Insights
By: Jaco Geldenhuys
Building a sustainable business on a strong philosophy – Jaco Geldenhuys meets Mike Rees of Torre Bisenzio
Three core principles drive the success of an Umbrian estate
Sustainability has ascended to become an explicit objective, joining the ranks of capital preservation and growth in our investment ethos. We are standing amidst a values-driven investing revolution. This transformation is not merely a trend; it reflects a deeper change within the fabric of family wealth.
According to Stonehage Fleming research (Four Pillars of Capital – Managing Wealth in an Age of Upheaval, 2023), 70% of families have embraced non-financial values in managing their wealth and only 16% of investors now focus solely on financial returns. It is a philosophy I was reminded of when I caught up with Mike Rees, co-owner of Torre Bisenzio, a thriving estate in the heart of Italy, on the border of Tuscany and the Monte Rufeno National Park.
Having lived and worked all over the world for years, Mike Rees and his wife, Neena, decided to take the plunge and “spread their wings” in Europe. After several trips around various countries, they settled on Italy. “We never seem to do things by halves”, laughs Mike. “We ended up buying a derelict, 200-hectare, 13th century estate, known for its distinctive tower – or torre – a historic customs post, on the Umbrian-Tuscan-Lazio border. To top it all, when we arrived, we spoke no Italian.”
As they started the refurbishment of the torre, they started putting down a hectare of vines, “almost like a garden vineyard”. However, when they discovered that their produce was a success, explains Mike, they soon started looking at expansion. “We discovered we could actually make good wine. We set about developing the site, building a winery and planting extra hectares.”
Ten years on, Torre Bisenzio is a brand to be reckoned with. With 650 olive trees, seven hectares of vines and 200 hectares of land, the estate produces red and white wines, high quality olive oil and organic vegetables and farms 120 of the region’s historic Chianina cattle which produces the famous Fiorentina steaks. What is the secret of their success? “We live by three guiding principles: quality, authenticity and sustainability”, explains Mike.
“For us, there has to be a story about every wine,” he says. “That sort of authenticity is very important for us. We don't want to produce wines for the sake of it. Some producers make upwards of 20 million bottles of wine. That's not us. We produce a very boutique, high quality product. Everything we do here, be it the restoration of the old buildings, the fit-out of our accommodation, the team, our beef, or our extra virgin olive oil – they all have a story and stamp of quality about them.”
When it comes to sustainability, Mike and Neena’s purpose is about the environment, community and the long-term success of the business. “We're probably one of the most sustainable estates in Italy. We have a 160 kilowatts of solar panels on the barns and are certified by Equalitas, the highest sustainability standard recognised at European level, which looks at wine makers’ social, environmental and economic sustainability. We sponsor a children’s football team in one village and the men's in another and we only employ people from the local community. That policy underpins our approach; not only do we set out to support the environment but also our local communities, building a sustainable future for all. It also is important to us as a family that we integrate into the local community.”
That includes a sustainable future for the family business. As entrepreneurs, Mike and Neena’s priority is to make Torre Bisenzio a positive prospect for their children to inherit. “We see it as our responsibility to get the business to a state where the children won’t be burdened by it. We can't expect them to inherit problems we have created”, says Mike.
“The children all have an affinity with and real love for the place; they have grown up with it. But it might not be the right thing for all of them to be involved in the running of the business”, says Mike. “Our job as parents is to create a platform for them to be able to make their own choices. They have the option of being involved. Ultimately, though, it’s up to them how they want to live their lives”.
Jaco Geldenhuys and Mike Rees were speaking ahead of a recent Stonehage Fleming wine tasting event, hosted at Torre Bisenzio by Jaco, Doris Sommavilla and Richard Hill.