The organic farm that supplies Flahavan’s breakfast cereals has been sold for almost €17.5 million.
Donegal Investment Group has sold the Grianán Estate on Lough Swilly, one of Europe's biggest organic farms, to nearby agriculture and renewable energy group Glenmore Estate.
Real-estate dealers Savills Ireland, which was the agent on the sale, said on Tuesday that the 2,400-acre property fetched €17.425 million. It had been on the market since June 2016.
The farm produces 3,000 tonnes of milk, cereals and vegetables a year. It supplies a number of well-known brands including porridge and breakfast oats specialist Flahavan’s and Organic for Us milk.
Grianán is probably Ireland’s biggest arable farm. Pat O’Hagan of Savills said the property drew significant interest from local and international buyers, farmers and farming companies.
“No other opportunity on this scale is likely to be presented again in the Irish farming property market, therefore it was no surprise that interest from various buyer types was strong,” he said.
Grianán Estate is situated at Speenoge, Burt, Co Donegal, close to Letterkenny. It is on land mostly reclaimed from Lough Swilly and includes a 1,290-acre organic farm, 500-acre lake and extensive buildings. It has a herd of 400 cattle. The area around it is popular with tourists.
Donegal Investment Group was formerly known as Donegal Creameries. Glenmore Estate was backed by private investors and HSBC Bank.
Glenmore is in Aghaveagh, near Ballybofey, and is run by farmer and businessman Karol McElhinney. It is primarily an organic farm, but has just installed and commissioned a biomethane plant, which converts agricultural and food waste to energy and fertiliser.
According to a statement, Glenmore bought Grianán as it believes the purchase will complement its existing businesses.
“The plans are to continue farming the estate in as environmentally friendly a way as possible and to make the Grianán Estate even more environmentally friendly by recycling its farm wastes in the biomethane plant in Glenmore,” the buyer said.
