3323 Fruitlands - Roxburgh Road, Roxburgh



The vendor is offering a unique investment opportunity with options to suit your investment portfolio. Consider this as an asset backed bond, with a premium leaseback returning a purported 10.7% IRR on Option 1. The options presented below clearly demonstrates that the vendor has a vested interest in the continued development of your property as an income producing asset. This investment model has been successfully implemented on two other orchards, delivering a strong return and security in the agreement. The underlying asset comprises firstly 15.3 hectares that is used for intensive horticulture. Improvements include a large implement shed and an area of permanently netted mature orchard plantings to the East. The Western end of the property is contained in a newly developed cherry orchard with intensive plantings on a "planar" system which early stage trials indicate significant production benefits.
15.39 Hectares 19,494 Cherry Trees

Option 1 Freehold sale. Six (6) year lease. 8% return on purchase price paid per annum. Lease paid monthly, with one (1) month in advance and three (3) months held in escrow with solicitor. All outgoings and OPEX will be covered by lessee. Property reporting to be agreed, either: monthly, quarterly or annually. Proposed buy-back at 118% of purchase price at end of year six (6). Lease terms can be further negotiated, if mutually agreed, at 8% per annum with an additional 3% on purchase price for each year deferring buy back. Secured by purchaser owning the property in case of default.

Option 2 Freehold sale. Three (3) x Six (6) year lease terms (18 years in total). Standard lease terms, three (3%) per annum with CPI inflation adjustment at 1.2%. All outgoings and OPEX will be covered by lessee.

Option 3 Freehold sale. Self-managed by the purchaser. Commercial contract to supply Cherri Global Ltd for post-harvest and marketing of cherry produce.

Option 4 Freehold sale. No contracts of any kind.

Viewing by appointment only. CF4798

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