House for sale in Stellenbosch 13269864

For Sale

House, Stellenbosch, Stellenbosch | Ref: 13269864 - (CCSA-16918 )

There are no buildings on the 70 ha for sale. The area however lends itself to the erection of accommodation with some of the best views of the adjacent farms, vineyards, Stellenbosch mountains, Table Mountain & False Bay.

Vineyards – The following vineyards are in production on the land:

Cultivar - Ha - Production (liters)

Cabernet Sauvignon 7.17 ha 45 500 (liters)

Shiraz 4.55 ha 55 000 (liters)

Pinotage 8.47 ha 45 000 (liters)

Sauvignon Blanc 8.39 ha 95 500 (liters)

Vacant land ready to be planted 6.58 ha

Total 35.16 ha 283 500 (liters)

Access Roads - Access to the land is currently through the vineyards of an existing wine estate – but various alternative access roads can be made.

Water Rights – at present the land shares water supply with the adjacent wine estate’s dam with a capacity of 30 000 cubic meters and 264 000 cubic meters water rights from the river. This dam provides sufficient water all year round for the needs of both the adjacent wine estate and the 70 hectares for sale.

Electricity supply – Escom - for irrigation and accommodation is available and a connection can be made to the existing power supply line.

Investment Proposal – Although a potential investor could develop and farm the land as a standalone farming unit, various options exist for farming and wine making in co-operation with the adjacent wine estate.

Some of the options that can be negotiated:

Option 1 - Appointing the owner of the wine estate to manage the farming operations on behalf of the investor at an agreed fee.

1.1 Grapes to be either sold to other companies or to be made wine of in the estate’s cellar;

1.2 Selling price – R35 million

1.3 Estimated capital needed to replant vacant areas : R850 000

1.4 Estimated capital needed to clear other potential areas for vineyard production: R1 million

Option 2 – Leasing the vineyards to the adjacent wine estate’s owner to farm for his own account at an agreed rental.

2.1 Selling price – R35 million

2.2 Leasing of the vineyards at market value rates

2.3 Any new development on portion A for the account of the investor

Option 3 – The investor obtain 35hare in the wine estate’s brand and winery

3.1 Selling price – R35 million

3.2 Infrastructure investment in cellar – R6 million (Total = R41 million)

3.3 Under option 3 the investor has the opportunity to appoint the owner of the wine estate to manage the farming operations on the 70 ha land at an agreed fee (VinPro rates)

The advantages of Option 3 can be stipulated as follows:

- Infrastructure already developed;

- Markets already developed;

- Costs for new winery plus all legislation limits can easily take a few years to obtain & can be expensive exercise

- Liquor license in place

- Wine estate has an 15ncrease in sales year on year directly from farm. The preferred investor would be a foreign or local investor with existing investment in wine markets. Such investor would have the opportunity to market the wines from the 70 ha and of the adjacent wine estate on overseas markets – thereby adding value. The vineyards currently on the 70 ha produce approximately 290 tons of grapes which can be turned into 187 000 litres of wine.

- The investor will be given access to the water rights of the adjacent estate and can have the use of the cellar. The investor can have the wines marketed under his/her own brand or under the wine estate’s brand and in the process tap into an existing well-run farming and wine making operation without the need to make a capital outlay other than the purchase price of the land.
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Anna Wiese - Intern Agent

House for sale in Stellenbosch, Anna Wiese - Intern Agent
Office: 021... 021 851 1951 Show Numbers
Cell: 072... 072 331 1959 Show Numbers
Email: ... Anna Wiese - Intern Agent Show Email
Fax: 086 517 4320
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Cape Coastal Homes

Office: (02... (021) 851-1951 Show Numbers
Fax: 0866592866


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