A vineyard between two worlds

Vineyards caught between two worlds: record prices versus unsellable hectares

The world of wine currently stands at a quiet but crucial crossroads. Figures from Knight Frank’s latest Wealth Report reveal a fascinating contrast whilst also raising an uncomfortable question: what is the true value of a vineyard today?

A world where exceptionality is traded

On the one hand, there are regions where the price of a vineyard defies conventional economic reasoning.

In Burgundy, specifically in the Côte de Nuits at Grand Cru level, there is talk in extreme cases of values as high as 50–55 million euros per hectare. However, this is not a standard market. These vineyards are rarely sold, and when they are, it is more of a historic event than a routine transaction. ‘More common’ vineyards in this region are priced in the region of 1 million euros per hectare, though often significantly more depending on the specific location.

We are seeing similarly high prices in other iconic regions:

• Champagne: around 2 million euros per hectare
• Bordeaux (Margaux): approximately 1–2 million euros per hectare
• Tuscany (Brunello di Montalcino): around 0.8–1 million euros per hectare
• Napa Valley: around 1 million euros per hectare

Here, the vineyard ceases to be merely a production area. It becomes a valuable asset, a symbol and the embodiment of the brand.

A world where reality calls the shots

At the other end of the spectrum are regions where the figures tell a completely different story.

• Mendoza (Argentina): around 20,000 euros per hectare
• Spain (less prestigious regions): from around 15,000 euros per hectare
• Southern Italy: around 20,000 euros per hectare

And yet even these figures do not fully reflect the reality.

In many European regions, vineyards are becoming virtually unsellable assets. Winegrowers are often unable to sell their grapes or wine at sustainable prices. Decision-making is therefore shifting away from the question of expansion and towards the very survival of the vineyard itself.

Keep it… or clear it out.

The paradox of our times

Never before has the difference between these two worlds been so striking.

On the one hand, vineyards as an investment asset — scarce, sought-after and traded globally. On the other, vineyards as an everyday reality — dependent on sales, labour and fluctuating wine consumption.

Declining wine consumption in Europe, changing consumer behaviour and price pressures are creating an environment in which not every vineyard has a secure future.

What will determine the future of the vineyards?

Today, more than ever before, it is the combination of two factors that is decisive: the specific location and the winemaker’s skill.

Terroir — that is, the interplay of soil, climate and aspect — determines a wine’s potential. It is then up to the winemaker to decide whether they can transform this potential into a wine that will find its place in the market.

A vineyard is thus no longer something to be taken for granted. It becomes a commitment.

Mikulov: a belief in terroir

In this context, we view our vineyards in Mikulov with even greater humility and, at the same time, confidence.

The limestone subsoil of Pálava, the sunshine of South Morava and, hopefully, the occasional cool night create the conditions for beautiful wines. That is why we are convinced that, even at a time when the world of wine is becoming increasingly fragmented, our Mikulov vineyards have a bright future.

Petr Fučík