Faversham, a 5447-hectare cattle station in the Merriwa district of the NSW Upper Hunter, has been put up for sale by beef and lamb producer Crown State and could fetch more than $24 million.
Recent land sales in the Merriwa have ranged from $1300 to $1800 per acre, with Faversham expected to attract a premium based on its high rainfall, high carrying capacity, close proximity to Sydney, size and quality.
The sale also comes at a time of record beef prices and a growing appetite for beef in Asia and the Middle East. Faversham produces sought-after wagyu beef and has a carrying capacity for 1200-1500 breeders plus progeny.
The property on Middle Creek Road is the cornerstone of Crown State Pastoral's 8400-hectare property portfolio, which also includes an abattoir at Binnaway that exports Halal-certified meat products to more than two dozen countries.
It is an aggregation comprising Faversham, Montego, Chatham and Moona, most of which was once part of Brindley Park owned by pioneering pastoralist, James Brindley Bettington in the early 1800s.
Crown State is ultimately controlled by Sherwell Holdings, a company based in the British Virgin Islands. Its directors are Los Angeles-born Jon Choi who is also managing director of the Crown State group of companies and Hong Kong-based William Choy.
Faversham is being sold by Richard Royle of Colliers International through expressions of interest. With the potential to retain the existing management team, it could appeal to first-time investors or absentee owners.
"The property currently operates as a wagyu enterprise with Angus cows joined to wagyu bulls producing F1 (first-cross) wagyu calves," Mr Royle said.
"The business model is to then sell the F1 wagyu weaners with average weights in the vicinity of 300-plus kg. Current prices for F1 wagyu weaners have been far superior to other breeds, which has underpinned the success of the company."
The property has extensive accommodation including four main houses, two separate cottages for paying guests or other ventures and a six-room shearers' quarters with its own kitchen.
Improvements on the aggregation include six-stand and two-stand woolsheds, three sets of cattle yards, two sheep yards, two silos and five machinery sheds.
About 100 hectares are under oats and barley for finishing livestock.
Water comes from the Merriwa River, Coulsons Creek, Middle Creek and Gummum Creek as well as bore water pumped from a solar-powered reticulation system.
This story first appeared on The Australian Financial Review.
