$120m-plus price tag for huge outback grazing portfolio

A five-farm aggregation of 284,900ha in outback NSW and Qld has hit the market where it is expected to command nine-figure offers.

Offers worth more than $120 million are expected for a swath of grazing farmland in southwest Queensland and northwest NSW, aggregated by a regenerative agriculture specialist.

Global asset managers and regenerative agriculture investment pioneers, SLM Partners, are selling the 284,924ha SLM Pastoral Portfolio, which has been acquired and developed since 2012.

The portfolio comprises five assets within a 100km radius in the Cunnamulla and Bourke regions; Willacora (47,901ha), Amenda (43,712ha), Padua Park (43,135ha), Garrawin (79,298ha) and Eureka (70,877ha).

During their tenure SLM has strategically developed the portfolio as a grass-fed beef breeding and growing enterprise within its SLM Livestock Fund, which is now nearing the end of its term and is the catalyst for the sale.

“Cell grazing has allowed us to ride out dry spells and make the best use of rain when it arrives,” SLM Partners’ general manager in Australia Graham Finlayson said.

“The land is in terrific condition now and we see plenty of room for further improvement.

“SLM has had a strong focus on increasing the perennial grass base across the aggregation over the past 12 years, which has improved the drought resiliency of the production system immensely.”

About 13,000 cattle, which have benefited from a focus on genetic optimisation, are being offered as part of the SLM Pastoral Portfolio sale.

The portfolio has two carbon projects generating and selling ACCUs until at least 2039.

These projects will be sold and transferred to the new owner as part of the transaction and align with the regenerative grazing system, allowing for simultaneous cattle production.

With the portfolio’s average historical carrying capacity of 15,000 adult equivalents (AEs), about 13,000 cattle, which have benefited from a focus on genetic optimisation, are being offered as part of the sale.

SLM has predominantly used Pharo Australia Angus bulls, with Rangelands Angus-Composites also in its program. Some Lasater Beef Master genetics from the United States through an AI program have also been included.

Garrawin Homestead is one of many accommodation options located across the portfolio.

The SLM Pastoral Portfolio is for sale in-one-line or as any combination of individual aggregations by expressions of interest closing at noon Wednesday, March 19 via LAWD senior directors Danny Thomas and Jaclyn Hope or Nutrien Harcourts managing partner Greg Seiler.

Mr Thomas said he expected the portfolio would draw a diverse buyer pool.

“The current portfolio is an extraordinary asset as it stands following the significant capital investment made by the vendors, however there remains scope for the new owner to further grow the enterprise by stocking at higher rates and accessing higher-value, regenerative grass-fed market channels,” Mr Thomas said.

“The vendors recognise the significant size of the portfolio and are willing to split the aggregations to meet market demand.

“It’s not often a portfolio of this scale and calibre comes to market, and we are expecting significant interest from domestic and global institutional investors, corporates and large family enterprises looking to expand their livestock operations.”