The cost of land in Valle de Uco depends on location, soil type, views, elevation, water rights, etc. A high priced area will reside alongside a main highway, have well draining sandy / gravely soil, unobstructed views of the Andes, possess 100% water rights with a productive well, and be located within a frost-free location in an elevation band of 1000-1700 meters. Planting lower than this will subject grapes to the hazards of hail, frost, and soggy roots from poorly draining soils. We viewed land that ranged from $250,000 to $600,000 (dollars).
We looked at several parcels of land yesterday with our consultant, John. Three different strategies were discussed:
Transformation of existing land: Two parcels were composed of orchards: one aging and neglected and one in excellent shape. Both have the benefit of providing some cash flow during the transformation into vineyards, although much work, time and capital input is required to reshape land in this manner. Pests exist in fruit trees that pose a threat to newly planted vines, so waiting a year after pulling the trees is recommended by John.
Blank Slate: Two parcels were “empty”, simply meaning barren land not previously used for farming. A blank slate is alluring, but planting vines takes 3-4 years for any significant grape production to occur. One strategy under consideration is to buy virgin land, plant vines, and during the early nonproductive years source grapes from other vineyards to make wine.
Existing Vineyard: We visited a Malbec vineyard on the lower boundary of the ideal elevation zone at 3200 feet. The vines were planted 3 years ago and show damage from two consecutive years of frost (an unusual event). Most vines are progressing, but some will need to be pulled up and replanted. Harvested grapes from last year’s crop were sold to other wineries.
John owns or manages many plots of land and his emphasis is crop diversification. Many things grow here, including apples, pears, walnuts, cherries, peaches, garlic, onions, etc. On land he manages, he’ll plant several of these, rather than devote the entire acreage to grapes.
These are broad strokes, I know, and I’ll attempt to provide more specific information later.
