 hectares of cultivated land.

“Pohonui has seen an extensive subdivision programme – with new conventional tanilised posts and batton fencing, including a five kilometer boundary with a neighbouring farm, and covered yards for up to 1500 ewes have also been built, plus extensive tracking and new dams for stock water.”

Tighter lending from the financial institutions has been credited by Real Estate Institute of New Zealand President Peter McDonald as being of concern for the rural sector. This contraction of credit lines was part of the reason Pohonui and Rosemerryn had been placed in receivership.

ENDS

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