Businesses bid big
DRIVEN by its location two local businesses recently outbid farming contenders in an auction room battle for most of Newington Farm in Shropshire.
Including 108 acres of pasture, a substantial farmhouse, the farm buildings and 263,887 litres of milk quota it was declared sold at £500,000 (£4630/acre). Auctioneer Peter Willcock of Halls valued the 44% used quota at 58p/litre for the clean and the rest at 46p/litre putting the value on the land and buildings at £3342/acre.
The purchaser, Euro Quality Lambs, a substantial export business, has its abattoir in the nearby town Craven Arms and bought the land at Newington Farm for additional grazing. A local engineering business adjoining the farmstead was the underbidder.
With the A49 running through the farm the remaining 96.49 acres were offered in six lots.
"Although many farms have sold as a whole this year, in this case we decided that lotting up would generate a higher overall sale price," says Mr Willcock.
Most of the land was pasture with only 36.92 acres eligible for arable area aid. Lot sizes ranged from 2.70-51.17 acres and totalling £312,500, it all sold to local farmers for prices between £2775-5370/acre. *