A Canterbury farm bought for $5 million 14 years ago sold for $65 million last week.
Ealing Pastures was purchased in 2000 by a farm partnership made up of former South Canterbury Finance boss Alan Hubbard, Perth-based investment company Pullington and New Zealand-based couple Andrew and Rachel Morris. . .
Today’s sale is a whopping 1300 percent profit. The farm had an estimated value of $60 million. . .
The difference between the purchase price and the price the property sold for is $60 million but that is very unlikely to be all profit.
The property was a Landcorp finishing farm might when it was bought and millions of dollars would have been spent in the conversion to dairying and other improvements.
It is probable the sale realised a considerable profit but it would not have been the $60 million difference between the purchase and selling prices.