Swedes to buy Hart farms

Southern Pastures Limited Partnership, a group of Swedish investors, have Overseas Investment Office approval to buy eight Waikato dairy farms from Graeme Hart.

Swedish investors have government approval to buy eight Waikato dairy farms owned by NBR Rich Lister Graeme Hart.

The farms were part of 29 former Carter Holt Harvey dairy farms near Tokoroa – supporting almost 20,000 dairy cows over 30,000ha, on land converted from forest – put up for sale in 2010.

They were marketed for $225 million, with the cheapest at $5.1 million, suggesting the Swedish deal is likely to be worth tens of millions of dollars.

Ex-All Black captain Graham Mourie will run the farms for the Swedes. . .

The 16 former Crafar farms, the sale of which caused the xenophobes so much angst, covered about 8000ha and carried 16,000 cows.

That sale was believed to have been for about $200 million.

On the face of it, the Hart farms look like a bargain when compared with the Crafar ones but – and I stand to be corrected on this – I think the Crafar farms are on much better land.

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3 Responses to Swedes to buy Hart farms

  1. JC says:

    I’m pretty sure these are ex forest sites with a fair bit of steepness to them. They’ll be fertile enough but with a fair area lost to windrowing of the logging detritus.

    The cost of conversion is up to $2000/ha so they would be a bargain at the 2010 price. However, they presumably have an extra two years of farming since then.

    JC

  2. Bulaman says:

    Rolling terrain converted from trees. Around 35,000 hectares in the pre ETS clearance with more now underway due to the low surrender price of our good friend the CO2 molecule. Fertilitiy and soils not great. Have significant drought issues and would be worth a LOT more if they could get Waikato water on to it.

  3. Glen Herud says:

    The difference between the crafer farms and the hart farms is,it appears the Swedes are not planning to process and market the milk overseas using the NZ brand.
    If the Swedes were to do that then we should be worried.

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