Let farm widens choice for investors

The investment market appears not to have suffered from any waning of interest in the last three months, with farms continuing to sell to a wide range of buyers.

Still sifting through offers on various parts of the Aldwark Estate in Yorkshire, launched in October, Carter Jonas is offering another tenanted investment farm near Wetherby on behalf of a retained client.

Compton Grove Farm, Collingham, has a modernised, four-bedroom brick farmhouse, a separate semi-detached cottage and a range of farm buildings that include a modern grain store. The farm is all let under a secure agricultural tenancy and provides over 305 acres of productive arable land, as well as 20 acres of pasture and woodland within a ring fence.

The property generates a gross annual rent of over £21,000 – a yield of just over 2%, partly reflecting its amenity potential, although the rent is currently subject to a review notice. “It represents an ideal low-risk investment which will appeal to either individuals or larger organisations during these troubled economic times,” said Tom Whitehead of Carter Jonas’ Harrogate office. “Compton Grove offers significant long-term reversionary value once the current type of tenancy comes to an end and although the shooting rights are let under a separate agreement these could be brought back in-hand, offering further appeal.”

Compton Grove is being sold by the Lady Elizabeth Hastings Estate charity and is being marketed as a whole for offers over £1m.

Meanwhile, all nine lots that made up the 538-acre Warburton Estate near Lymm, north Cheshire, are under offer to about five buyers for what is likely to be something close to the guide price, just short of £4m. Most of the land was let on FBT or AHA arrangements, with the biggest lots extending to around 180 acres. Investment interest was strong, according to Graham Bowcock of selling agent Berrys, with local farmers keen to look at the FBT land. “My impression is that land is seen as a relatively solid investment,” he said.

The firm is about to put a 60-acre farm for sale on the Wirral, which is let under an AHA. With a farmhouse, and a cottage let separately, the guide price for Vineyard Farm, Bebington, which is currently part of a national house builder’s portfolio, is £750,000.