By Callum Ludwig
The 55-hectare Beenak Vineyard just outside of Hoddles Creek has traded ownership from Australia’s second-largest wine company Accolade Wines to the largest, Treasury Wine Estates (TWE) whose headquarters is based in Melbourne.
The just over $7 million purchase gives TWE ownership of 45 hectares of Pinot Noir and Chardonnay grapes as well as a 71-megalitre water entitlement, a residence, sheds and other improvements.
Treasury Wine Estates CEO Tim Ford said Treasury Wine Estates is always interested in acquiring vineyards that produce high-quality fruit.
“Vineyards producing Pinot Noir are of particular interest as we respond to the very strong consumer demand for our Coldstream Hills and St Huberts brands,” he said.
“The opening of our new cellar door at Hubert Estate has further enhanced demand for cool climate wines in the portfolio.”
Between them, Pinot Noir and Chardonnay made up 68% of the 11,489 tonnes of grapes crushed in the Yarra Valley in 2020-21 according to Wine Australia’s Regional Snapshot of the Yarra Valley. The Yarra Valley’s Chardonnay production also made up a significant 19% of Australia’s national tonnes.
An Accolade Wines spokesperson confirmed the reasons behind the sale.
“We can confirm that we have sold the Beenak vineyard in the Yarra Valley due to an oversupply of grapes from these vineyards within our business,” they said.
The Yarra Valley is home to a total vineyard area of 2837 hectares and its cool, temperate climate is suitable for Pinot Noir which is most successful when it receives the cooling effects from the region’s altitude.
Stephen Strachan of wine specialists Langley&Co Advisors brokered the deal and said he saw strong interest in the Beenak vineyard, mostly from trade buyers.
“The result reinforces the strength in the market for high-quality vineyards in the Upper Yarra Valley, particularly vineyards planted to Pinot Noir and Chardonnay,” he said.
Pinot Noir is the most planted and most important variety in the Yarra Valley. Some of the cooler-grown fruit used in the production of sparkling wine and a range of expressions of Pinot is produced in the Yarra Valley due to different elevations and other aspects.
The Yarra Valley’s diverse array of microclimates and vineyard aspects makes it suitable for producing Chardonnay of a variety of different styles, particularly with elevated vineyard sites allowing for a restrained and subtle style.
