This week we have the privilege to interview the market leader and specialist in winery and vineyard transactions from the Napa Valley region of California. Like Vineyards-Bordeaux they were founded in 2008 but we first met the team from Wine Country Consultants in February 2017 and immediately recognized their competence and professionalism in the complex world of winery and vineyard transactions. This week Wine Country Consultants formally announced that they are joining Christie’s International Real Estate to underscore the brand’s dominance in the vineyard and wine markets that include most of the major wine regions of the world: France, Italy, Argentina, Chile, Portugal and South Africa.
As two of the leading vineyard regions of the world, the vineyards of Bordeaux and Napa Valley have a natural attraction to vineyard investors seeking a strategic foothold in both the old world and new world markets. But while the nature of agriculture and wine making may share much in common, the markets of the two regions operate quite differently.
Michael Baynes of Vineyards-Bordeaux (VB) took a few moments to chat with Robyn Bentley, the founder and CEO of Wine Country Consultants (WCC) in May and June of 2024. Let’s jump right in….
VB – Many of those who follow Vineyards-Bordeaux may not know the size of the Napa and Sonoma vineyard region. So, first things first, how many hectares (acres) of vineyards are there in each?
Napa Valley’s topography has many dips and peaks, ranging from sea-level valley floors to mountain vineyards with elevations that rise up over 2,000 feet (645 m).
There is also extraordinary diversity in the region’s soils. Studies have shown that Napa Valley contains more than 100 different maritime, volcanic, and alluvial soil variations. At only 45,342 acres (18,349 hectares), it’s a relatively small area, less than 15% the size of Bordeaux at 296,000 acres (119,787 hectares).
Sonoma County, Located to the west of Napa Valley, Sonoma County spans more than one million acres/414,398 hectares in all, with 59,000 acres/23,876 hectares planted to wine grapes — a mere 6% of its total area.
These two maps outline the entire viticulture areas of Napa & Sonoma Valleys as well as the individual AVA’s – American Viticulture Area. An AVA is a legally designated grape growing area possessing distinguishable characteristics such as climate, terrain, soils and cultural and historic significance.
VB – In recent years there have been some exceptional wines coming from other parts of North America. Which markets do WCC serve beyond Napa Valley?
Besides residing in Napa Valley we also have a very close affiliation with the Willamette Valley in Oregon and the Walla Walla wine region in the state of Washington. We have done consulting work in almost all major US viticulture areas but the growth of fine wine from the Central Coast of California is unprecedented and the vintner crossover with Napa Valley has been exciting to watch.
VB – WCC is very much a “family business” – when did you form the business, how are you structured and who makes up your team of specialists?
Wine Country Consultants was formed in 2008 and it was the culmination of my expertise in land sales and love of wine with the desire to serve the vintner community. My children, Jordan Bentley and Ross Bentley, joined WCC in 2010 and 2017 respectively, bringing their own passions and expertise to serve clients with an even more nuanced perspective.
All three of us have our strengths and each our skill sets complement each other, which allows us to offer clients a higher level of expertise than if we were working individually. Our goal is to support our clients growth to the next level of their business or chapter in their life with the most success possible. By bringing sales, marketing and all aspects of consulting needed for new and seasoned vintners under one umbrella we help clients understand all aspects of their investment prior to final close of escrow (title transfer) and connect them with future support when needed to ensure that path to success. And that is where our stellar team of consultants play a major role. I have worked with the top vineyard managers, viticulturists, land use consultants, legal teams and appraisers for over 30 years and bringing them together with our clients is a joy to do because I know they are in the best hands possible to take their dreams to the next level.
VB – Where is your HQ located and why did you choose that location?
We are headquartered in St. Helena, California, an idyllic rural town of 6,000 residents. St. Helena is located in the center of the Napa Valley and has been the center of our family’s’ life since 1993 when we moved to the Valley for Clark Bentley’s role as CFO of Pine Ridge Winery.
VB – How did you get started in the winery and vineyard transaction business?
Upon moving to the Napa Valley in 1993 I chose to start a new career in real estate. My first transaction, was my first Napa Valley vineyard sale and my first $1M sale – I was hooked! Jordan and Ross watched both their father and I fall in love with the industry and I like to say that we all “grew up” in the wine business.
VB – What is the size of the Napa Valley market? How many winery transactions in total are completed each year in your market?
In the past five years a handful of very large ($150M – $750M) family-owned wineries transacted. Rombauer, Phelps, Schafer …. Winery sales in Napa Valley are generally very rare. The majority change hands confidentially. Vineyards and vineyard estates, on the other hand, are sold with regularity. Much of our business is helping vintners buy a “home” for their existing brands. We and our consultants assist in identifying land in vineyards over 10 acres. A winery site in the Napa Valley must have a minimum of 10 acres, approximately four hectares. Our team of consultants are then able to shepherd the new owners through all facets of the process – from permitting, to construction, planting/replanting. vineyard management and even including production, sales and marketing support.
VB – How many Napa Valley Wineries do you have for sale at the moment. And what percentage of the total number of wineries you have listed does Napa make up for WCC.
We currently have four wineries listed. Two are located in Napa Valley, one south of Napa Valley in the Santa Cruz AVA Silicon Valley area and one in the Rogue Valley AVA of Oregon.
VB – In the context of price, what is the range of offerings in the Napa Valley vineyard market – low to high?
Napa Valley currently has six winery offerings available and publicly listed from a low of $4 million to a high of $35 million. That is a significant number to have on the market at any given time and reflects the current economic factors affecting the US; higher interest rates, a presidential election year and locally the current over supply of fruit as well as the cost of insurance due to the spate of fires we experienced a few years ago.
Over the past several years, Napa and Sonoma Valley have spent an enormous amount of time, money and ingenuity in putting systems in place to ensure we never experience wildfire damage to the degree we experienced in 2017.
VB – is there a specific winery that you can speak openly about today that you would like to highlight – why have you chosen this winery?
I can speak somewhat openly about a winery being offered confidentially. I choose to give details about this property because of its rare Pre-WDO permit – Pre- WDO is a term used in the Napa Valley meaning pre-winery definition ordinance. The WDO went into effect January 1990 and one of its requirements is that 75% of the fruit produced at a winery must come from the Napa Valley. Therefore, the full 40,000 gallons per year of production at this winery location can process fruit from any source and is not restricted to 75% of it being from Napa Valley. This is especially advantageous for vintners with wine programs that include regions outside the Napa Valley and it is a relatively rare offering. Additionally, the winery facility is turn-key with custom state-of-the-art equipment included and located at the northern base of the Prichard Hill region. Pritchard Hill is a highly sought after microclimate within the Napa Valley that has commanded some of the highest price per acre acquisitions in the last few years. It’s known for high-end cult wines and prime terroir. This offering also has expansion potential through developing caves and is offered for $8,500,000.
Article continues in Part 2.
