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The findings were released at the annual conference organised by the Vinea Transaction network which took place during the Prestiges -Paris exhibition last month from 27th to 29th of November and attended by a large number of investors.
According to SG Private Banking (Société Générale) the two trends which have been registered over the last 3 years have confirmed that in 2009 prices of generic vineyards are still going down and prices of prestigious appellations are steady.
For generic AOC or Vin de Pays vineyards, the average price varies between 10 000 and 15 000 € per hectare, with an average cumulated drop of 17% in 4 years ‘The market has reached its lowest technical point as the average hectare price corresponds to the bare land price increased by the planting costs,’ indicates the report..
For prestigious appellations except Crus classés and prestigious Clos, an average cumulated rise of + 29,2 % took place over 4 years, a 7,3 % per year. For 2009, this rise is stabilizing without any drop in price.
Regarding the number of transactions, the market volume remains heavy. Despite the crisis, buyers are present with a reinforcement of French investors but a decline of foreign investors especially the British. They have still not been replaced by investors coming from China, Japan or from Russia.
A full study on French vineyard properties transaction market is available and can be obtained from info@vineatransaction.com |