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Listing Representative
Murray Gibbons portrait
Murray Gibbons
Broker of Record/Owner
Great Lakes Realty Gibbons Inc
Cell: 519-757-5595
Tel: 519-443-6443

For Sale

ID#:Inter 8

0VER 11,000 ACRES PURE ALFALFA PRODUCING FARM IN ARIZONA
The spectacular parcel of level productive farmland is an opportunity for an investor or large-scale farming.
It is ideally situate on a major interstate Highway which connects Phoenix Arizona to San Diego California in an area of high agricultural production.
It is a farm area which consists of large-scale vegetable and stock farms with some new dairy facilities of highly technical production and to the west toward Yuma a further heavy concentration of vegetable farming and much higher land values.
The Acreage consist of 6500 owned Acres and a long-term State lease of approximately 4500 Acres at a low and long term rental rate.
At peak production there would be approximately 10,000 farmable Acres.
All lands are laser leveled and perfect for pivot irrigation and the site contains 21 of its own registered wells and 25 pivot sprinklers. New cost of an individual well ranges from 75k to 250k per well depending if on north side where 3 wells would be needed to maximize production and 75k per well on south side where about 8 wells would be needed to fully maximize production. . New cost of an individual pivot irrigation system comparable to the existing ones is approximately 60 thousand dollars as infrastructure underground is already there such as electrical and water lines.
The site has been used primarily in the production of alfalfa, barley and corn silage with alfalfa being exported to countries such as Saudi Arabia and China as well as sold to local large-scale livestock farms and major Feed companies.
Relatively current production of alfalfa averages from 8 to 11 tons per acre per season depending on irrigation practices and the retail price of alfalfa which is presently approximately $200 per ton. One can assume that in full production of 10,000 acres times 10 Ton per acre would be 100,000 tons of alfalfa times $200 per ton or a gross income of $20,000,000 per annum.
Current production does not include any of the lease acreage as it would need the addition of about 7 or 8 new Wells for irrigation at which time income would be greatly increased.
Present ownership is in retirement phase and is not in an expansion mode but the opportunity exists for a new owner to expand production and income as well as some capital expense in the Improvement of existing irrigation and in some cases possible total replacement.
The opportunity also exists because of location to consider the production more in the line of vegetables and possibly sweet corn which would greatly improve income and overall value of the property.
Is only the writer's opinion but in conjunction with vegetable production one could entertain the value of a cold storage facility on site as it would be easy to construct such a facility and there is a major hydro corridor immediately adjacent to the property. There are literally hundreds of refrigerated trucks passing through and picking up produce all within an hour or less of this site.
Immediately north of the property is a large-scale and modern solar facility and at some point this farm would be ideal for Solar Development as well and in past some interest has been expressed for such use.
On account of its laser level site and irrigation ability this could make an ideal sod Farm or even a portion thereof for that purpose.
The asking price is slightly over $3,000 per acre for the arable and owned lands but over the entire parcel the price only $2,200 per acre. The present lease extends to the year 2027 with possibility for extension for another 20 years.
From an investment point of view the ideal situation would be to make any improvements to the property such as put the remaining leased lands into production and modernization the existing irrigation system to increase income production and value to such a point where the investor might obtain somewhere between 3 to 7% return on their investment by simply leasing the lands to other large-scale farming operations. Inflation percentages per annum will add greatly to return. By further improvements lease values will increase as well as overall land value.
To finalize this ownership and essentially the Trust Estate, the owner will consider offers. It is the opinion of the writer that this can be an opportunity both in the short-term and long-term for prudent investors and or for large scale farming operations.
For more detail please contact the writer at 519 443 6443 or murray@murraygibbons.com

Property Details
  • Property Type:Farm
  • Lot Size:11000 ACRES
  • Acreage:Over 100 Acres
  • Water Type:Drilled Well
Structure Details
  • Structure Type:Hay
  • Structure Style:Farm
Listing Representative
Murray Gibbons portrait
Murray Gibbons
Broker of Record/Owner
Great Lakes Realty Gibbons Inc
Cell: 519-757-5595
Tel: 519-443-6443
Request Information
Mortgage Calculator Inputs
Mortgage Calculator Results
Note: All calculations for informational purposes only, and should be verified.
Get Pre-Approved

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