Blog

Water, Wine, and Springtime

March 27, 2015

The great news is that Spring has sprung in wine country and it is a beautiful time of year. With that in mind we are going to talk about water, wine and Springtime. The not so great news is that we are still playing catch up on our water supply. On the other hand the wine business is strong and customers are trading up which helps supports a healthy wine country economy and of course wine country real estate.

In this blog we are going to look at our general water sources, the drought, the wine business and how Spring is taking off in wine country.

Whether you are in Healdsburg, Santa Rosa, Saint Helena, Lake Tahoe or San Francisco, water is important. Lets look at four general water sources:

Groundwater – groundwater, just as it sounds, comes from underground and is pushed to the surface using wells and pumps to supply water for both domestic, irrigation and frost control purposes.   This water comes from aquifers where water has been gathering and stored for many years under the earth’s surface. There is great concern about the amount of water being used from this source over the last few years because there hasn’t been enough precipitation to replace what has been used. Even so, some areas are fortunate to have more groundwater than others.

Rivers & Streams – some real estate parcels that border rivers and streams have historical riparian rights that allow them access to water from these resources. However, newer restrictions have come on line over the years scaling back the ability of some to source water from rivers and streams based on flow, as well as limiting the time of year when they may access this resource.

Reservoirs – Reservoirs come in all shapes and sizes, and are regulated by the state. Large reservoirs like the Hetch Hetchy in the Sierras supply water to San Francisco while smaller reservoirs like Lake Sonoma near Healdsburg serve the local Sonoma County Region. Then there are reservoirs that private property owners use for irrigation and frost protection purposes.

lake, sonoma, water, healdsburg, geyserville, santa rosa

Lake Sonoma Reservoir near Healdsburg

Snow pack – The Sierra Nevada mountain range is typically California’s largest water source with snow being piled up and stored during the winter months. In typical years the snow melt would begin in spring and the runoff would fill streams, rivers and reservoirs to be distributed throughout the state.

Drought

This past winter provided a few solid doses of precipitation that helped some regions more than others. These storms trended to the warm side, limiting the amount of snow accumulation, and also had a more coastal track. This is why some areas in the North Coast like Sonoma, Mendocino and Humboldt counties are in better shape this year than last year. Even so, the drought continues and we have to be sure to keep an eye on water levels.

california, drought, water, 2014, 2015, sonoma, napa, real estate

California drought map comparison 2014 to 2015

Wine

The economy continues to hum along and our local wine business throughout Sonoma County and the Napa Valley are thriving. From Calistoga to Sebastopol wineries are enjoying a trend we haven’t seen for years. Consumers are trading up in their wine purchases, buying more expensive wines. This is especially important for regions like Napa, Sonoma and other areas that produce high end wine.

wine, consumers, increase, sonoma, napa, pinot noir, cabernet, real estate

Consumers are trading up in their wine purchases.

The trend increases profitability of wineries. Because wineries are more profitable they are looking at increasing production. Increased production is great for vineyard owners and wine grape growers because wineries will continue to buy fruit. Even with several large harvests, demand is still greater than supply. All of this leads to a solid wine country economy that is great for wine country real estate.

Spring Has Sprung

Springtime has arrived early in California wine country evidenced by early pruning, bud breaking taking place 3 weeks earlier than normal, vines pushing out and a long frost season ahead. Even so, the local hills and valleys are full of new growth.   A wonderful display various colors is taking place the foliage come out of winter slumber and spring back to life.

spring, california, petaluma, healdsburg, sonoma, napa, fruit tree, blossom

Spring has sprung in wine country.

Last but not least, there is a good bit of new inventory coming on line and some being discussed behind the scenes. If you have any questions or feedback please don’t hesitate to reach out.

Cheers!

David

See a related article from the Press Democrat on March 30, 2015  North Coast Water Levels

Wine Country Real Estate Update Summer 2023

Happy August!  A cooler than average growing season after major winter rains has been a welcome pattern this summer.  I hope you have been soaking it up.  On the real estate front the market has several competing variables creating an interesting dynamic to say the least.  On the one hand, we are challenged with the […]... Read more

Green Shoots in 2023, and Which AVA Came First?

Winter 2023 First things first, Happy 2023!  Another year to enjoy this beautiful area we call home.  With more than two decades of selling wine country real estate, I am still in awe of our backyard.  The dynamic landscape is a constant reminder of the amazing diversity throughout Sonoma and Napa Counties, from the Pacific […]... Read more

Napa and Sonoma Real Estate 2022

Happy Winter of 2022 The Dream Lives on in Napa / Sonoma and Further Afield –  Real Estate Another exciting year is underway as we approach Spring.  With pruning behind us, we anticipate bud break in the coming months. The cycle continues. Before going any further, I have to say last Fall was just stunning! […]... Read more

Sonoma and Napa Winter 2021

Light on the Horizon Dust Settles During the Sonoma and Napa Winter 2021 If there is one thing we have learned over the last several years, it is that wine country is resilient.  Wildfires, economic uncertainty, politics and a worldwide pandemic have all conspired to shake our core, especially in 2020.  But here we are, […]... Read more

Moving Forward – Sonoma and Napa Real Estate 2020

Clearly, we are enduring an unprecedented challenge with Covid-19 health issues and associated economic impact.    As a community I am sure we will ultimately arrive at a   destination that resembles the wine country that we all know and love.... Read more

Opportunities and Challenges in Napa and Sonoma

No doubt, the last few years have been good in wine country with increasing wine grape and real estate prices. While things are still good in wine country, there have been some changes in the market over the last six months.... Read more

Buyers Compete In Sellers Market, Spring 2017

So what are the current real estate values in wine country? The latest information shows continued price increases across the board. Even the median home price in Sonoma County has doubled in the last five years.... Read more

Things That Make Wine Country Awesome

Let’s focus on the positive. After more than a year of the most bizarre political theater in memory, it is time to put the circus back in the tent… at least for a moment. Your sanity will thank you. ... Read more

The Changing Landscape of Vineyard Financing

David Ashcraft, broker and founder of Vintroux Real Estate, said he’s still seeing plenty of interest in both wineries and vineyards in Napa and Sonoma, and noted that“Wineries are continuing to plan for the future and lock down sources of fruit.” ... Read more

Wine Country Real Estate Financing Options – Sonoma & Napa Counties

Wine Country Financing Options – Sonoma & Napa Counties One of the key components of purchasing a wine country property, whether it is a vineyard, estate, winery or bare land is the capital used to make the acquisition.  Many buyers are going to require some sort of financing for a purchase or perhaps a line […]... Read more

Sonoma And Napa Real Estate Values 2019

We are currently observing vineyard estates, luxury homes and vineyards come on the market for various reasons. Locally, multiple high-profile Silicon Valley IPOs are going public and sellers are hoping to capitalize on newly minted millionaires.... Read more

Survey Says – 2018 Harvest Was Abundant – Grape Prices

The numbers are in and they tell a story of abundance.  The 2018 wine grape harvest in Sonoma and Napa Counties was bountiful by any standard and the quality is equally outstanding.  Each year we provide a breakdown of the current weighted average wine grape prices for popular varietals in Sonoma and Napa.     […]... Read more