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Joseph W. Rapp
Joseph W. Rapp
Legacy Ag Group, LLC
Available

Frio Draw Ranch, FOR SALE with LEASE BACK Arrangement

$9,500,000 8100 Acres
Property ID 2513370

Description

FOR SALE with LEASE BACK Agreement. The operators of this 8,100-acre ranch combine its livestock and crop production capabilities to form a balanced, integrated agriculture business. Located in the Texas Panhandle southwest of Amarillo, the ranch consists of a 928-acre parcel in Deaf Smith County near Hereford, Texas and a 7,172-acre parcel in Parmer County west of Friona, Texas. During the past 10 years, the owners have worked to develop the ranch into an efficient crop and livestock production operation that yields consistent profits from year to year.

Native grasses consist primarily of blue grama, sideoats grama, and buffalo grass. These grasses provide excellent livestock grazing and wildlife habitat. The ranch has proven ability to support approximately 150 cow/calf units consistently. Driven by market conditions over the years, the owners have alternated the cow/calf operation with yearlings. The cultivated land is currently utilized to produce corn, sorghum and wheat. Depending upon commodity prices and related economic factors, crops produced are sold on the open market or fed to livestock associated with the ranch.

The ranch has significant improvements - the result of an on-going capital improvement program aimed at insuring consistently high productivity and operating efficiencies. Water, pumped from the irrigation wells, is distributed through a system of underground pipes to center pivot sprinklers that furnish water to the crops. Booster pumps, strategically located throughout the system, insure balanced water flow. Irrigation well & booster pumps are powered by electricity.

The ranch's grazing areas are fully developed with permanent perimeter fencing, along with cross fences and traps located to facilitate efficient grazing management. Livestock water tanks, located throughout the ranch, are fed by windmills, domestic water wells, and in some cases, the irrigation systems. Corrals and working facilities (including an electric working chute and steel pens with sorting alleys) make livestock handling and processing work relatively simple and efficient. A 40 x 110 shop supports on-site repair and maintenance of the ranch.

The Parmer County land has two houses. The smaller home, a modular structure constructed in 2012, is about 1,800 square feet in size. The main home, built in 2011, overlooks Frio Draw. It provides the ranch manager and his family a very special ranch atmosphere place of living.

The ranch's value is enhanced by its proximity to a number of feedyards in the vicinity. They provide a consistent market for cattle coming off the farms grazing areas. These feedyards also have provided a solid market for corn and sorghum crops over the years.

Subsurface water, wind, and wildlife contribute additional value to the ranch. Given the size of the ranchs surface area, governing subsurface water regulations allow future development of irrigation without significant restrictions. The ranch's proximity to wind transmission facilities currently being developed, along with the owners experience in this business, make wind energy revenue a distinct possibility in future years. Wildlife, including deer, antelope, quail, and dove, provides excellent hunting opportunities.

As part of the ranch's offer for sale, the owners want to continue operating the property for the buyer (new owner) pursuant to a continuing lease arrangement. The contemplated arrangement will position the new owner to take full advantage of more than 10 years hands-on experience with the property and its associated markets. It will also provide a reliable revenue stream for the new owner, as well as assure continuity of the on-going capital improvement program and its associated value enhancement during the ownership transition period.

Directions

The Parmer County portion of the ranch is located approximately 12 miles west of
Friona, Texas. The west boundary is the state line between Texas and New Mexico. The
ranch has paved frontage alongside various state and county roadways, including FM
2013, FM 1731, and CR 5. The north boundary is alongside CR G, a county maintained
gravel road.


The Deaf Smith County portion of the ranch is located approximately 8 miles west of
Hereford, Texas. It is split by RR 1058, a paved, two-lane state maintained road. CR Kk
bounds the property on the west side, and CR K is the east boundary. Additionally CR 7
runs through the property on its north side. CR Kk, K, and 7 are all county maintained
gravel roads.

Agriculture and Farming

Agricultural Uses
Livestock
Row Crop

Row Crop Potential Usage
Barley
Corn
Hay
Sorghum
Sunflowers
Wheat

Livestock Type
Cattle

Number of Acres Tillable
2,133

Land

Barn Information
Barn(s)
Electric to Barn
Shop Building

Minerals Available
Oil & Gas
Water
Wind

Present Use
Agriculture
Grazing

Proposed Use
Agriculture
Grazing

Type of Fence
Barbed Wire
Cross Fenced

Game
Dove
Ducks
Mule Deer
Quail
Turkey

Miscellaneous
Cattle Guard
Cattle Working Pen
Corrals
Fenced for Cattle
Loading Chute
Pivot Sprinkler Irrigation System
Windmill

Property Tax Exemption
Yes

Road Frontage Desc
Asphalt
County
Dirt
FM Road

Land Type
Crops
Livestock

Number of Stock Tanks (water under 1 acre)
Over 10

Property Type
Farm/Ranch

Topography
Rolling

Tax Data (Show Tax Data)

Contact Broker

Fill out this form to contact Broker about this property

Joseph W. Rapp

Legacy Ag Group, LLC

PO Box 341419
Austin, TX 78734

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    NOTE: The information contained herein is provided as general information only and has been obtained from sources deemed reliable. It is provided without any guaranty, warranty or representation, expressed or implied, made by Lands of America, or any related entity, as to the accuracy or completeness of the information. The information is presented subject to errors, omissions, change of price or conditions, prior sale or withdrawal without notice. Prospective purchasers should make their own investigations, projections and conclusions concerning the information.