Tips for Buying a Vineyard

At Cru Land Company, we specialize in helping our clients determine the right time to invest in a California vineyard. We provide brokerage and advisory services, guiding clients through their buying journey. Many people believe that one must be a knowledgeable farmer to make an informed vineyard purchase, but that could not be farther from the truth. Our team will help you create a Wine Country investment strategy and a vineyard manager can oversee the daily operations of your vineyard. There are so many routes to vineyard ownership and all of them are rewarding in wonderfully unique ways.  

For the love of the lifestyle

Many buyers love the idea of living on a vineyard, surrounded by a romantic, luxurious atmosphere. They may be curious about the concept of crushing grapes to produce wine, but the real prize is the proximity to local amenities. For these buyers, the goal of the vineyard is to provide a secluded spot for ambient rest and relaxation. Income is not necessarily relevant or motivating; it’s all about owning an oasis for a weekend getaway. Perhaps winemaking is a hobby or side project.

For the love of the industry

Some buyers are descendants from a long line of farmers with a love of making wine that runs deep. These buyers are likely to prioritize the types of grapes, appellation, or vineyard designate over all other factors. For these buyers, the proximity of ranches to one another is vital to their farming operations. The biggest motivator is the opportunity to make high-quality wines and oftentimes these types of land deals are made as the result of pre-existing relationships between farmers.

For the love of investing

There are also buyers who are looking for the highest return on investment, or ROI. Vineyards have the potential to deliver great incredible returns depending on the region as well as the prices of homes in the surrounding areas. While investing in a vineyard is certainly a long-term strategy, it can be an excellent choice if time is on your side. If a vineyard is well managed, buyers are likely to see positive annual crop returns in addition to appreciation over time.

Fulfilling the dream

Once buyers have determined their ultimate goal in purchasing a vineyard, it’s up to us to find the right type of land to help achieve that goal. There is no one-size-fits-all approach to California vineyard pricing, which is driven by the value of the crop and real-estate fundamentals as well as the desirability of each area. For instance, Napa, Sonoma, and Santa Barbara are coveted places to live and own land in addition to producing delicious grapes and wine. The appellation, or geographical indicator of where grapes for a wine were grown, also plays a crucial role in vineyard pricing. In addition, water has become incredibly valuable in recent years, especially in California, and secure, good quality water has become another critical factor in determining the viability of a vineyard. 

 

Let the team at Cru Land Company find the perfect vineyard to fulfill your dreams.