F a r m s an d L an d
Barnstaple Bidefo Bideford Meet the Stags Farm Agency
South Mo
Okehampton Launceston
GEORGE ALDER Head of Farm Agency 01392 680059
Wadebridge Truro
RACHEL WOOLLACOTT Farm Agent 01392 680059
Tavistock Plymouth
To Totnes
Dartmou Kingsbridge
ANDREW RANSON Farm Agent 01566 774999
ANDREW DODDS Farm Agent 01769 575244
Contact us: TRACEY VEALE Administrator 01566 774999
@ 01392 680059
farms@stags.co.uk
@stagsproperty
@stagsproperty @stagsagri
@stagsproperty @stagsagri
Welcome H
Dulverton
olton
Taunton Yeovil Wellington
Tiverton Exeter
Honiton
Bridport
Torquay
uth e
London
ello and welcome to this new edition of Stags Farms and Land magazine. It is fair to say that the farming industry has been through a challenging time in recent months. Indeed, farming is facing arguably its most profound change in the modern era, as we anticipate both new export trading arrangements as well as a new domestic agricultural policy after Brexit. Stags Farm Agency has a mission statement: ‘From farms to fields, we offer realistic, knowledgeable and honest advice’ and I believe it is even more important than ever to do so in these times of uncertainty. We offer bespoke advice, as no two West Country farms are ever quite the same. You may be wanting to convert an outbuilding profitably, need help applying for government grants or have plans to buy or sell farms and land. From farms In this issue, I hope you will to fields, here find much to interest and advise you. On page 18, Alex at Stags we Stevens of the NFU takes a offer realistic, long, hard look at Brexit and its potential impact on the knowledgeable rural economy. On page 8, my and honest colleague Lydia Cox gives her top three tips for getting your advice farm Brexit-ready. Meanwhile, on page 16, Stags auctioneer Andrew Ranson looks at the advantages of selling land and whole farms at auction. On page 10, I look at the key differences between a commercial farm and a residential one - a crucial distinction when it comes to putting your farm on the market. If you’re thinking of making the move to a larger farm, Rachel Woollacott has some expert advice on how to do so on page 14. I hope the following pages offer you some practical advice and insight into the future for farmers and landowners in 2018. If you would like to discuss any issues with either myself or any member of the Stags Farm Agency team, please feel free to pick up the phone or drop us a line. We are always happy to hear from members of the rural community.
GEORGE ALDER Stags Partner and Head of Farm Agency
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What to expect when you sell through Stags Andrew Dodds of Stags explains why the aim when selling a farm or land is always to achieve a client’s objectives, whatever they may be…
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he decision to sell fortunate to have in-house specialists a farm or block of within the firm in our Professional land is one that Services department. We also have an is rarely made lightly. extensive network of residential agency An agent’s role in the offices right across the West Country, process is to understand so we are aware of current policy the client’s reasons behind and property market trends the decision, so that the best across the region. This means possible outcome for the that even during our initial vendor can be achieved. meeting with a potential Would dividing client, while walking around More often than not, the objective is to realise the the property the farm or block of land, highest sale price. Howwe are asking ourselves: into lots ever, sometimes finding ‘Would that barn be suitable a low-risk buyer who can make it more for residential conversion proceed with the purchase will obtaining planning saleable and and quickly is more of a priority. consent to do so add add a financial value?’ or ‘Would dividing Here at Stags, we try to keep the sale process as the property into lots make gain? uncomplicated as possible it more saleable and add a but we also always look at financial gain?’ the potential to add value Our professional Planning through planning consents or dividing team can provide detailed advice on the property into lots, rather than taking a range of planning issues. Where a the simplest, more obvious route of farm or land sale is involved, the most selling as a whole. common issues are barn conversions or Not only do Stags valuers have a broad residential development. However, it is knowledge and skill-set but, where also very important to get professional specialist advice is required, Stags is advice where there are existing planning 4
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breaches that need to be legalised. Not only is this crucial in order for a property to be correctly marketed but also so that when a buyer has been found, the conveyancing process is not held up unnecessarily. Even if the decision is not to apply for planning consents, our advice means we can inform potential buyers of any possibilities to add value. Stags Farm Agency department provides co-ordinated national and regional marketing coverage for all farms and larger land lots sold by Stags across all our 21 local office areas. The team also acts as a hub for buyers originating from outside the South West who are looking for properties right across the region. Because our team members specialise in the sale of agricultural property, we are confident in answering all manner of technical questions about the farms and land lots we are selling. Each Stags farm valuer covers a particular area (mine being Mid and North Devon and West Somerset) so that we understand the particular local market conditions. Both residential property and land values are increasingly
SOLD BY STAGS IN 2017 Somerset Newhouse Farm in Kittisford near Wellington totalled 163 acres and has been sold by Stags in five lots. The Grade II listed farmhouse was sold with a barn and 22 acres off a guide price of £790,000 while the remaining land lots were sold to local farmers and landowners. Stags also assisted the vendors in obtaining planning consent on an old milking parlour to turn it into a dwelling and this has been sold to a young couple.
Cornwall This productive, level pasture land is located two miles from Truro with easy access onto the A39 Truro to Falmouth road. It was divided into two lots: Lot 1 was 3.66 acres with a guide price of £55,000 and Lot 2 was 2.54 acres, with a guide price of £45,000. Both lots were bought by the same family. driven by location, so our local offices provide valuable knowledge of local residential values and potential buyers. This broad knowledge base enables Stags Farm Agency to ensure that the guide price is pitched at an accurate level. We know we are on the right track: in 2017 we achieved on average 101% of the guide price for our clients. Stags also has much to offer beyond the immediate business of buying and selling farms and land. Stags Professional Services department is able to assist with valuations for Capital Gains Tax purposes or for transferring Basic Payment Scheme entitlements. Our livestock auctions and on-site sales are the ideal way to organise and handle the sale of livestock, farm machinery and other equipment. What does this mean? It means that, with Stags, the whole sale process can be more focussed on achieving a client’s objectives, whatever they may be.
Mid Devon A traditional mixed farm, Great Hayne comprised two houses, farm buildings and 102 acres. Stags divided the farm into six for sale. Lot 1 was a farmhouse ripe for renovation, outbuildings and 8.63 acres, which found a local buyer off a guide price of £495,000. The second lot, a barn conversion with outbuildings and 3.18 acres sold off a guide price of £350,000 while the land lots - a mix of arable and pasture land - were sold to various local farmers and landowners.
Dartmoor In the autumn of 2017, Stags sold 330 acres of moorland within the Dartmoor National Park. With fine, farreaching views, it was sold at auction for £45,000. The land is near Wheal Jewell, near Mary Tavy, and ranges between 270 metres to just over 350 metres above sea level. The buyer lives overseas but wished to invest money inherited from his Devonian mother.
Andrew Dodds, Stags Associate Partner, Member of the Royal Institution of Chartered Surveyors a.dodds@stags.co.uk 01769 575244 stags.co.uk
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Selling with Stags right across the South West Stags Farm Agency has successfully sold a wide range of farms and land across the West Country. Here is just a small selection of the sales which our sales team has sold in 2017 1. Teign Valley A farming couple from the South East of England have relocated their pedigree herd of cattle down to this commercial farm just outside the village of Dunsford on the eastern side of Dartmoor. The three-bedroom bungalow had an agricultural occupancy condition and was in need of modernisation. The 2.North Devon The vendors of this characterful residential farm took Stags’ advice to market their property as a whole and in lots and consequently garnered interest from a wide variety of buyers. The attractive country house with private gardens and around five acres sold to a buyer from the South East seeking a rural hideaway off a guide price of £1,100,000. A further 67 acres of the land were sold to a local buyer, with a mature woodland sold as a separate lot.
buyers intend to update it to make a modern, comfortable family home. The farm includes two general purpose farm buildings, productive arable and grass land, some stunning woodland and a stretch of single bank fishing on the River Teign. The whole farm was sold together off a guide price of £950,000.
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3. Dartmoor This property includes a thatched Grade II Listed granite Devon longhouse with five bedrooms, two stone cottages (one with a protected tenant) and an extensive range of traditional barns. The grounds include a fishing lake, conservation areas, pasture and woodland, together totalling 104 acres. The property was sold in four lots, off a total guide price of £2,550,000, with three lots of the four purchased by a couple seeking to escape the rat race.
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5. East Cornwall In the run-up to Christmas 2017, Stags marketed 19.43 acres of grassland close to St Giles on the Heath near Launceston in East Cornwall. The land came with a range of farm buildings and good road access. The decision was taken to sell the land at auction, which was definitely the right approach as it drew quite a crowd. At the fall of the gavel, the highest bidder, a local farmer, had a bid of £98,000 accepted.
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4. North Cornwall Stags sold 120 acres of pasture, part of a large estate between Bude and Launceston, just before Christmas 2017. The successful buyer ran a nearby expanding dairy farm. Four lots remain available, including a six bedroom Grade II Listed farmhouse and 30 acres, with a guide price of £1,545,000. Also for sale is a 215-acre livestock/dairy farm with a four-bedroom farmhouse and farm buildings, with a guide price of £2,025,000.
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6. North Devon This farm lies in a quiet location near to the North Devon border, with a Grade II Listed thatched farmhouse and pretty gardens overlooking an orchard. The house was sold separately, to buyers from outside the area, off a guide price of £595,000, along with a range of outbuildings. The diverse mix of land - meadows, paddocks, ponds and woodland - was sold in various lots to buyers both from the local farming community and further afield.
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Is your farming business Brexit-ready? As Brexit approaches, there is a lot you can do to make your farm as prepared as possible for the changes and challenges ahead, says Lydia Cox of Stags There is no ‘one size fits all’ solution to Brexit but here are three key questions to ask that might go some way to help your farm prosper:
• Rationalising: Are there areas of your business that are underperforming and can be reduced or ceased in order to save costs?
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Am I making the most of other grant funding schemes while How will I make up the shortfall they are still available? There are several schemes that are still in Basic Payment Scheme available and may be worth considering payments if, as expected, they as a way of adding income. If are reduced post 2020? Many farms in the South West, you enter into a Countryside especially smaller mixed Stewardship Scheme farms, rely on agricultural prior to Britain leaving the One farmer subsidies as a core part European Union, the income tripled his of their income. The Basic has been guaranteed for the Payment Scheme goes income from full five years of the scheme. a long way to ensure the It is not a straightforward rents by business is financially option as farmers do have viable and a profit is made. to provide a significant level changing Without this income, many of environmental benefit on his tenancy farmers may be feeling the farm in order to meet the vulnerable. However, there agreements criteria. This is something are steps you can take to go that Stags can advise on some way to make up this as well as completing the shortfall. application forms for you, if required. • Economies of scale: Consider A request for an application pack needs whether you could expand your existing to be submitted by the end of May 2018 enterprises by taking on more land and/ and full applications must be submitted or stock to spread the fixed costs. by the end of July 2018. There will • Diversification: Are there any probably be another round of funding in opportunities to add value to your 2019 but, as we go to print, this has not existing enterprises or to create new yet been guaranteed. income streams? There are also two funds which are
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aimed at farm diversification and increasing business efficiencies, which Stags has been advising farmers on recently. The first is the RDPE Rural Growth Programme, which will fund 40% of projects that focus on rural tourism, business development or food processing and could provide an excellent opportunity to enable farm diversification. The minimum grant is £35,000, so this scheme is only suitable for projects with an overall cost of around £100,000 or more. The other capital grant scheme available is the Leader Funding. This scheme has no minimum grant amount, and as a result it is suitable for smaller farm projects, such as putting in a milk vending machine at the farm gate, which could bring in much-needed income.
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Are all my farm assets being maximised? Now could be the time to consider looking at farm buildings with a view to maximising their potential. While the obvious approach is to convert barns into residential units, you may find that, as an income stream, creating office or business accommodation makes better financial sense for you. If you are letting out land as grass keep or renting a building to a local business, are your tenants all paying the full market rents? One farmer recently tripled his income from rents by asking Stags to advise on updating his agreements. It might also be time to sell off any unwanted or unused items of farm machinery, which can raise a surprising amount of money. Stags’ on-site farm
sales team provides several options to sell unwanted deadstock by either entering items in a collective sale, hosting your own farm sale (should you have enough) or using Stags’ new dedicated auction facility, The West Country Sales Centre, at Willand, Mid Devon. You could even sell in one of our online timed auctions, which have proved a big success in finding bidders from all over the country. stags.co.uk
Lydia Cox is a Senior Chartered Surveyor at Stags, Member of the Royal Institution of Chartered Surveyors and Fellow of the Central Association of Agricultural Valuers. 01884 235701 and l.cox@stags.co.uk 9
What’s in a name? The difference between residential and commercial farms is key when it comes to selling up, says George Alder COMMERCIAL FARMS
These are primarily businesses, focussed on growing crops, producing milk or rearing livestock for sale in the market. The following criteria are priorities for commercial farm buyers:
Land Very often commercial farmers are looking for as many good quality acres as possible, even if this is to the detriment of the dwelling house (if indeed there is one). The land is the most important part of a commercial farm purchase as it is the only thing that cannot be substantially altered and will be the income generator for the whole enterprise. Farm buildings Depending on the chosen enterprise, a buyer will be looking for modern and adaptable buildings suitable for a variety of uses. The house Often this is not top of the list for a commercial farmer. A modest, easily-maintainable family house or bungalow positioned centrally within the farm and suitable for a family is the ideal for most commercial farm buyers. Huge,
period or thatched properties are often a no-no, as they are perceived to be too expensive, both in terms of initial outlay and ongoing maintenance.
Location Large or small, a commercial farm needs good access to the road network to be able to bring in inputs and deliver end products. Access roads need to be able to cope with modern farm machinery and often articulated lorries too.
RESIDENTIAL FARMS
Residential farms are properties where the house is of primary importance, with the land used mostly to provide privacy and enjoyment. The ability to earn money from the land is of secondary importance. Sometimes ‘too much’ land (over, say, 20 acres) can be a negative, as potential buyers for this sort of property feel they do not have enough knowledge, skill or time to deal with a large land block. Here are the key criteria that will attract a residential farm buyer:
The Farmhouse Often this is the key motivation in a purchase. Buyers often prefer a character property and are not put off by having to renovate or modernise such a property.
Location The farm needs to be easily accessible to key everyday services for the buyers, such as good schools, shops, gastro pubs, restaurants and easily-reached roads and rail connections. In general terms, many residential farms in the South West tick the boxes here, as they have the benefit of offering access to both the coast for water-based leisure activities such as surfing and yachting, as well as being close to moors and open countryside for riding and walking.
A desirable commercial farm on the market A good example of a commercial farm currently on the market with Stags in the South West is Broadridge Farm, near Tiverton. The farm is five miles south of the North Devon Link Road, with good access to South Molton livestock market to the west and the M5 to the east. The 178 acres of productive level grassland is divided into good-sized fields and there is an extensive range of modern farm buildings suitable for the housing of livestock. The farmhouse is a modern, comfortable family home situated at the centre of the farm. There are also three fishing lakes which offer an ideal opportunity of caravanning or glamping. The potential to generate additional income from non-farming activities is becoming increasingly important to commercial buyers. For more details see stags.co.uk, Web Find 30190 10
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The land This provides interest for would-be buyers, who may decide to use their acres in a variety of uses including agriculture, equestrianism, sporting or conservation. Most often however, buyers simply want the land to provide privacy and protection, often because they are relocating from much busier parts of the UK or abroad. It should be noted, however, that a commercial farm can be turned into a residential farm, often by dividing it for
sale into lots, while a residential farm can be turned into a commercial farm when the buyer owns neighbouring land. George Alder, Stags Partner, Head of Stags Farm Agency, Member Royal Institution of Chartered Surveyors and Fellow Association of Agricultural Valuers. 01392 680059 and g.alder@stags.co.uk
Stunning residential farm for sale Cobley Farm near Crediton is a wonderful residential farm set in the heart of Mid Devon. The farm includes a characterful Devon longhouse tucked away in a private position, with a range of buildings and 89 acres of attractive pasture and woodland in a ring fence. The farmhouse, set in the centre of the farm, is the main attraction for a residential buyer. A Grade II Listed longhouse, in parts it dates back as far as the 16th Century and retains many period features including characterful oak beams and traditional plank-andmuntin screening as interior walls. It enjoys a south-facing position, with beautiful rural views uninterrupted by neighbours. The land is divided into good-sized fields and is suitable for a small livestock enterprise or possibly equestrian use, while the River Dalch and pockets of woodland offer sporting and conservation appeal. The traditional and modern farm buildings are flexible, suitable for either agriculture or equestrian uses. Solar panels provide a renewable source of electricity, which can be important to those buyers seeking to increase their green credentials. In terms of location, the farm is just a mile from the Mid Devon village of Lapford, while the M5 at junction 27 is around 18 miles away. The city of Exeter, which boasts a range of excellent schools, retail and leisure facilities and has a main rail line connection to London, is a similar distance away.
Cobley Farm is on the market with Stags with a guide price of ÂŁ1,400,000. See stags.co.uk Web Find: 85589
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Superb dairy farm changes hands George Alder of Stags looks back on a successful sale of an impressive farm in Somerset
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n March 2017 Binham Grange and Farm in Old Cleeve, Somerset was sold by Stags. This property includes an historic Grade II* Listed Jacobean house, with three-bedroom cottage, modern dairy buildings and 274 acres. The farm is near the Quantocks, Exmoor and Blue Anchor Bay on the North Somerset coast. It was sold on behalf of a couple planning to retire. The spacious family home with all modern conveniences and plenty of period features had been used by the vendors in the past as an upmarket B&B and wedding venue. Versatile modern dairy buildings were home to a milking herd of 260 cows. The productive land surrounding the farmstead is suitable for the growing of maize, cereal and grass leys, while pockets of woodland and a stretch of river provide amenity interest. This sale is believed to be the largest dairy farm in the South West to change hands in 2017. 12
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The sale of Binham Grange in Somerset is believed to be the largest dairy farm in the South West to have changed hands in 2017 stags.co.uk
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Top tips for buying a larger farm At Stags, we often see farmers facing a common dilemma when considering buying a new farm - you don’t want to risk selling up until you’ve found something else to buy, and when the ideal farm finally comes to market you aren’t in a position to proceed. Here Stags Farm Agent Rachel Woollacott offers her tips to those thinking of buying a larger farm or moving areas
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Talk to your bank Don’t wait until your ideal farm comes onto the market; run some figures past your bank and discuss the possibility of a bridging loan (they’re not as expensive as they once were). You might be surprised by how supportive your bank is, as one bank manager explains: “We don’t lend to bad businesses in the boom years and we don’t stop lending to good businesses in the bad years.” Being on the front foot with your finances will always give you an advantage over buyers who are not.
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Know your market With a limited number of farms on the market, it is wise to register with agents who can alert you of opportunities before they hit the open market. Viewing a variety of farms will also give you a better idea of how far 14
your money will stretch in different areas. Careful monitoring will allow you to see which properties have been reduced, or which might be very soon.
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Have your own property valued by more than one agent Having a realistic valuation of your own property is often the starting point for assessing what you can afford. It could be fate, but very often everything falls into place for vendors who don’t quite know where they’ll end up when they market their own farm.
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Make sure you’ve exploited your own farm’s true potential Take advice on whether there are any measures you can take to make your farm more saleable or valuable before you market it. Obtaining planning permission to develop a farm building can greatly increase sales values, but the impact on the farmhouse or other stags.co.uk
parts of the farm must also be taken into account. Make sure you’ve considered an overage clause, entitling you to a percentage of any future development value within a set period of time.
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Do the paperwork Written agreements and other legal documentation can all be prepared before a farm is sold to avoid delays at a crucial time.
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Speak to an accountant Every farm vendor’s tax situation is different but professional advice at an early stage can save thousands of pounds. Rachel Woollacott, Member of the Royal Institution of Chartered Surveyors, Fellow of the Association of Agricultural Valuers. Contact Rachel on 01392 680059 r.woollacott@stags.co.uk
Vital Statistics We take a look at Stags Farm Agency’s work in numerical form and the results are fascinating...
FARMS SOLD IN 2017 BY TYPE:
8% Mixed 83% Stock 9% Dairy FARM BUYER PROFILES:
33% Farmer 11% Investor 56% Lifestyle FARM BUYER ORIGINS:
16% Neighbour 17% Local 25% From the West Country 41% Elsewhere in the UK (within 10 mile radius)
LAND BUYER PROFILES:
50% Farmer 24% Investor 26% Lifestyle stags.co.uk
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Going under the hammer... Auction as a method of sale for farms and land is booming and often works well for a wider variety of property than you might think, says Andrew Ranson of Stags
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cross the South date is always set out in the contract, West, Stags has which can be particularly helpful seen a steep to vendors depending on the sale rise in the popularity of proceeds for their onward purchases. auctions as a means of In the autumn of 2017, I auctioned some selling farms and land, land in Mary Tavy for a vendor who particularly in the west of the region had a tight time constraint. There was where I am lucky enough to be based. potential for delays and complications Between 2015 and 2017, the number due to possible development potential of lots offered at auction through Stags of the land. The vendor thought in Cornwall and West Devon increased hard before rejecting an offer made by 66%. This was a marked increase just before the auction, which was for a wide range of property types, subsequently exceeded by more than from whole farms to pony paddocks, 30% in the sale room. country cottages to commercial-sized The sale is conducted in a public and land blocks. Over the same period transparent manner, especially useful Stags maintained a success rate of for charities, trustees, executors over 90% selling at auction, well above and public bodies, who need to the industry average. 2018 looks set to demonstrate they have achieved the continue along the same lines. best price on the day. Selling at auction suits a wide variety Auctions regularly achieve a higher of property types, though it particularly price than other methods of sale, in works well for dwellings that require particular when two or more bidders renovation, development opportunities, are very determined to buy the same agricultural land and farms, as well as property. A small amenity parcel of unusual properties which are land near Helston, West difficult to value because there Cornwall came to market in are few similar properties with 2017 and smashed its guide which to compare them. of £25,000-£35,000 to For example, in the summer On the day, achieve £76,000 at the of 2017, I auctioned a small of the gavel. A similar competitive fall reservoir for South West parcel of land near St. Issey Water called Crafthole in Cornwall also enjoyed bidding Lake that was truly unique, a strong level of interest pushed the with no real equivalents and sold for £83,000, price £64,000 compared to its guide of to help fix a price range. In partnership with the £20,000-£30,000. While above the vendors, I set the auction not all auction lots exceed guide range expectations like this, with guide at an optimistic £50,000. After considerable an auction there is always a interest, the clients were chance that two buyers will delighted when it achieved about 10% have a bidding war. above the guide range. Another good reason to sell at auction At the fall of the gavel, a legally binding is that some properties come with legal contract is exchanged. This avoids the complications that in a private treaty delays and downward negotiations scenario may cause problems for a that can be experienced when selling a buyer’s solicitors. The auction process property by private treaty. A completion is an excellent way of focussing buyers’ 16
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minds and concluding with a legally binding contract at the auction. An executor sale we held near Wadebridge last year had a legal issue over the access and an old conveyance that couldn’t be found. In a private treaty situation, this could easily have been a very awkward and time-consuming issue before getting to the point of exchanging contracts. However, on the auction night competitive bidding pushed the price of this property to £184,000, £64,000 above the top end of the guide range. Here at Stags we have an extensive
SOLD AT AUCTION
mailing list of buyers interested in buying at auction, and therefore we can generate interest quickly. Some land I sold between Falmouth and Helston generated 105 viewings in just four weeks recently, which, in the vendor’s words, ‘led to a life-changing result’. If you are thinking that an auction could work for you, then rest assured that Stags property auctioneers have a wealth of experience in understanding what types of property sell well by auction and are highly skilled in achieving better than expected results.
Our staff have the knowledge and expertise to advise even the most tentative of buyers or sellers and are happy to chat through the options to see if auction might be the best method for you. Andrew Ranson is an Associate Partner for Stags and is a Member of the Royal Institution of Chartered Surveyors and a Fellow of the Central Association of Agricultural Valuers. a.ranson@stags.co.uk 01566 774999
1. Crafthole Lake, South East Cornwall This South West Water reservoir sold with Stags at auction for about 10% over the guide price of £50,000.
2. Porthcothan Bay, North Cornwall Competitive bidding pushed the price of this land near Wadebridge to £184,000, £64,000 over the guide price at a Stags auction.
3. Wendron, West Cornwall This small parcel of land sold at a Stags auction for £76,000, off a guide price of £25,000-£35,000.
4. St Issey, North Cornwall This parcel of land had a guide price of £20-30,000 but sold at auction with Stags for £83,000. stags.co.uk
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BREXIT:
A chance to shape farming policy Alex Stevens of the National Farmers’ Union takes a long, hard look at the impact of Brexit on the rural economy
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he farming industry is about to go through one of the biggest shake-ups in modern times. Support payments, trade deals, labour availability and every element of food and farming policy will be impacted by the decision to leave the European Union. In the run-up to the EU referendum in 2016 and throughout the immediate aftermath of the vote to leave the EU, the NFU has aimed to inform its members impartially and also to hear directly from our members about their priorities as we move forward. We undertook our biggest ever members’ consultation exercise and have used the information to create a vision for the future of farming. The priorities that emerged from this consultation focused on trade, labour, a new domestic agricultural policy and a new regulatory framework – in that order of importance. Since the referendum we have seen a change of Prime Minister, a General Election, a new Secretary of State at the Department for Environment, Food and Rural Affairs and the establishment of two completely new government departments – DexEU (Department for Exiting the EU) and the Department for International Trade. In response, the NFU has invested in a new Director for Exiting the EU and International Trade, along with an expert support team. We have also enhanced our Westminster team and broadened its remit. 18
Following Michael Gove’s speech at the devolved administrations of Scotland, Oxford Farming Conference in January Northern Ireland and Wales. 2018 and his announcements at the Following our members’ consultation, NFU Conference in February, designing the NFU plan for a Domestic Agricultural a new Domestic Agricultural Policy to Policy focuses on three cornerstones: take us beyond a transitional phase is productivity, environment and volatility. going to occupy policy makers and rural UK farm productivity lags behind that stakeholders for some time. ‘Visions’ of competitors like New Zealand, the seem easy to come by but what we are United States, as well as nearer neighlacking is detail. bours like Germany, the Netherlands and On Fridays, members of the NFU’s France – and the gap is widening. regional team often go out on farm with The answer is not necessarily about MPs, talking about the issues of the producing more but about getting more day. We usually meet up with each of from our inputs, reducing production the MPs in the region a couple of times costs and ensuring we can compete on per year, but Brexit has meant that in a global stage. We can get this right many cases the number of MP by creating the best policy meetings for us has doubled. framework and by investing at Suddenly, MPs who always a national scale in technolorecognised the value of a gy, infrastructure, innovation, It won’t be profitable agricultural sector research and development. within their constituencies just farmers We can also help to deliver are taking an increased inbest possible benefit to responding, the terest. Those politicians who the environment through so it is vital were more of a stranger reducing emissions, better to wellington boots have that farmers management of nutrients realised that this sector will and providing more space do speak up for nature. be affected more than any other and that they must and take part So where are we now? To engage with it. me, 2018 feels a little like Additionally, a host of other the deep breath you take public and delivery bodies before plunging into the (including local authorities, National water but without certainty on whether Parks, Local Enterprise Partnerships, the water will be calm or stormy, cold nature partnerships and water comor warm – or, most likely, a mix of all of panies) are keen to be involved with these over the next few years. delivering local elements of a future All I can say, based on the latest deagricultural/rural policy. As if all of this velopments, is that the UK and EU are wasn’t complicated enough, agricultural not quite eye to eye on key transitional policy may be delivered differently in the conversations, not least the rights of EU stags.co.uk
citizens arriving in the UK after March 2019 when transition begins. For businesses in the food and farming supply chain reliant on overseas labour, this lack of clarity just creates uncertainty. We also know that Michael Gove wants to see greater emphasis on animal welfare and that protecting and enhancing our natural capital will be key. The term describes our stock of assets like trees,
soil, air and water but how that plays out will come down to politics. As individual farmers and through the NFU we can all have a chance to influence this. The government is launching a consultation asking a host of questions how agricultural policy might look. Remember, it won’t just be farmers responding to this, so it is vital that we all speak up and take part. stags.co.uk
Look out for an NFU meeting near you and take your opportunity to shape the future of farming. For more details of our Brexit work, policy updates and the host of NFU membership benefits, do explore nfuonline.com for information. Alex Stevens is Regional Policy Manager for NFU South West alex. stevens@nfu.org.uk 01392 440700 19
Trust Stags to sell your land Stags sells land at auction and by private treaty throughout the South West. Here are some examples of recent successful land sales for Stags 1. Kernborough, South Hams Stags was instructed to sell 127 acres of productive arable and grass land near Kingsbridge in the South Hams in the spring of 2017. The decision was taken to divide the land into five lots and all quickly generated interest from a range of interested parties including local farmers, investors and the general public looking for amenity land. This level of interest helped drive the prices beyond the guide, with all lots sold by early autumn. 2. Bicton, East Devon In June 2017 Stags sold 127 acres of productive arable and pasture land from Bicton College to a local farming family on a sale and leaseback basis. In previous years the farmland had been used for the growing of cereal, maize, grass leys and the grazing of livestock. The purchasers agreed to lease the property back to the college for a five year period. This sale raised ÂŁ1.3 million for Bicton College, equating to just over ÂŁ10,000 per acre.
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3. Strete Ralegh, Exeter In October 2017 Stags marketed 121 acres of arable and grassland close to Whimple in East Devon. This sale generated the strongest interest of the year for Stags. Strategically placed, with good access links to both the B3174 and the A30, the land offered the prospect of long-term development opportunities, subject to the necessary consents. It was marketed in nine lots but after open negotiation was sold as a whole to a local family and will be used for cereal, maize and grass. 20
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5. Raddon, Exe Valley Productive Grade 2 arable land in the sought-after Exe Valley is always in demand, and sure enough this 19 acre block attracted quite a crowd to the auction held by Stags in the early spring of 2017. At the fall of the hammer the land was purchased by a local farmer for well in excess of the auction guide range of £150,000£190,000.
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4. Filleigh, Chawleigh, North Devon Five local buyers offered on this wellsituated block of 25 acres of arable land close to Chawleigh in North Devon. Divided into three enclosures and bounded by mature hedgerows, the land had been used to grow cereal and maize crops and is currently in grass leys. The eventual buyer paid just a shade under £9,000 per acre, a record for the local area.
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Farm and land sales in figures Stags Farm Agency had a very successful year in 2017. Here, we take a look at some figures that go some way to illustrate the range and depth of the work we do across the West Country On sales of 50 or more acres, here are the key statistics of Stags sales in 2017:
ÂŁ41
MILLION worth of farms and land sold by Stags in 2017, up 6% on 2016
More than
4,000
acres sold by Stags in 2017, up 20% year-on-year
101%
Stags achieved an average 101% of the guide price for farms and land in 2017
50% MORE Stags sold 50% more farms in the West Country than its closest competitor (a national chain)
In 2017 Stags marketed 5,177 acres of land in Cornwall, Devon, Dorset and Somerset 80% of properties sold by Stags in Cornwall were at or above the guide price In total, Stags sold 17 farms and 152 land lots in the West Country in 2017 22
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How can we help you? Stags has been serving the South West’s rural community since 1874. Here is a taste of what the Stags Agriculture departments can offer your farm business: LIVESTOCK SALES
Stags has three livestock markets at South Molton, Honiton and Tavistock. Our Agriculture team also runs on-site farm sales and sells livestock by private treaty from farm to farm. Our agricultural sales include sheep, cattle, breeding stock and dairy cattle and poultry, as well as machinery and farming implements. In addition, Stags regularly holds specialist collective auctions and undertakes sales for a variety of vendors selling a wide variety of products, including building equipment, tools, garage and automobilia, classic cars, horticultural equipment and household effects. For details contact Chris Clapham and Harvey Pile on 01769 572042 and email auctions@stags.co.uk
ON SITE SALES
PROFESSIONAL SERVICES
With 140 years of experience in auctions and sales, Stags is the leading firm of agricultural auctioneers in the West Country. Stags offers a complete On Site Sales service and we market sales extensively through our website (stags.co.uk), the Stags Agri Facebook page (with more than 4,000 followers) and in print in local papers, ensuring that every sale attracts the greatest number of buyers. Our West Country Sales Centre, sited near the M5 in Mid Devon, is our centrally-located base for holding machinery and other sales. It is a purpose-built secure facility with hard standing and convenient delivery and collection times. For details contact Chris Clapham and Harvey Pile on 01769 572042 and email auctions@stags.co.uk
Stags Professional Services is a highlyqualified team of Royal Institution of Chartered Surveyors (RICS) qualified chartered surveyors, RICS Registered valuers and dedicated planning specialists. Our surveyors have a wealth of experience over a wide range of property issues, including planning, valuations, land and estate management, and grant applications. Our Professional Services department takes pride in its reputation and the trust that is placed in our expertise, to achieve the best results for our clients. Contact Stags Professional department: Exeter 01392 439046; Launceston 01566 771808; Tiverton 01884 235701; Wellington 01823 653424 and email professional@ stags.co.uk stags.co.uk
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Barnstaple 01271 322833
Kingsbridge 01548 853131
Tiverton 01884 235705
Bideford 01237 425030
Launceston 01566 774999
Torquay 01803 200160
Bridport 01308 428000
Okehampton 01837 659420
Totnes 01803 865454
Dartmouth 01803 835336
Plymouth 01752 223933
Truro 01872 264488
Dulverton 01398 323174
South Molton 01769 572263
Wadebridge 01208 222333
Exeter 01392 255202
Taunton 01823 256625
Wellington 01823 662822
Honiton 01404 45885
Tavistock 01822 612458
Yeovil 01935 475000
stags.co.uk