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176 farms were sold in November; prices per hectare rise for dairy, fall for all other types

176 farms were sold in November; prices per hectare rise for dairy, fall for all other types

There were 176 farms sold in New Zealand in November, the highest number for a November since 2007.

40 of them were dairy farms, also the highest number for a November since 2007.

The average price per hectare for these dairy farm sales was $40,023 the highest level ever on a national basis.

The dairy farm sales were driven by Waikato demand. But it is Canterbury where the top prices are being paid, especially for irrigated units. In fact, the median Canterbury dairy farm went for a remarkable $51,199 per hectare.

REINZ Rural Spokesman Brian Peacocke said "Prices across the board for dairy properties have firmed, with a clear emphasis on quality and location."

The REINZ Dairy Farm Price Index rose by 4.2% in the three months to November compared to the three months to October, from 1,772.0 to 1,845.9.  Compared to November 2012 the REINZ Dairy Farm Price Index rose by 2.6%.  The REINZ Dairy Farm Price Index adjusts for differences in farm size and location compared to the median price per hectare, which does not adjust for these factors.

‘Spectacular’ prices have been paid for select properties in prime locations, particularly in the main dairying areas of Waikato, Taranaki, Canterbury and Southland, the REINZ said.

However, they say price resistance from some purchasers is now an emerging issue at the upper end of the market.

Areas such as Rotorua/Taupo, Northland and Otago are experiencing a strong increase in activity as those seeking a higher return on investment and first farm buyers focus on regions where lower prices prevail.

Demand for land suitable for dairy conversion in the South Island continues to put pressure on supply, with dairy support properties being pushed further into fringe areas.

Demand for good sheep and beef properties is strong in Hawkes Bay, Canterbury, Otago and Southland, particularly in the 5,000 – 10,000 su range. Prices generally range from $7,000 - $10,000 per hectare, with values as high as $15,000 - $23,000 per hectare at the top end of the finishing/grazing market.

The horticultural market in Auckland, Bay of Plenty and Marlborough continues at a steady level.

November sales included: 

    9 arable farms,
  40 dairy farms,
  38 finishing units,
  72 grazing properties,
  13 horticultural,
    4 farms of other types

The number of sales is presented here, without the average price, because average prices bounce around dramatically depending on the size and type of business unit being sold. However, the following table sets out the median prices per hectare over the past three months, as reported by REINZ.

$/ha - November 2013   Arable Dairy Finishing Forestry Grazing Hort Special
New Zealand   24,727 40,023 19,696 5,000 17,364 142,341 16,735
Northland     15,139 11,633 4,439 7,317 17,304 3,503
Auckland     32,386 42,147 236,661 21,133 204,460 711,881
Waikato   348,182 45,480 20,193   36,818 82,500 9,471
Bay of Plenty     28,040     20,850 217,987  
Gisborne       13,047   5,296 104,305 1,261
Hawkes Bay   16,398   9,930   14169 107,143  
Taranaki   74,122 45,096 151,757   26,937    
Manawatu/Wanganui   21,452 14,826 21,935 2,399 5,650 16,629 80,712
Wellington   24,118   7,905 14,798 19,651   69,716
West Coast           15,756    
Canterbury   42,149 51,199 24,651   20,984 41,269 44,444
Otago   19,199 32,295 9,631 5,000 10,848 37,989 35,737
Southland     40,052 24,356   23,225 457,746 15,170

You can find current farms for sale and listed on the market here.

for more perspectives, see

Exchange rates
Commodity prices
Farm cost indexes
Interest rate trends
Rural credit aggregates
- Farm sales activity
Farms for sale
International dairy prices

for saleyard and processor price trend graphs, see


Farm sales

Select chart tabs

New Zealand
Source: REINZ
Source: REINZ
Source: REINZ
Source: REINZ
Source: REINZ
Source: REINZ
Source: REINZ

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The average price per hectare for these dairy farm sales was $40,023 the highest level ever on a national basis.


Is this a good thing? I suppose the previous owners charged with servicing the debt or making a net return that would attract tax thought not. 


Well we'd be sellers too at:.

Waikato arable: $348,182 / ha


Taranaki finishing: $74,122 / ha

and look at the Auckland forestry $236,661 / ha

but what is the Southland Hort? $457,746 / ha

With the Cantab Diary, it probably includes the Italians, but the real story is the MS/kg per ha. See those numbers and the $ per production is not going up - plus is it with or without shares.... 


Q Question: With dividend at 10 cents, how much should one borrow against Fonterra shares - say the int. rate we pay is 6%

(is it as much as the bank will give)... (is what we will pay for them) .... (is it what the div payment services)



Gee all that information and no-one bothered to find out how many of these sales went to foreigners


No but they mentioned first farm buyers. Is there even such a animal? I would have thought them well exstinct.


Oh, they know alright. It's suppressed. Or censored. Or intentionally withheld


Don't want to frighten the horses. Dangerous info that.


We have just been involved in the purchase of some rural land. Had to produce a certified copy of the ID page of my NZ passport


Fonterra's boss says the astute dairy farmer should pay for land based on the 5 year roling average if they wish to avoid a bust.

Bubble anyone?

Just think how those overseas dairy farmers are acting to try and capture a chunk of the market. Now how big is the NZ output as a percentage of world output?

New Zealand Dairy Statistics 2012/13

Table 5.1 and 5.2

The purpose of New Zealand Dairy Statistics is to provide statistical information related to the New Zealand Dairy Industry. Funding is provided by Livestock Improvement Corporation (LIC) and DairyNZ Incorporated (through the dairy farmer levy). Contributors include New Zealand Animal Evaluation Limited.


Justice, just this once would be nice.

A little economy, would be a bonus.

A few changed and improved rules and rulers, a blessing.

And surely counterfeiting is a crime.

So is a ponzi, is it not, what about theft as a servant, Nigella thinks so, do you??..?...snort.

It comes to something, when the saver and taxpayer has to bailout a multi-million dollar entity. Over and over again. And I am talking farmers as well as film stars, their producers, their banks and their ilk.

It also comes to something, when a mayor can take a rest to the tune of 40grand for him and his other sleeping partner, but it costs 100grand to find him beyond reproach, beyond the pale, beyond redemption to the paying ratepayer, yet again. Might as well have slipped her a mink coat, it would have been cheaper and turned a blind eye to save the dosh, ill spent.  I  had heard he thought he was a Labour man, but it seems he is just plain shagged out from all the not working and pulling our chain, not his weight. Politics would welcome him with open arms.

Are we stupid, or what?. The answer is yes.

It comes to something when a man can work part time, yet claim full time wages, perks of overseas travel, taking his sleeping partner to boot, to visit a dead man who spent his formative years fighting a similar corrupt state of affairs. Boy, how roles have reversed.

When you add it all up, it is the fraudulent use and taking the liberty for not what they are entitled to.

I also call it taking the urine.

And as far as I can see, there is no justice. Not much economy and as for sleeping on the job, what do we pay, wages for , rates for, taxes for, politicians for, public servants for, cos it is not working, as far as I can see.

So why work New Zealand, it does not pay, may as well spend till ya drop and borrow to the hilt and max out the credit cards, why work, be happy as a pratt in clover or a celluloid dwarf and a blue tit.. 

Oh and buy a coupla houses for a million bucks or a farm. And charge it to the state.

Cos some one did....lots of em, why not you. ??

You might just get away with it. They have.