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Scottish farmland market sees early surge in activity

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Scottish farmland market sees early surge in activity

The Scottish farmland market is experiencing an unexpected early surge in activity, despite weather-related, economic and policy pressure.

According to Savills, the number of acres advertised for sale on the open market to the end of May was 64% higher than for the same period in 2023 and double the 10-year average, reaching a total of 14,142 acres.




This marks the third highest supply level since 2012, a surprising development given the adverse weather conditions throughout winter and early spring impacting the start of the customary launch period in May.

In addition, these figures do not take into account private sales of farmland handled by Savills so far this year, which accumulatively account for more than £50m of sales.

Preliminary data from private sales and pre-emptive offers show that values for both arable and productive grassland are trending above 2023 levels. This is happening even as interest rates and input costs have risen over the past 18 months.

However, according to Savills, buyers are increasingly discerning, placing a strong emphasis on land quality. Prime land – classified as classes 1 to 3.1 – remains the most sought-after among arable farmers, achieving £11,000 to £13,000 per acre.

Infrastructure has also become a pivotal factor for buyers. A two tier market is emerging, with robust demand for well-equipped units and adaptable buildings.

The escalating costs associated with erecting or repairing large general-purpose sheds or specialised facilities mean that properties with well-maintained infrastructure are significantly more attractive in the current economic climate.

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