WARAKIRRI Asset Management has bought Reid Stockfeeds’ Cobden site in south-west Victoria as the fourth asset for its Warakirri Diversified Agriculture Fund (WDAF).
Reid Stockfeeds will stay on at Cobden as a tenant partner of WDAF for at least a further 20 years, and will retain ownership of its four other Victorian stockfeed milling sites.
These are located at Colbinabbin in the Goulburn Valley and Trafalgar in Gippsland as long-term Reid sites, at Gunbower in the state’s north, and at Camperdown, 15 kilometres north of Cobden, through its purchase earlier this year of the Five Star Stockfeeds business.
WDAF’s purchase of Reid Stockfeeds’ Cobden site has lifted its outlays to more than $50 million on behalf of its investors which include families, charities, advisory groups, and superannuation funds.
According to Warakirri, Reid Stockfeeds is one of Australia’s top five national producers of stockfeed, and a key participant in markets in Victoria, South Australia’s South East, and the Riverina in New South Wales.
WDAF’s purchase of the Cobden site follows on from its three foundation assets acquired last year: Costa Group, Moora Citrus and Dicky Bill Australia.
All three are in the fresh-produce sector, and are long-term tenant partners for the fund, which is putting together a diversified portfolio of investment-grade Australian agricultural assets for the primary purpose of leasing to high-quality agricultural businesses seen as experts in their field.
“We’re delighted to add another quality asset and tenant partner to the fund,” fund portfolio manager Steve Jarrott said.
“Reid Stockfeeds has a strong track record and is one of Australia’s leading providers of high-quality stockfeed.
“They are a well-respected, growing business, servicing livestock producers in the dairy, pork, poultry, beef and lamb sectors”.
Warakirri has been acquiring, developing and operating Australian agricultural assets on behalf of investors for over 20 years.