Description
Conservation, improved agricultural management, and limited real estate development on 19,000 acres in California
Structure
Purchase from lender
Revenue Drivers
Real estate – rural residential
Agriculture – improved management
Additional Revenues
Conservation – easements
Ecosystem services – water management
An existing vineyard and winery in California provides an opportunity to diversify and improve agricultural management practices while maintaining the ecological integrity of the landscape. Bio-Logical Capital's comprehensive conservation and development plan includes selling several ranch parcels to meet residential market demand and provide opportunities for small-scale working landscapes.
Conservation easements on 11,000 acres will be sold to a local land trust for long-term protection. Existing operations provide immediate cash flow, while Bio-Logical Capital works to increase production, modify marketing strategies, and diversify into other organic food crops.
This project provides an opportunity to acquire a rare large contiguous parcel in northern California. A loan default by the previous owner allows for an opportunistic purchase. Bio-Logical Capital’s ability to look broadly at this landscape and see multiple layers of value – where others only saw a struggling wine operation – positions us to turn this farm into a profitable operation for our investors.
Economic Summary
Initial capital deployment: $30 million
Bio-Logical principal's co-investment: $5 million
Projected initial cash flow: Immediate
Projected 10-year IRR: 15-20%
Partners & co-sponsors: Local land trust
Alternative funding: N/A
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