Deer Valley Ranch – San Miguel, California

$9,800,000 SOLD

Following nearly 50 years of ownership by one family, Deer Valley Ranch is now available. Situated north of Paso Robles—the heart of the Central Coast Wine Region—this expansive property offers canyons, ridges, and narrow valleys providing picturesque views among seasonal riparian corridors, creeks, and springs. In addition to endless recreational advantages and abundant wildlife, Deer Valley Ranch is the only ranch of such considerable size on theCentralCoastmarket today. Comprising 10,884.41± contiguous acres of scenic, oak studded hillsides, Deer Valley Ranch is a rural environment with both open meadows and vegetated oak woodlands. This working cattle ranch affords the buyer with a true turnkey opportunity, complete with multiple furnished homes, restored barns, various agricultural buildings, corrals, paved airstrip, hangar, and farm equipment.

In addition to seasonal water resources, the ranch includes wells, reservoirs, and miles of distribution lines providing stock and domestic water. DeerValleyRanch also features diverse terrain ranging from level land, open rolling grassland, and dry farmland to steeper vegetated hills, providing a natural habitat for active wildlife and game and considerable grazing capacity.

The asking price reflects an agricultural conservation easement which will be placed on the ranch upon sale. This easement, which will ensure that this property remains in its natural condition in perpetuity, will limit certain types of subdivision and development.

The enclosed information has been obtained from sources that we deem reliable; however, it is not guaranteed by Clark Company and is presented subject to corrections, errors, prior sale, changes or withdrawal from the market without notice.

GENERAL OPERATIONS

DeerValleyRanch is currently leased for grazing and hunting. The grazing lease extends until September 31, 2011 with a buyout available to the ranch owner.

DeerValleyRanch has traditionally been utilized for cattle grazing and some dry land farming. The historic carrying capacity is quoted at 200-300 mother, depending on rainfall and feed conditions. This reflects average carrying capacity for the area and the predominately good forage found within the valleys, canyons, and lower hillsides. The northern portion of the ranch is of somewhat lesser carrying capacity.  In wet/good grass years, the ranch can accommodate substantially more cattle; but current management has focused significantly on the long term health of the range.

TAXES, ACREAGE & ZONING

Deer Valley Ranch comprises 10,884.41± acres of contiguous land. The Ranch is zoned Agriculture and not included in the Williamson Act. However, an application is being submitted, which, upon approval, will take affect January 1, 2011. There are potentially 125± underlying legal parcels, with 15 certified or potentially certified on the main Ranch. Taxes in 2009 totaled $82,590.

LOCATION

DeerValleyRanch is situated at69410 Deer   Canyon Roadin the rural countryside of northeastSan Miguel,California, just 13 miles from downtown. The Ranch is located in southernMontereyCountyand extends northwest fromPortugese   Canyon RoadtoIndian Valley Road, with the southern border just 7 miles east of Highway 101. This sparsely populated area is a rolling mountainous region known for cattle ranches, dry farming, vineyards and rural home sites.

San Miguel is positioned 10-miles north of Paso Robles, mid-way betweenLos AngelesandSan Franciscoon State Highway 101. The Ranch is a 20-mile drive from thePasoRoblesMunicipalAirportwhich offers Fuel & Line Services, Aircraft Maintenance, Air Charter, Hot Air Balloons, Restaurant and Ground Transportation. The airport also has aJetCenterand private hangars available for general aviation. About 60 miles south of the Ranch isSan Luis ObispoCountyRegionalAirport, with commercial service daily toLos Angeles,San Francisco, andPhoenixconnecting to International flights.

LOCAL HISTORY

With a population of approximately 1,500, San Miguel is a small town inCentral California’s Wine Country, adjacent to Highway 101. The jewel of the town is the famous Mission San Miguel Arcangel founded by Franciscan Father Fermin Lasuen in 1797.  The “town” of San Miguel, likely began with the Rios-Caldeonia Adobe, which was constructed in 1835.  By 1871, a stagecoach ran daily from San Miguel toSan Luis Obispo, and in 1886, Southern Pacific Railroad reached San Miguel.  Shortly thereafter, the town was leveled by a disastrous fire, and the new town was rebuilt north of theMission.

CLIMATE

San Miguel’s climate is warm during summer when temperatures tend to be in the 70s and cold during winter when temperatures tend to be in the 40s. The warmest month of the year is July with an average maximum temperature of 93.90 degrees Fahrenheit, while the coldest month of the year is December with an average minimum temperature of 33.30 degrees Fahrenheit.

The annual average precipitation in the community of San Miguel is 13.08 inches.California’s current drought has made for below-average rainfall in the past three years. however, the 2010 rainfall has been above average.

WATER & MINERAL RESOURCES

The Deer Valley Ranch includes significant water resources. Domestic and stock water are provided by wells, springs, and reservoirs developed throughout the property. Over the past 25± years, the owner has updated and improved the water distribution system throughout the ranch. This includes upgrading and adding water delivery systems, storage troughs, and tanks from wells and springs.

There are multiple wells, numerous 3,000-gallon steel and 5,000-gallon PVC water storage tanks, and various additional water troughs. There is good stock water distribution throughout this ranch, with 12 miles of buried water distribution lines leading to tanks and troughs.  Overall, The Deer Valley Ranch enjoys good water resources and stock water distribution; however, known water quantities have not been proven for irrigated agriculture.

There are eleven functioning wells on the ranch. The primary domestic well pump-tests at 40 gpm and pumps up to an upper hill tank, then feeds two 5,000-gallon storage tanks. Well water serves the headquarters residences and also provides stock water for several pasture areas. Potable water quality is reportedly adequate. One smaller reservoir located near the corrals and headquarters buildings near is fed by the adjacent well.

Various large and small springs exist throughout the ranch, with roughly eight notable springs providing livestock or wildlife habitat water. Deer Canyon Creek is a larger, seasonal creek that extends through the center of the ranch. This provides some stock water for the rangeland, though the wells and several developed springs serve the ranch year-round. Portuguese Canyon Creek is a second large drainage channel through the ranch. There are various smaller creeks and tributaries in finger canyons that typically dry up in late summer. TheBig Sandy Creekis a large seasonal drainage corridor lying west of the ranch boundary, just west ofIndian   Valley Road. There is existing irrigation along this alluvial plain.

IMPROVEMENTS

Main Residence – The furnished, two-story, Spanish-style main residence comprises 3,674-square-feet and includes two-bedrooms and two-and-one-half-bathrooms. Attached are 796-square-foot, two-bedroom, two-bathroom guest quarters and 667-square-foot, three-car garage. This home also features a third-level observation tower, a Spanish-style courtyard with extensive brick and tile details and a center fountain.

Manager’s House – This custom, three-bedroom, three-bathroom home constructed in 1970, is also Spanish-style. It is comprised of approximately 1,856 square feet, with an attached garage, office addition and a fenced swimming pool in the side yard.

Employee Houses – There are two modest, older homes that have historically provided housing for ranch employees. The first home is 1,648 square feet, with three bedrooms, two bathrooms, and a small basement. It was built in 1948 with later additions. The second home is in poor condition and is due to be removed.

Headquarters – The buildings located at the headquarters consist of an open-front, 4,000 square foot pole structure equipment shed (with 16-foot eave height), a wood-frame tack room, a 2,040 square foot hay barn, a 1,000 square foot shop building, a roping arena with extensive pipe corrals, and two grain storage tanks approximately 36 feet in diameter and 20 feet high with an integrated elevator system. All of the barns and shops feature galvanized iron exteriors and roof systems.

Main Shop – The main shop was built in 1974 and features a concrete floor, lube pit, steel beam construction, skylights, two 20±-foot roll-up doors, an office, half-bath, and storage loft. This good-quality, steel building in average-plus condition, comprises 3,693 square feet, with an eave height of 24 feet.

Airstrip – The paved airstrip is approximately 2600 feet long and lies on straight section ofDeerCanyon just north of the main gate area. There is also a 40- by 50-foot, open-sided, steel hangar with tie-downs for aircraft parking.

Other Barns – South of the airstrip alongCross Country Road there are two older hay/stock barns (Silva and Brewer Barns) that have been extensively restored in recent years. These barns are on concrete foundations with wood exteriors and wood shingle roofs. They are approximately 2,000 and 2,080 square feet in size.

Portuguese Canyon House – 73251 Portuguese Canyon Road – This 1954 vintage home of approximately 1,248 square feet, contains three bedrooms, one bathroom, and an enclosed porch. There is also a 24- by 36-foot (864- square-foot) detached garage. This home is currently occupied by grazing/hunting lessee.

Other Improvements – The roads throughout the ranch are extensive and well graded. They provide access to most parts of the ranch with two-wheel-drive vehicles. There are approximately 75± miles of perimeter fence and cross fencing. The primary set of corrals is located at the headquarters; an older set of corrals is located onPortuguese Canyon Road.

WILDLIFE & RECREATIONAL CONSIDERATIONS

With endless trails to explore on your off-road vehicle, paths to discover on horseback, and nature and wildlife to encounter wherever you turn, the recreational advantages of Deer Valley Ranch are immeasurable. Hunting opportunities also abound with plentiful wildlife and game including elk, pig, quail, deer and dove.

AGRICULTURAL CONSERVATION EASEMENT

Upon sale of the Deer Valley Ranch, an agricultural conservation easement will be placed on the whole of the property, terms of which will include the buyer’s inspection. This easement will be held and enforced by the California Rangeland Trust, a 501(c)(3) organization dedicated to stewardship and conservation of the agriculture, open space, and natural habitat provided by California’s ranches.

Generally, the easement will limit future use of the property to the current regimen of grazing and recreational use and restrict conversion from rangeland to other agricultural uses (including vineyards) to no more than 10% of the property. Though subdivision of the property will be prohibited, up to three new single-family residential dwellings (in addition to the existing homes) and appurtenant structures may, with written consent, be constructed on the property, subject to county approval.

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Clark Company
Pete Clark, Broker
(805) 238-7110
info@clarkcompany.com
CA BRE# 00656930
NV RED#B.41551