Buying a winery by yourself—or even going in on a partnership with some other wine enthusiasts to buy a winery—is a very big decision. It’s not like buying a regular piece of land or a house that needs to be appraised for the acreage and structural integrity. To get a good appraisal, the land the winery sits on needs to be perfect, and the facility itself, and the equipment used for producing the wine also need to be in good shape. Since buying a winery isn’t a small decision, you’ll want to have all of the facts about winery appraisals. Here’s some information about what winery appraisals in Napa County, CA entail.
Since we conduct both vineyard and winery appraisals in Napa County, CA, we consider winery appraisals to be the assessment of the facilities that turn grapes into wine; a vineyard appraisal, meanwhile, is the assessment of the grounds that grow the grapes. The three major things we look at when appraising a winery are its location, its facility size and the equipment in the facility. Let’s take a closer look at those factors:
- Winery location: Like many other businesses, the location of a winery can really make or break the company. One of the biggest things we look at is its accessibility. Successful wine producers will constantly have large trucks coming in and out of their facility, so the building will need to be situated in a location that allows drivers to easily get onto and out of the property. To save money on gas for those big trucks, it’s great if the winery is located near a vineyard, or near a distribution center.
- Facility size: The size of a winery is directly correlated to its value. The larger the facility is, the more we’ll probably appraise it for. However, bigger isn’t always better. A huge building with a lot of flaws can end up being worth much less than a small but structurally sound facility. Keep in mind that you can always add on to an existing facility, so buying big to start out with isn’t always the best decision if you’re running a small operation.
- The existing equipment: It should come as no surprise that the equipment needed to operate a winery can be really expensive. The huge apparatuses needed to turn grapes into delicious wine can cost hundreds of thousands of dollars. Since the gear costs so much, you’ll want to look for a facility that already has a lot of the equipment you’ll need to make wine. However, a winery that comes with outdated and/or broken equipment is almost as worthless as a winery without anything at all. Finally, your winery will need trucks to haul the grapes and finished products, so we place a lot of importance on the condition of the trucks, too.
Before you go out and buy a winery, it can really pay to have it appraised by knowledgeable and experienced professionals. Give County Appraisals Inc. a call to perform winery appraisals in Napa County, CA and ensure you’re buying a great piece of property.
Categorised in: Winery Appraisals
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