HOLMHEAD FOREST. Moniaive, Dumfries & Galloway Hectares/ Acres FREEHOLD FOR SALE AS A WHOLE OR IN THREE LOTS

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1 2 Rutland Square Edinburgh, EH1 2AS Tel: Fax: John Clegg & Co Chartered Surveyors HOLMHEAD FOREST Moniaive, Dumfries & Galloway Hectares/ Acres A highly productive commercial forest of primarily Sitka spruce planted between 1983 and 1988, now approaching harvestable age with good access; including wind farm opportunities and sporting rights. FREEHOLD FOR SALE AS A WHOLE OR IN THREE LOTS Lot 1 - Regland Burn Hectares / Acres Offers over 450,000 Lot 2 - Whitecairn Hill Hectares / Acres Offers over 225,000 Lot 3 - Stroan Hill Hectares / Acres Offers over 575,000 As a Whole Offers Over 1,250,000

2 Dumfries 22 miles M74 34 miles Carlisle 44 miles Glasgow 72 miles (Distances are approximate) SELLER'S SOLICITORS Gillespie Macandrew LLP 5 Atholl Crescent Edinburgh EH3 8EJ Tel: Fax: Ref: Alistair R Anderson SOLE SELLING AGENTS John Clegg & Co 2 Rutland Square Edinburgh EH1 2AS Tel: Fax: Ref: Patrick Porteous LOCATION Holmhead is set within the fertile rolling countryside of Dumfries and Galloway just east of St John s Town of Dalry and New Galloway in the Glenkens. The county town of Dumfries is situated approximately 22 miles to the south east. To reach Holmhead please refer to the attached location and sale plans showing the various routes that lead to the forest. The main access is shown at point A1 on the sale plan. The property can be found on OS Sheet Number 77, Grid reference No. NX ACCESS Holmhead forms part of an extensive area of commercial forestry plantation with its own purpose built forest road leading directly from the A702. The principal access shown at point A1 on the sale plan has a well-constructed bellmouth with a locked security barrier (unlocked to allow for viewings). The access road between points A1-A2 forms part of the title of Lot 1. There are rights of access over points A1-A2-A3 in favour of Lots 2 and 3 of Holmhead and also in favour of the neighbouring Margree Forest owners, located to the north. The section of access road marked A2-A3 will form part of the title to Lot 2. A short length of road formation has been constructed into Lot 2 as far as point A4. No other internal access has yet been developed. Maintenance will be according to user. DESCRIPTION Holmhead is a very straightforward plantation of commercial conifer species. Sitka spruce forms 83% of the crop with 5% being other species, principally Norway spruce. Planted in 1983 the crop is growing rapidly and can be expected to enter the production stage within the next five years. The average yield class for the spruce is estimated to be in the region of GYC 18, but there are certain compartments growing well in excess of this. A purchaser can therefore expect income tax free revenue from timber in the short term. Lot 1 - Regland Burn Hectares / Acres This is a well-established plantation with a southerly aspect, including part of the Regland Burn which offers scope for pond creation or water features. There is a small stone bothy in the southern corner of the property. In combination with Lot 2, this would create a more substantial property and allow access to be developed from point A4 to serve both Lots. Species Planted Area/Ha SS SS/DF/JL MB 2.78 Unplanted Total Lot 2 - Whitecairn Hill Hectares / Acres Whitecairn is an easily managed section of commercial spruce with good access already in place and ideal for the smaller investor. Species Planted Area/Ha SS Unplanted 4.69 Total Lot 3 - Stroan Hill Hectares / Acres This is a substantial area of commercial spruce rapidly approaching production. The gentle slopes are supporting high Yield Class crops that should produce a significant tonnage of timber within the next five to ten years. Species Planted Area/Ha SS NS/SS 6.67 Unplanted Total

3 SPORTING RIGHTS The sporting rights on all Lots are included in the sale and are vacant. Records from previous leases indicate a healthy population of Roe deer with an annual cull in the region of 5 bucks and 5 does. BOUNDARIES The boundaries are generally defined by stock height fences in varying condition. The boundaries against adjoining forestry plantations are not currently maintained. The boundary of Lots 1 and 2 to the west, shown B1-B2-B3, and the boundary of Lot 3 to the north east, B4-B5-B6, adjoin open hill grazing land and these are maintained on a joint equal basis with neighbours. Please note that Lot 3, Stroan Hill does not own any part of the foreshore to Regland Loch. The boundary around this section is unfenced, but is short of the water. MINERAL RIGHTS The mineral rights are included for each lot except as reserved by Statute or in terms of the Titles. WAYLEAVES AND THIRD PARTY RIGHTS There are third party rights of access in favour of the owners of Margree Forest to the north. There are no other wayleaves or rights known. WOODLAND GRANTS There are no current forestry grants schemes in place. A Long Term Forest Plan contract has just been agreed and the current managers are commencing with plan preparation. A new owner will have the opportunity to set out the objectives of the plan. For further information on current grants please visit the FCS and Scottish Government websites: WIND FARM DEVELOPMENT There is a substantial wind farm proposed for the adjoining Margree Forest. The present owners of the Holmhead blocks have been in negotiations with the developers and draft option/lease documentation is available for prospective purchasers to view. There is a draft agreement with FIM Services Limited which the purchaser will be bound to take over; again a copy is available to interested parties. The proposal is for the access to the wind farm to follow the forestry road A1-A2-A3. No turbines are planned to be situated within the subjects offered for sale. The purchaser(s) will have the opportunity to assume the sellers position in finalising the Option/Lease agreements. In connection with proposed wind farms in the locality, there is a proposal for a new overhead pylon line to link the wind farms into the National Grid. The proposed route of this pylon line will cross Lots 1 and 2 approximately on the line shown on the sale plan and marked P1-P2-P3. Further details of all of these proposed developments can be obtained from the selling agents. VIEWING Viewing is possible at any time during daylight hours so long as potential purchasers are in possession of a set of these sale particulars. For your own personal safety please be aware of potential hazards within the woodland when viewing. OFFERS If you are interested in making an offer on this property or would like us to inform you of a closing date for offers, it is important that you notify us in writing of your interest. Holmhead Forest is presently owned by two independent parties. Lot 1 is owned by one individual and Lots 2 and 3 by a second. Purchasers should note that their offers will need to clearly identify the price being offered for each Lot. TAXATION At present, all revenue from timber sales is Income and Corporation Tax free. There is no Capital Gains Tax on growing timber, although there may be a liability on the land. Under the Inheritance Tax regime, 100% Business Property Relief should be available on commercial woodlands. VAT is charged on forestry work and timber sales, although its effect is neutral if managed as a business. Government grants are received tax free with the exception of farm woodland and subsidy payments. AUTHORITIES The Forestry Commission Dumfries & Galloway South Scotland Council Conservancy Council Headquarters 55/57 Moffat Road English Street Dumfries Dumfries DG1 1NP DG1 2DD Tel: Tel: Fax: Fax: IMPORTANT NOTICE John Clegg & Co LLP, its members, employees and clients give notice that: 1. These particulars (prepared in September 2011) and all statements, areas, measurements, plans, maps, aspects, distances or references to condition form no part of any offer or contract and are only intended to give a fair overall description of the property for guidance. John Clegg & Co LLP will not be responsible to purchasers, who should rely on their own enquiries into all such matters and seek professional advice prior to purchase. 2. Neither these particulars nor any subsequent communication by John Clegg & Co LLP will be binding on its clients, whether acted upon or not, unless incorporated within a written document signed by the sellers or on their behalf, satisfying the requirements of section 3 of the Requirements of Writing (Scotland) Act The sellers do not make or give, and neither John Clegg & Co LLP nor its members or employees nor any joint agent have any authority to make or give, any representation or warranty in relation to the property. 4. The property (which may be subject to rights of way, servitudes, wayleaves and others) will be sold as per the title deeds, which may differ from these particulars. Photographs may depict only parts of the property, which may not have remained the same as when photographed. 5. Where reference is made to grant schemes, planning permissions or potential uses, such information is given by John Clegg & Co LLP in good faith, but purchasers should rely on their own enquiries into those matters. 6. Prospective purchasers should be aware of the Wildlife and Countryside Act 1981 and the Nature Conservation (Scotland) Act 2004 and to the influence and effect they, and any statutory designations, may have on the property, including rights of public access under the Land Reform (Scotland) Act The sellers will not be obliged to accept the highest, or indeed any, offer and may at any time accept an offer or withdraw the property from the market. Neither the sellers nor John Clegg & Co LLP will be responsible for any costs incurred by interested parties.

4 HOLMHEAD FOREST England: John Clegg & Co Scotland: Wales: John Clegg & Co LLP is a limited liability partnership registered in Scotland (No. SO302718) whose registered office is at 2 Rutland Square, Edinburgh EH1 2AS

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