Yesterday in Melbourne, CBRE Agribusiness director Matt Childs addressed the issue during an Australian Agribusiness Farmland Values networking event.
“Compared to previous years, the volume of competition is lower, but A-grade and turnkey assets have strong appeal and are attracting good competition from qualified buyers,” he said.
Mr Childs said the point of difference was that poorer-grade assets are having trouble transacting.
“Two years ago, the gap between ‘good’ and ‘poor’ assets was narrower. That has widened because a portion of the market is sitting on its hands waiting for the right property.”
He said today buyers were compromising less.
He said buyers wouldn’t focus on the coming season; rather, the investment would be a long-term play.