A PREMIUM offering at Marvel Loch/Southern Cross is set to test the rural market as there hasn't been a large scale property sale in the region in three to four years and it's expected that the market has moved up significantly since then.
That's the view of Ray White Rural WA director Hugh Ness, who is handling the marketing campaign of Trevino, a 13,978 hectare property which has been listed for sale.
Trevino is owned by a well-known farming family, who asked to remain anonymous and has farmed in the region for generations.
It's believed that at least the home parcel of Trevino has never been sold before.
The property is home to the Trevino Merino stud and Mr Ness said it had been "conservatively farmed".
"Most farms in the area have been cropped fairly extensively, whereas paddocks on Trevino because of the large livestock component have been cropped far more modestly with some paddocks out to a one in five year rotation," Mr Ness said.
The property is running about 9000 Merino sheep and about 4500ha is cropped annually to wheat, barley, oats, lupins and canola, although not all is for cereal production and some is for sheep fodder.
Annually wheat production has regularly achieved high protein levels, between 13 -16 per cent.
It's estimated that 12,750ha is considered arable and soils are about 70pc heavy-medium friable loams and 30pc sandplain.
Mr Ness said the conservative farming practices placed the property in a good position for a new buyer to easily crop more land with there being great yield potential in the pasture paddocks.
However, the property does lend itself well to running sheep as it's on scheme water which is reticulated throughout the property, along with having 37 dams and a bore.
"It's basically drought-proof," he said.
"The flexibility of having the water supply means that you can run it as a grain and sheep operation, whereas a lot of Wheatbelt properties don't have scheme water on them.
"With the exception of this year, in the past seven or eight years there has been a serious issue in the Wheatbelt about watering stock and people are destocking because they haven't been able to carry them, whereas this property doesn't have this problem."
In addition to good water supply, Mr Ness said the infrastructure would also be a buyer drawcard.
"The level and amount of infrastructure on the property make this property appealing," he said.
"There are five good, well-built brick houses of varying ages, there's 2500 tonne of aerated grain silos and quite a few other normal silos, there's a large six-stand shearing shed with a huge covered set of yards and a plethora of other buildings such as fertiliser sheds, machinery sheds, workshops, butcher shop, some new shearer's quarters with a kitchen."
All of the infrastructure is centrally located in one place on the aggregation.
"While the whole property isn't adjoining, all the land is in close proximity and is basically in four separate sections," Mr Ness said.
"It's also not far from the Great Eastern Highway for access to Perth and Kalgoorlie."
With the property being on multiple titles, there is the possibility it could be divided up and sold in parcels.
If it is to sell in parcels, it's likely that will only occur if all parcels sell.
"This property will suit more corporate-operating buyers, including family farmers further west who are seeking more scale," Mr Ness said.
"These days it might even fit into carbon farming businesses, because they like buying outer rim properties, as they are more affordable per hectare.
"There were a few purchases for carbon farming interests east of Mullewa and I think this will tick a few boxes for them too, because it offers serious scale.
"I think it will also suit some passive investors."
The property is being offered via expressions of interest and Mr Ness declined to comment on price expectations.
"I have a broad idea on what a potential price might look like, but in the current market we can't really be sure." he said.
"We have evidence of land going up over the past 12 months by 15-20pc in other regions such as the Great Southern but there hasn't been a recent sale in this area to compare it to.
"So it will come down to people's desire to buy it, how it fits into their regime and if they can afford to buy it.
"What we can safely say is that what buyers paid a couple of years ago is not the current rate and I think that will be reflected here, because the figures paid in the past 12 months in many regions are as high as they've ever been."
