On October 12^th a 1,919 acre parcel in Chester, VT listed for $14.5 million went under contract. While this includes an old farm house and outbuildings, it is listed in the MLS as a land listing. Building values aside, this implies a price of $7,550 per acre.   Generally, the larger the parcel, the lower the price per acre.  While the property still has to close, it would appear that this is not the case here.   Hundred acre parcels rarely trade above this level on a per acre basis.  Clearly this must be very special land! It is also interesting to note that 1,655 acres or 86% of the land is enrolled in Vermont’s Land Use program.  As a result, this will be good tax shield for the buyer assuming that the taxable value per acre for Vermont Woodlands continues to be $122 per acre.

Also of note this week, a 143 acre parcel in Tunbridge listed for $595,000 went under contract.  This property includes a nice restored barn and had only been on the market for 39 days.  Once again, large parcels continue to be attractive to land buyers in Vermont.

Vermont land sales were mixed in September.  Forty-one parcels sold compared to fifty last September.  Total dollars, however, at $6.3 million – increased 41% over last year’s level of $4.5 million.  Not surprisingly, the median sales price shot up a whopping 71% to $100,000 from $58,200.  The primary reason: more large parcels sold this September.  Ten were larger than 50 acres compared to eight in ’09.  Fourteen were between 10 acres but less than 50 compared to nine last year.

Other points of note include:

• A 15 acre sale in Stowe for $1,195,000. Total time on the market was 190 days
• A 23 acre parcel sold in Panton with frontage on Lake Champlain for $700,000. 198 DOM
• A 400 acre woodlot in Wolcott for $315,000. DOM 275 days.
• An 86 acre parcel in Williston for $310,000. Only 35 Days on the Market (DOM)

Safe to say good parcels continue to sell well and in some cases for prices as high as we saw before the recession.

October has also begun well with a $1 million sale in Pomfret for 117 acres.  This sale also included a second 9 acre parcel for $200,000 so, in total, the buyer bought 126 acres for $1.2 million.  A 600 acre parcel has also gone under contract in early October after being on the market for 880 days.  Yes, 880 days.  At the end of September, there were 113 land parcels under contract that had yet to close.