PRICE expectations were exceeded when Glen Elgin Farm, Hyden, was sold under the hammer recently.
With about 80 people in attendance at the in-person auction, held at the Hyden Hotel, the auction achieved a sale result of $5.48 million for the 5196 hectare (2956ha arable) property.
The price equated to $1055 per hectare or $1853 an arable hectare.
This sale suggested a steady increase in property values as according to the Rural Bank Australian Farmland Values report, land prices in the municipality of Kondinin in 2020 averaged $710/ha.
The buyer of Glen Elgin Farm was a syndicate, comprising Vern, Elliott and Jenna Mouritz and family, Hyden, and an undisclosed party.
The Mouritz family's share included 2409ha, while the other buyer acquired the remaining portion of 2787ha.
"The farmland neighboured our existing property so we saw it as a good opportunity to increase our scale," Elliott Mouritz said.
"We had done a lot of planning to buy the property and went into the auction with a very positive mindset.
"You never really know when land is going to become available, especially land that neighbours your farm, so we didn't want to miss this opportunity.
"My wife and I have three sons who already show a very keen interest in farming activities and it is our intent to build potential future farming ventures for them also."
The Mourtizs run a mixed cattle and cropping farm, with about 1200 Angus breeders and a feedlot, along with about 6000ha planted to crop.
The property was sold through AWN Property (WA) sales representatives Rob McMillan and Rowan Spittle.
Mr McMillan said the first bid placed was $4m, which was well above the reserve price so the property was on the market from the beginning.
There were 10 registered bidders, with three being active bidders.
Two bidders, including Mr Mouritz, were from neighbouring farms and the third was John Nicoletti.
Mr Mouritz said it was very clear that all Hyden community members in attendance were pleased that the land was purchased by a local farming family.
Mr McMillan said the sale price was "well above our expectations" and it reflected the exceptional demand from buyers.
"Perhaps people are waking up to the fact that land is scarce and, compared to other States, is much more affordable," Mr McMillan said.
"WA land values still have a way to go to catch up with the Eastern States."
During the marketing campaign Mr McMillan said the majority of the interest came from local farmers and there were some enquiries from people around the Esperance region and a cropping company from the Eastern States.
He confirmed that there was no interest from anyone looking to use the land for carbon farming pursuits.
"All of the interest was from people looking to farm the property," he said.
