Project Description:

Homeleigh Dairies presents a strategic investment opportunity combining property value enhancement through change of use with experienced operational management. The investment enables completion of a premium property purchase at $7,000 per acre, with significant value uplift potential through the conversion from hay production to dairy operations currently underway, as operational dairy properties are valued at $10,000+ per acre.

Key Value Drivers:

• Immediate equity creation through change of use from hay production to dairy farm
• Conversion from hay production to higher-value dairy operations already underway 
• Established infrastructure reducing capital requirements
• Premium customer relationship ensuring superior milk pricing

Financing Partnership Structure

Primary Lender: Thera Capital Management (AFSL 527076) provides $2.4M primary loan facility for property acquisition, representing 60% of total project value.

Operator Investment: Wayne and Helen Dodge contribute $1.24M comprising:

• 158 milking cows plus replacement stock valued at $523,700
• Modern dairy plant and equipment valued at $280,000
• Agricultural machinery including tractors and specialised equipment valued at $270,000
• Infrastructure improvements and operational assets valued at $166,000
• Four decades of operational expertise and industry relationships

Wholesale Investment: $1.4M secondary financing to bridge the gap between primary lending and total acquisition cost, secured by registered caveat and generating fixed 10% returns.

Market Position and Customer Relationship

Our exclusive long-term supply relationship with Lactalis Australia provides exceptional pricing stability and premium returns significantly exceeding industry averages. Lactalis operates extensive manufacturing facilities producing diverse dairy products under premium brands including President, Oak, Vaalia, Pauls, Breaka, Lemnos, Galbani, and Real Coffee Ice Break.

Current industry conditions show Lactalis offering the most competitive milk pricing in Australasia, with projections indicating continued price leadership. This positioning provides investors with confidence in sustainable revenue generation and growth potential.

Key investment risks:

When considering purchasing or investing in a business, it's important to be aware of the potential risks involved. It is advisable to consult with your accounting and legal advisors before entering into any contracts. While we strive to exercise due diligence, we cannot guarantee the accuracy of the project. It is essential that you verify all financials and legal agreements before proceeding.