Saturday, January 22

Historic Morgenhof wine estate up for grabs


Investors from 13 countries are looking to bid on the renowned 329-year-old Morgenhof winery located on the slopes of Simonsberg in Stellenbosch during a virtual auction next week on Wednesday (August 25).

The winery held an open house last weekend, before the scheduled auction.

Moneyweb InsiderWELL-INFORMED PERSONGOLD

Subscribe to get full access to all of our shared and untrusted data tools, our award-winning articles, and support quality journalism in the process.

“Right now, buyers from 13 countries have shown interest in bidding on the 210-hectare property,” says High Street Auctions director and chief auctioneer, Joff van Reenen, adding that the first of the two visits was attended by buyers. stakeholders from South Africa and several others who flew in from abroad.

Potential investors come from South Africa, Australia, China, Germany, Belgium, Lesotho, India, Italy, France, England, Kenya, Canada and the United States.

Read:

Wine industry: the ban was lifted a little too late
The devastating effect of lockdowns on SA’s wine industry

“There are multiple potential investors from three countries, namely South Africa, England and the United States,” according to Van Reenen.

He says that several international buyers have confirmed that they will fly to South Africa this week to attend the second day of viewing that will take place at the farm next weekend, adding that “viewing is strictly by appointment.”

SA / US Joint Venture

For the first time in South Africa, Morgenhof will be auctioned in a joint venture with the American auction company Tranzon, which has representative offices throughout the United States.

“Tranzon is responding to numerous inquiries from US investors [who are] very interested in buying a premium winery in South Africa.

“Interestingly, several of those communications come from potential investors based in America’s leading wine-growing region, Napa Valley, California,” says Van Reenen.

“Others are from the East Coast of the US, the Washington DC area and Florida.”

Vines and wines

According to Van Reenen: “Morgenhof’s wine portfolio includes a blend of reds and whites, ranging from fresh Sauvignon Blanc to barrel-fermented Chenin Blanc. The red wine range offers a selection of iconic single varietal wines including a revered Merlot and vibrant Pinotage, as well as a Bordeaux-style blend that is also the flagship of the Morgenhof range. ”

He says the vineyards are grown as ‘dry land’, which results in smaller yields and higher concentrations in the berries. The farm comprises a variety of soil types, with the terroir complemented by altitudes ranging between 40 and 400 meters above sea level.

Infrastructure improvements built at Morgenhof include:

  • The immaculately restored 450m² main manor house comprises five bedrooms, five bathrooms, living room, dining room and kitchen, as well as an open wraparound terrace paved with terracotta tiles and a splash pool;
  • The Top House, a 730 m² second mansion elevated among the vineyards: This two-story Cape Dutch-style home has four bedrooms, attached staff quarters and its own private pool;
  • A 600-ton capacity warehouse;
  • Underground fermentation room in barrel;
  • Tasting room and terrace;
  • Restaurant;
  • Chapel for weddings;
  • Conference venue with attached catering service;
  • Bistro and cafeteria;
  • Office block; Y
  • Accommodation of various types of staff.

All images supplied.

Van Reenen says the winery will be auctioned as a going concern, with all furniture, fixtures and fittings, as well as the contents of the winery, included in the sale.

Investment case

“This is an established and well diversified business with multiple sources of income offered by a new owner with vision, enormous potential for expansion.

“What adds substantially to the attraction of the property itself is the fact that it will be auctioned on August 25 with a considerable amount of foreign exchange and with assessed tax incentives that would be extremely beneficial to the prospective buyer.”

Morgenhof is owned by Anne Cointreau, whose family has produced wine, champagne and spirits in France since 1272.

His great-grandfather Adolphe created the famous orange liqueur that bears the family name, and his grandfather the luxurious brand of brandy Remy Martin.

The farm is one of the pioneers in viticulture in South Africa. Dating back to 1692, its rich wine-making history can be traced back to the French Huguenots.

Palesa Mofokeng is a Moneyweb intern.

Listen to Melitta Ngalonkulu’s interview with Siwela Masoga of Siwela Wines (or read the transcript here):


www.moneyweb.co.za

Leave a Reply

Your email address will not be published. Required fields are marked *