ONE of Queensland’s largest banana growers has bought a former Timbercorp avocado and mango plantation near Bundaberg for more than $3 million at an onsite auction yesterday.
Billy Singh, Bingil Bay Bananas, Mission Beach bought the property for an undisclosed amount, however bidding on the property did reach $3 million before auctioneer Geoff Hickson, Landmark, Mackay paused to consult the vendors.
He returned to inform the gathered crowd of about 40 people that the Ten Mile Road plantation had been sold for “substantially more”.
The sale comes four years after Timbercorp bought the property for more than $9 million.
The 395 hectare (976 acre) property was offered and bought as a whole, negating the need to sell the property as three portions of land.
It was a strategic geographic and economic purchase for Bingil Bay Bananas.
Mr Singh said he had been looking at the property for some time and waiting for assurances of water security to ensure the farm’s production ability.
“It will also give us security against cyclones in North Queensland,” he said.
“We’ll probably bring some of our experienced staff down here.”
He said the company was already well diversified and the avocado, mango and custard apple operations would work in nicely with what it currently produces.
According to Landmark, the property contained nine water licences totalling 744ML plus seven storage dams, plus 51.9ha of avocado trees, 105.9ha of mango trees and 6.4ha of custard apple trees.
The property also contained improved pasture, a three-bedroom house, cool rooms and a substantial shed complex.
The local rumour mill was abuzz leading up to the auction with considerable interest shown in the property.
The sale brings to end a myriad of suggestions over what would happen to the plantation following the collapse of Timbercorp in April last year.
Farmers and residents living close to the plantation itself watched as major infrastructure and office equipment was moved out, leaving empty sheds and overgrown orchards.
In the lead up to the auction, property details were only available via an “electronic data room”, with access to the information given to parties after the completion and acceptance of a Confidentiality Agreement.
Also present at the auction was former plantation owner David Courtice who sold the property in 2006 for a reputed figure of more than $9 million.
Landmark’s Geoff Hickson said there were several other high profile parties within the crowd including Oooloo Farm Management which managed the farm while it was still operating.
He said Mr Singh had shown considerable interest in the property and asked plenty of questions leading up to the auction.
“He’s got a pretty substantial farm, good improvements, but he’s going to have to give it a bit of work to tidy it up,” he said.
Landmark also has the listings of eight other Timbercorp avocado and mango properties in Mareeba, the Northern Territory (Mataranka, two in Katherine), Childers (three) and Cordalba, which have been open to expressions of interest.
This closed on August 12.
Mr Hickson said the Bundaberg property was able to be put to auction because it did not have any leases involved, however he was still confident about the other properties.
“We’ve had good interest on those and they are with the receivers at the moment. We probably expect an outcome hopefully by the end of next week on those,” Mr Hickson said.
* Note: An earlier version of this story incorrectly stated the size of the property. FarmOnline apologises for any confusion caused.
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