Lost Creek Land and Cattle

Property Map

Lost Creek Land and Cattle

$29,950,000
Roggen, Colorado

At 17,102± deeded acres, Lost Creek Land & Cattle is an exceptionally well-located, multifaceted investment opportunity. Lost Creek is very desirable currently as a productive, income-producing farm and ranch. However, there is much more to this unique, resource-rich property.

Consisting of approximately 2,620 pivot irrigated acres and 14,480± acres of grazing land, the property has historically grown a variety of crops and run 500 to 700 head of cattle. With all 18 of its irrigation wells located in the Lost Creek Ground Water Basin, no augmentation water is required. This is a significant benefit compared to many northeastern Colorado farms. Current owners have also investigated the feasibility of converting this water to other uses which could then be transported to the growing metropolitan area between Ft. Collins and Denver. Owners estimate potential for over 3,650 acre feet of transferable consumptive-use water from the Lost Creek property.

Buildings on the property include three homes, an office and apartment, two modular dwellings, hay storage, shop, and livestock facilities. These are not extravagant improvements but are well-suited to handle the day-to-day needs of a working farm and ranch.

Located in agriculturally friendly Weld County, the property is ideal for a large dairy or cattle feeding operation.

Lost Creek Land & Cattle has a proven history of profitable farm and ranch operations. Because of its nearby location to the Denver metropolitan area and other fast growing Front Range communities, the property has enormous potential as a water resource, agribusiness site, residential or commercial development, or combination of uses.

Location: 

Lost Creek Land & Cattle is very accessible and ideally situated between Denver, Fort Morgan and Greeley.  Lost Creek has over six miles of frontage along Interstate 76 northeast of the Roggen interchange.  Downtown Denver is less than a one-hour drive from the property, while Denver International Airport and the outskirts of the metropolitan area are approximately 30 minutes away.  Fort Morgan is 20 miles east of the property on I-76 and Greeley is 30 miles to the northwest using Highway 34. Weld County Road 386 runs through the western areas of the property with WCR Road 91 providing access to the eastern areas.

Locale: 

Lost Creek is located in Weld County, which leads the state in many aspects of agricultural production. This part of the county is primarily an agricultural area comprised of irrigated and drycrop farms together with native grass rangelands. Large dairy operations and feedlots also operate in the general area.

Transitional areas of rural residential development are a short distance to the west, while the productive South Platte River valley lies north of the property. The small nearby communities of Wiggins, Prospect Valley, Keenesburg and Hudson provide basic services. Supported by agriculture and small local industries, these towns also serve as bedroom communities for residents who commute to employment in the Denver metropolitan area.

Lost Creek’s location is well suited for continued use as a farm and ranch. However, with its proximity to an interstate highway, major metropolitan area, and international airport, potential for other uses is easily foreseeable.

General Description: 

Lost Creek Land & Cattle consists of two parcels. The larger tract consists of 18 center pivots, native rangeland, and building sites, while a smaller, noncontiguous parcel of approximately 11 acres lies south of I-76.

Center pivots are located primarily on the western side of the property and are served by 18 wells. Pivot-irrigated land runs from level to gently rolling topography. The primary improvement site is on the northern edge of the property and includes three homes, a shop, hayshed, office with apartment, and livestock support buildings. In general, these improvements are older but functional. There are two mobile homes located west of Weld County Road 386.

Lost Creek, which runs on only an intermittent basis, enters the west boundary of the property and runs near the primary improvement site before leaving the ranch on the north. There are a few stands of trees along Lost Creek. Older dams and diversion structures were constructed along Lost Creek but rarely hold water for any significant period of time.

The balance of the property is gently rolling rangeland, and sandy soils support a variety of grasses. Rangeland is divided into approximately 19 pastures. A neighboring 400 acre property is used by Lost Creek as pasture.

Acreage: 

Lost Creek is among the larger properties in this area with a total of 17,102± deeded acres.  Approximately 2,620 acres are irrigated by 18 center pivots.  The balance of the property is native rangeland with a few acres of building sites.    

Improvements: 

The buildings on Lost Creek are utilized for supporting the agricultural operations of the property.  Many of the structures are older and suitable for their intended use.  A two-story residence includes several bedrooms, two bathrooms and living areas.  Across the yard from this home is a smaller dwelling with three bedrooms and two bathrooms with living areas.  Within the site are a shop building, large hayshed, historic barn, numerous livestock sheds with corrals and working facilities, and a number of smaller outbuildings.  A modern fuel storage set up with secondary containment holds four tanks.

A short distance to the south is the primary residence and detached office/apartment building within a landscaped yard. The home is a single story with four bedrooms, two bathrooms, two fireplaces and living space. The office apartment has two rooms and a bathroom. The mobile homes are located southwest of the primary improvements.  These buildings are utilized for employee housing or rentals.

Climate: 

The climate in this part of Colorado is considered to be semi-arid with annual precipitation between 12 and 14 inches. Average annual snowfall is approximately 24 inches. Snow cover typically lasts for only a few days.

Summers include many days in the 90s followed by cool evenings. Afternoon thunderstorms during the summer are common. Winters are generally mild with January’s average highs in the upper 30s.

Occasional severe winter storms can result in larger snowfall and extended cold snaps. There are also many milder days during winter.

Elevation at the headquarters is 4,580± feet.

General Operations: 

Lost Creek Land & Cattle is a combination farm and cattle ranching property. The 2,620± acres of pivot irrigated land are used to raise crops including corn, alfalfa, edible beans and potatoes.

Typical yields on the property are:

 Representative Actual YieldsYields for Budgeting
Corn180-220 bushels per acre195 bushels per acre
AlfalfaUp to 8 tonsUp to 6 tons
Edible beansUp to 60 bushels per acre40 bushels pinto or yellow beans

 

 

 

 

 

Potatoes are typically raised by a tenant, with Lost Creek cash leasing irrigated land for this purpose.

Irrigation is provided by 18 pivots ranging in size from approximately 120 to 180 acres. The pivot sprinklers are Valley models, 13 of which have poly-lined pipe. Eighteen irrigation wells supply irrigation water. Additional information on water rights is presented on following pages.

The wells are shallow with pumping levels typically less than 100 feet. Power for the wells and pivots is all from electricity. Typical pumping costs are $80-90 annually per acre. The farm is enrolled in the government farm program. Additional details on this are available from the broker.

Ownership runs a cow/calf livestock operation on the property. Currently, this consists of approximately 550 cows plus replacement heifers and bulls. A summer yearling program is an option for the cattle operation.

Cattle are typically turned out to grass beginning in April and will stay on grass until the last crops are harvested. Winter feed is provided by a combination of grazing on pasture, corn stalks and hay. A typical winter will require less than one ton of hay per head to be fed. The fed hay is usually grown on the property.

Grazing is on a rotational basis through the numerous pastures. Most pastures are 400 to 700 acres. Each pasture has livestock water with at least one pressurized tank.

The cattle operation consists of owned cows with company employees providing labor. Farm operations are conducted by an overall manager with employees handling irrigation and irrigation equipment maintenance. Farming operations are provided by a local custom farmer.

Wildlife Resources: 

Deer, antelope, and waterfowl are observed on the property.  Being located just west of Empire Reservoir, this area is well known as a flyway attracting large populations of ducks and geese.

Recreational Considerations: 

Current ownership has not focused on developing the recreational aspects of the property.  A future owner could certainly generate additional income or personal enjoyment from this resource.

Taxes: 

Property taxes for 2015 are estimated at $26,414.  The taxes are quite advantageous compared to nearby states and much of northeastern Colorado.  There are no special assessments for irrigated land on Lost Creek. This compares favorably to the $14.50 per acre assessment in addition to other taxes for wells in the Republican River Water Conservation District.

Water Rights: 

 

All 18 irrigation wells are located in the Lost Creek Basin, which is considered as a designated basin by the Colorado State Engineer. Irrigation wells in the Lost Creek basin are not required to have an augmentation supply. This is a very significant benefit to the Lost Creek farm when comparing it to many other properties in northeastern Colorado that rely on wells. The irrigation wells are also located outside of the Lost Creek Ground Water Management District and are therefore not subject to the rules and regulations of the management district.

Current owners of this property have investigated the feasibility of converting this water to other uses, with potential for transportation to the growing metropolitan area between Ft. Collins and Denver. Owners estimate potential for over 3,650 acre feet of transferable consumptive-use water from the Lost Creek Property.

The significance of being located in the Lost Creek Basin and being outside of the Management District are highlighted as:

  • Export of consumptive use from other wells within the Basin has been previously approved 
  • Export of water from the Basin requires approval of the Colorado Ground Water Commission but no water court proceeding is required
  • Export does not require approval of the Lost Creek Management District

These important factors contribute to the value of this water resource.

In terms of use as an agricultural resource, the Lost Creek Basin is a relatively shallow basin where the annual use relies on recharge from precipitation over the basin. New irrigation wells are not permitted in the basin thereby protecting water levels. The Lost Creek property is located in the northern part of the basin, which is considered to be the more stable water area in the basin. A summary of the irrigation wells is presented as follows:

Irrigation Well Permits

State Permit #

State Permit #

Ac./Ft.
P

Ac.
P

Ac./Ft.
CO

Ac.
CO

Pivots # *
(Use Location)

 

31610 FP-R

435

173

755

304

1,4

 

31611 FP

320

132

755

304

1,4

 

31634 FP

435

173

 

 

3

 

31635FP

910

363

 

 

2,5

 

31577FP

320

160

 

 

6

 

34398FP

376

188

 

 

7

 

31604FP

320

160

 

 

19

 

31605FP

320

160

 

 

8

 

31606FP

320

160

 

 

9

 

12172FP

320

160

1280

640

10,11,12

 

12174FP

320

160

1280

640

10,11,12

 

12177F

320

160

1280

640

10,11,12

 

31578FP

320

160

1280

640

10,11,12

 

9595FP-R

350

140

 

 

15

 

9596FP-R

350

140

 

 

14

31607FP

50753FP

328.75

163.5

1008.5

499.4

16,17,18

31608FP

50754FP

334.75

334.75

1008.5

499.4

16,17,18

31609FP

50755FP

345

345

1008.5

499.4

16,17,18

Total6744.53088.46744.5   

P = Permitted  CO = Comingled

* Owner’s designation for center pivot sprinklers. Contact Broker for details.
Disclaimer: The above information is based on data from the Colorado Division of Water Resources. Interested parties should conduct their own research as to water rights related to the Lost Creek Land and Cattle property. 

Mineral Rights: 

This offering includes 100 percent of the mineral rights owned by Sellers related to the Lost Creek property.  It is estimated that approximately 4,722 surface acres have some percentage of mineral rights that will be conveyed.  Sellers hold estimated net mineral rights on 2,785± acres.  Of this, there may be as many as 2,219 net acres not held by lease or production.  Broker and Sellers make no representations or warranty regarding mineral ownership. Interested parties should conduct independent investigation into mineral issues. 

Broker Comments: 

Lost Creek has a proven history of agricultural productivity that can be continued forward into future years. The factors that differentiate this property from the typical agricultural investment are its potential for other uses.

With its tremendous water resources and location, it has potential for providing water to the growing population of Colorado. It is projected that Colorado’s population could be over 10 million by 2050, with the majority of growth occurring in the Arkansas, South Platte and Metro Basins. This is nearly a doubling of the current state population. The Colorado Water Conservation Board projects the possibility of needing to develop the equivalent of four times the water in the Denver water system to serve this growth. Lost Creek is well positioned to be one of the sources to fill this future need.

Because of Lost Creek’s advantageous location, water resources, and productive capacity, other potential uses that can be considered are agribusiness opportunities such as a dairy or feedlot. Weld County’s zoning laws are very favorable for this type of development.

In addition to the above, with its location on an interstate highway less than an hour from a major metropolitan area and an international airport, many development possibilities can be considered.

Lost Creek is truly a multifaceted investment opportunity.

Additional Services: 

MANAGEMENT SERVICES – Hall and Hall’s Management Division has a very clear mission – To represent the owner and to ensure that his or her experience is a positive one. Services are customized to suit the owner’s needs. They often begin with the recruiting and hiring of a suitable ranch manager or caretaker and are followed by the development of a management or operating plan along with appropriate budgets. Ongoing services include bill paying, ranch oversight, and consulting services as needed. Even the most sophisticated and experienced ranch owners appreciate the value of a management firm representing them and providing advice on local area practices and costs. Wes Oja and Jerome Chvilicek at (406) 656-7500 or Randy Clavel at (308) 534-9000 are available to describe and discuss these services in detail and welcome your call.


RESOURCE ENHANCEMENT SERVICES – Increasingly the value of a ranch is measured by the quality of each and every one of its resources. Coincidentally the enhancement of a ranch’s resources also increases the pleasure that one derives from the ownership of a ranch. Our management services have included the assessment of everything from wildlife habitat to bird habitat to water resources and fisheries and the subsequent oversight of the process involved with the enhancement of these resources. Wes Oja or Jerome Chvilicek at (406) 656-7500 are available to describe and discuss these services in detail and welcome your call.


AUCTIONS - Hall and Hall Auctions offers “Another Solution” to create liquidity for the owners of Investment-Quality Rural Real Estate. Our auction team has experience in marketing farmland, ranchland, timberland and recreational properties throughout the nation. Extreme attention to detail and complete transparency coupled with Hall and Hall’s “rolodex” of over 40,000 targeted owners and buyers of rural real estate help assure that there are multiple bidders at each auction. In addition the unique Hall and Hall partnership model creates a teamwork approach that helps to assure that we realize true market value on auction day. For more information on our auction services contact Scott Shuman at (800) 829-8747.


SPECIALIZED LENDING - Since 1946 Hall and Hall has created a legacy by efficiently providing capital to the intermountain west. In addition to traditional farm and ranch loans, we specialize in understanding the unique aspects of placing loans on ranches where value may be influenced by recreational features, location and improvements and repayment may come from outside sources. Our extensive experience and strong relationships with our lenders allows us to quickly tell you whether we can provide the required financing.

Competitive Pricing • Flexible Terms • Efficient Processing
In-House Appraisals • Common Sense Underwriting
Dave Roddy • (406) 656-7500
Mike Hall or Judy Chirila • (303) 861-8282
Randy Clavel • (308) 534-9000
Monte Lyons • (806) 698-6882

Disclaimer: 

In Colorado, Buyers should be aware that different real estate brokerage relationships are available which include seller agency, buyer agency or transaction-brokerage.

BROKERAGE DISCLOSURE TO BUYER

 

Definitions of Working Relationships:

Seller’s Agent:
A seller’s agent (or listing agent) works solely on behalf of the seller to promote the interests of the seller with the utmost good faith, loyalty and fidelity. The agent negotiates on behalf of and acts as an advocate for the seller. The seller’s agent must disclose to potential buyers all adverse material facts actually known by the seller’s agent about the property. A separate written listing agreement is required which sets forth the duties and obligations of the broker and the seller.

Buyer’s Agent:
A buyer’s agent works solely on behalf of the buyer to promote the interests of the buyer with the utmost good faith, loyalty and fidelity. The agent negotiates on behalf of and acts as an advocate for the buyer. The buyer’s agent must disclose to potential sellers all adverse material facts actually known by the buyer’s agent including the buyer’s financial ability to perform the terms of the transaction and if a residential property, whether the buyer intends to occupy the property. A separate written buyer agency agreement is required which sets forth the duties and obligations of the broker and the buyer.

Transaction-Broker:
A transaction-broker assists the buyer or seller or both throughout a real estate transaction by performing terms of any written or oral agreement, fully informing the parties, presenting all offers and assisting the parties with any contracts, including the closing of the transaction without being an agent or advocate for any of the parties. A transaction-broker must use reasonable skill and care in the performance of any oral or written agreement, and must make the same disclosures as agents about all adverse material facts actually known by the transaction-broker concerning a property or a buyer’s financial ability to perform the terms of a transaction and if a residential property, whether the buyer intends to occupy the property. No written agreement is required.

Customer:
A customer is a party to a real estate transaction with whom the broker has no brokerage relationship because such party has not engaged or employed the broker, either as the party’s agent or as the party’s transaction-broker.

Please contact one of the Hall and Hall brokers for a complete discussion of potential working relationships for this property.  A written relationship disclosure will be provided to a prospective buyer prior to engaging in brokerage activities as defined by the Colorado Real Estate Commission. 

NOTICE: Offering is subject to errors, omissions, prior sale, change or withdrawal without notice, and approval of purchase by owner. Information regarding land classifications, acreages, carrying capacities, potential profits, etc., are intended only as general guidelines and have been provided by sources deemed reliable, but whose accuracy we cannot guarantee. Prospective buyers should verify all information to their satisfaction. Prospective buyers should also be aware that the photographs in this brochure may have been digitally enhanced.