HALF BRAND RANCHING INC. I-VEL Y ~EAL TY LTD
Half Brand Ranching Inc. UNRESERVED lease land Auction 1,119 + Acres Alberta Government Grazing Lease # GRL 920105 Tuesday November 16,2010 5:30 PM At the Millarville Racing and Agricultural Society Upper Hall 7 Quarters of picturesque lease land all in one block bordering the forestry Well watered by creeks, springs and ponds Good perimeter fencing and internally drift fenced into three parcels Abundance of natural shelter and outstanding mountain views "I've never met a cow that liked a view, but it sure is nice to enjoy when you're checking them" Nancy Peters Auction sale conducted by THE AUCTION COMPANY L1D. Realtor Participation Invited Bob Dyck 403-585-4551 Associate Broker Contact: Shawn Hansen 403-540-9659 Associate Broker I-V-EL Y ~EALTY LTD
MD FOOTHILLS #31 MAP
Important information regarding GRL 920105 Effective Date: October 01, 2007 Term: 10 Years Expiry Date: September 30,2017 Allotment: 245 AUMs Covering the following public lands: Legal Description Area in Acres 2010 Taxes MD of Foothills #31 04-020-0 I-S W 04-020-01-NW 04-020-01-NE 04-020-02-SE 04-020-02-SW 04-020-02-NW 04-020-02-NE 160.00 Acres +/ 160.00 Acres +/ 160.00 Acres +/ 160.00 Acres +/ 159.00 Acres +/ 160.00 Acres +/ 160.00 Acres +/- $59.24 $57.16 $49.36 $67.42 $56.56 $61.21 $76.22 Total 1119 Acres +/- $427.17 Annual Lease Payment $717.73 (2010) Assignment: Following is an excerpt from Alberta Government Public Lands... Assignment Registration Fees for Agriculture Dispositions Several types of agriculture dispositions can be assigned with the approval of government, if certain requirements are met. Grazing Leases There is little public land available for new grazing leases. Grazing leases are almost always renewed/reissued if the leaseholder has properly managed the land. Therefore, the most common method of obtaining a grazing lease is through an existing leaseholder assigning it. The amount paid for the grazing lease rights is privately negotiated. When a lease is assigned in this way, the government charges a fee to register the assignment. Until 1976, the provincial government received 50 per cent of the amount received by the previous leaseholder when he/she assigned the lease. After 1976, the government established assignment registration fees through Regulations under the Public Lands Act. The fees are now set out in the Act. The fees vary depending on the transfer situation, as described below. Arms Length Transfers This is a transfer between "willing" parties (not family members). Neither party can be in debt to the Minister of Alberta Sustainable Resource Development and the assignee (person receiving the lease) must be eligible to obtain a grazing lease. The assignor (person giving up the lease) must have held at least two-thirds of the land for three years. The assignment registration rates are based on the number of Animal Unit Months (AUMs) the lease provides. An AUM is the amount of forage required for one month by one mature cow with or without a calf. This is approximately 1,000 pounds of forage dry matter. The assignment fees per AUM are: Zone Al (SE Alberta) $50.00 Zone A2 (SW Alberta) $100.00 Zone B (central Alberta) $50.00 Zone C (northern Alberta) $5.00 For the purpose of this sale the lease assignment fee of $24,500.00 Seller portion due 30% - $7,350.00 Buyer portion due 70% - $17,150.00 shall be divided as follows:.iv[~l.y It I ~I" I III
ALBERTA REGULATION 54/2000 Public Lands Act Government Fees and Charges Review Act DISPOSITIONS AND FEES REGULATION Application for grazing disposition Division 1 General 21 (1) An application for a grazing disposition may be made by (a) a person who is at least 18 years of age and is a Canadian citizen or a permanent resident within the meaning of the Immigration Act (Canada), or (b) a corporation. (2) If an appl icant is a corporation, it shall submit with its appl ication (a) a copy of its certificate of incorporation or other evidence of its corporate status; (b) a list from an officer of the corporation of the names, addresses and citizenship status of the persons who hold shares in the corporation and the number of shares held by each person; (c) where the corporation is not incorporated in Alberta, evidence that it is entitled to carryon business in Alberta; (d) where the corporation is incorporated under the Societies Act or the Co-operative Associations Act, a copy of the corporation's bylaws; (e) where the corporation is a grazing association, a list of its current members. Information by holder 22 If the holder of a grazing disposition is a corporation, it shall, on the written request of the director, provide the information referred to in section 21 (2) within the time specified in the request. Limitation re corporate holder 23 No grazing dispositions may be issued to a corporation with share capital unless (a) the majority of the corporation's shares are beneficially owned by residents of Alberta who are Canadian citizens or permanent residents within the meaning of the Immigration Act (Canada), and (b) those shares are owned for the exclusive use and benefit of the shareholders and not in the interests of or for the benefit of any other person. Further information which governs grazing lease and which prospective buyers should become familiar with can be found by searching the Government of Alberta Sustainable Resource Development website. IVr-=-.l~Y RI \1 I) I II}
SALE TERMS & CONDITIONS BUYER'S PREMIUM ALL BIDS ARE SUBJECT TO A 5% BUYER'S PREMIUM The Buyer's Premium, expressed as a percentage of the winning bid, is an additional cost to the Purchaser and is payable by the Purchaser as part of the total purchase price. It is the fee the seller charges the bidder to bring the Property to UNRESERVED Auction. UNRESERVED AUCTION The sale shall not be subject to any minimum bid or reserve price. The property shall be sold to the highest bidder. PURCHASE CONTRACT Immediately following the close of the Auction the highest Bidder on the Property shall execute a PURCHASE CONTRACT for the PURCHASE of the Property for a Total Purchase Price equal to the highest bid plus 5%. Conditional only to lease assignment approval of GRL 920105. FINANCIAL TERMS Upon completion of the PURCHASE CONTRACT the Purchaser shall submit a Deposit in the amount of 15% of the Total Purchase Price to be paid to the Trust Account of Lively Realty LTD. The balance of the Purchase Price shall be paid to the solicitors for the seller on or before December 16, 2010. Any interest accumulated between this date and the final assignment of the lease, will be paid to the seller. In the event that the lease is not assignable, the entire proceeds of the sale shall be refunded to the buyer plus any accumulated interest. ASSIGNMENT FEES As previously stated the assignment fee of $24,500.00 buyer. COMPLETION DAY shall be paid 30% by the seller and 70% by the The closing, possession and adjustment day shall be upon the completion of the transfer of the lease by Alberta Sustainable Resource Development Land Division. The 2011 MD of Foothills Taxes will be the responsibility of the buyer. GOODS & SERVICE TAX The Purchase Price does not include GST. In the event that the GST is payable and the Buyer is not a GST registrant, then the Buyer shall remit the applicable GST to the Seller's Lawyer on or before Completion Day. SALE PROCEDURE To establish the value of this assignment, bidding will be conducted in Dollars Per Acre. This sale information has been prepared as a guide to potential buyers, however, anyone bidding at the sale does so on his or her own knowledge and personal inspection of the property. Any announcements made by The Auction Company Ltd. regarding terms and conditions prior to or during the sale shall be final. For further information, please contact: Bob Dyck 403-585-4551 Shawn Hansen 403-540-9659 IY':J=i}y LX
Name HALF BRAND RANCHING INC. UNRESERVED LAND AUCTION Buyers Registration Application Company Name (if applicable) _ Address, Day Phone Night Phone _ Cell Phone Fax Email Bank Branch Address Bank Reference Contact Name ----------------- Contact Phone G.S.T. Registration Number _ I HAVE READ AND AGREE TO ABIDE BY THE TERMS AND CONDITIONS FOR THE HALF BRAND RANCHING INC LAND AUCTION AS SET OUT BY THE AUCTION COMPANY LTD. Signed Date _ Print Name Please send application to: _ P. Robert Dyck, Associate Broker Box 5850, High River, Alberta, Canada T1V 1P3 Tel: 403-585-4551 Fax: 403-652-4889 Email: prdyck@aol.com
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THE 4U~TI~N ~~MPANYtTD, Hurlburt - Noble - Dyck The Land & Agricultural Auction Specialists Full sales management services Internet bidding capabilities Farm machinery & Livestock appraisals Contact: P.R. Bob Dyck Cell: 403-585-4551 Fax: 403-652-1889 Box 5850 High River, AB Tl V IP3 PRDYCK@aol.com theauctioncom pany.com HANSEN LAND COMPANY LTD. 309 - FIRST STREET WEST P.O. BOX 6129 HICH RIVER, r\lbert~t\ TIV IP7 Shawn Hansen Associate Broker for Lively Realty Ltd. Phone: 403.652.1798 Fax: 403.652.1730 Cell: 403.540.9659 HANSEN@HANSENLANDCO.COM LIV'ELY I-~c/\.L I Y L I Q 2207-20th Avenue, Box 757 Nanton, Alberta TOL lro Phone: 403-646-2910 livelyreaity.com