Buyers of timber plantation land being offered in the Green Triangle have the chance to convert the land back to grazing.
Some of the 10 lots for sale across 4868 hectares (12,030 acres) includes still standing blue gum timber under an existing lease which offers a handy income.
A similar offering of plantation land last year made about $3500 an acre or $8650 a hectare.
This is a small part of the well known Green Triangle region on the South Australian side of the border which saw massive investment in blue gums in the early 2000's.
The failed managed investment schemes used by Timbercorp and Great Southern to fund huge plantings in this area cast plantations in a bad light but now many investors are returning to growing timber because of their carbon storage potential.
Several of these lots for sale are leased by Australian Blue Gums which operates across 44,000ha in Victoria and more than 10,000ha in South Australia.
This company is a successful exporter of wood chips from Portland to customers in China and Japan.
In this 10 lot offering between Penola and Millicent from Nutrien Harcourts, are four lots with standing trees, where the owner can make a buck without lifting a finger.
The other lots are ready for redevelopment.
On some of the land, the existing owner has promised to chopper roll live pine wildlings, grind blue gum coppice and fell remnant trees before settlement.
They are:
Lot 1 is Evans (1341ha, 3313ac) on the Diagonal Road, Coles.
Lot 2 is Tomich South (557ha, 1376ac) on the Coles-Killanoola Road - this block has a licensed occupancy to next year.
Lot 3 is Tomich Middle (551ha, 1361ac) on the Coles-Killanoola Road, Coles - licensed occupancy to 2023.
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Lot 4 is Tomich North (722ha, 1784ac) on the Coles-Killanoola Road, Coles which comes with a three bedroom renovated home and outbuilding.
Lot 5 is Tomich East (210ha, 520ha) on Charcutt Road, Maaoupe. This block has an established blue gum plantation of about 91ha planted in 2008. The trees are to be leased back to the vendors in the form of a lease until 06/25 or until harvest at $22,750pa. The new owner has access to the balance of the plantation including all buildings after settlement.
Lot 6 is Perrin (464ha, 1147ac) on Spence-Coles Road, Spence. This block also has 311ha of trees under lease from Australian Blue Gum Plantations to 2029 which is paying $128,601 per annum.
Lot 7 is Collins (260ha, 642ac) on Diagonal Road, Coles with a licensed occupancy to 2023.
Lot 8 is Callendale (271ha, 670ac) on Diagonal Road, Coles which has a licensed occupancy to 2023.
Lot 9 is Dolan (393ha, 972ac) on Cluain Lane, Fox; Leased to Australian Blue Gums to 2029 for $125,195pa.
Lot 10 is Bowman (100ha, 246ac) on Clay Wells Road, Furner. It has 90ha leased to Australian Blue Guns to 2029 for $36,163pa.
The lots of for sale by registration of interest closing April 21.
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Chris McLennan
ACM national rural property writer based in Bacchus Marsh, Victoria. Career journalist. Multi award winner.
ACM national rural property writer based in Bacchus Marsh, Victoria. Career journalist. Multi award winner.
