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CBA.0517.0135.1362
P I I I I I I I I I VALUATION OF I "GLBNROY" I LOCATED I AT I I MORINISH VIA I ROCKHAMPTON OLD 4700 I
U September, 2004 I Pile No. 4775.mc.rtvms
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CBA.0517.0135.1363
I I 2 TAYLOR BYRNE "Glenroy" Morfnlsh vlo Rockhampton Qld 4700 I file Ref: 4775,mc.riwns I TABLE OF CONTENTS 1.0 EXECUTIVE SUMMARY 1.1 Subject Property..
I 1.2 Instructions■, UNkiiiimuiii iiiMimi ...... mr»r**n**i* «*« '■ ■ unit ■*(•»*(**'»*• 1.3 Prepared For..
1.4 Brief Description ■ III I ...... I 1.5 Client Reference 1.6 Date of Inspection.,
1.7 Date of Valuation ...... Mil...... lit IH 1**41 I 1.8 Risk Assessment Summary millllll|iiitMlltlllMMIIMttllMNMHMmil>IMll IIIKIIIIIlMIHItmi 1.9 Valuation I 2.0 INTRODUCTION, 2.1 Instructions,, kill* H lit ><■■••«•> tit >»■■*■■ »■■■*•■ lit Liu imilMktllllkllllkllM ...... 2.2 Market Value.
2.3 Date of Inspection,ttautiotttatittttM miii*inimtl»»Min > I 2.4 Date of Valuation ltlltkMI>l*t9(lt*«*lft*M ...... mil 2.5 Basis of Valuation ..■■IIOIMITMI 2.6 Qualifications and Disclaimers I 2.7 Native Title
3.0 PROPERTY SEARCH DETAILS tmiiutaiUtHIMIMiaalikMMMfMtHIKNtMmilimHIHnHtlMtHtlltllliaiaatllillMIIHIIitikiiMIMIMill -
3.1 Real Property Description . tMiMMyi!kl»>aM«Hllk«kfMi 3.3 Easements and Encumbrances , ...... • 3.4 Land Area. I 3.5 Local Authority •■iiiiiiiiaiiKi ki“>< ...... it...... 3.6 Zoning 10 3.7 Unimproved Value. IMMIIItktlllll llltlkMIlMllllkMikitMilaiaii 10 I 3.8 Local Authority Rates and charges titlMiiMiMiMIIIMIIII iiimtiiiliiiaiitii 10 3.9 Rent, M>H ...... 10 3.10 Contamination and Environmental Factors . Mill ■iralH«M*MM«lk*l*a»HUI llllllHMOIllitiail 10 I 4.0 PHYSICAL SITE DETAILS M«akl|»tMfma||IIM«kltaknllMaiMMIi|itHkll(MI«l>itailllliaiMk|lt»IMkMMMtfMHMIH 4.1 SITUATION AND LOCALITY lIMkllktlltlll 11 4.2 Roads and Access 11 I 4.3 Services and Amenities ■ 4.4 Highest and Best Usage ■ ■‘■■t«>«ii»t*a*n»Mllt*iakitii 5.0 DESCRIPTION OF LAND M»lkMIMlfltn«1H ...... 13 I 5.1 Topography/Soil Type/Originai Vegetation i ■■IlkklliltkllklMMIlMMi |i>i 13 5.2 Land divelopment/Timber Treatment i IkllMkltitiktouiliiM ntiiikilMlltMl klkMIkl 13 5.3 Natural Water. 14 I 5.4 Classification of Country ...... ■ MfiittrMMkiiiiikkkii 14 I I I R CBA.0517.0135.1364 I I 3 TAYLOR BYRNE "Glanroy" Morinlsh via Rockhampton Qld 4700 I File Ret: 4775.mc,rlyms I 6.0 DESCRIPTION OP STRUCTURAL IMPROVEMENTS. IS 6.1 Buildings liiitiiitiiniii 15 6.2 Waters ■ ■iKlXtOtdl 16 I 6.3 Fencing m!iiiiiiiii»iin> 17 6.4 Yards 17 I 7.0 INDUSTRY OVERVIEW MMtllttiHUt 19 8.0 VALUATION CALCULATIONS tMIOIMHIIIIHtliiiiaat 22 8, l Valuation Considerations and Methodology. 22 I 8.2 Sales Evidence, 22 8.3 Sales Summary and Reconciliation,Ktindl 26 8.4 Valuation Calculations . 26 I 8.5 INSURABLE VALUE,, ■ imimnix n*i iiiiiiiiu.iMai 26 I 9.0 VALUATION •«lllaaaaiaillllMliailMMia)HitaialifaillttlllMaaiiiaattHIMtailia(|iilattl|HI P . 'commonwealth Bank of Australia ABN 40 123 123 124 Risk Management Property Consultancy (Qld) Level 8 GPO Box 1423 Telephone myi 3337 3575 240 Queen St Brisbane Qld 4001 Facsimile \vi J o* Return of Valuation Report To; 4360 001 Commonwealth Bank of Australia Agribusiness Queensland Your Reference; Linda Paterson Date; 12/10/2006 Outsourced Valuation Customer Name: Comanche Grazing Co Property Address; ''Glenroy" Morinish via Rockhampton Valuer: Taylor Byrne (Rockhampton) Job Number; 6091227 Attached is a completed valuation report (2) for the above property, This report has been reviewed, and Is deemed acceptable In relation to content and rationale, having met the criteria set out In the CBA's Instructions, The fee of $6,050,00 Invoice Number: 7431 - Glenroy with Valuer ID; A009 has been authorised for payment and despatched to Banking Operations for processing. The above fee Is GST Inclusive, This Invoice has been paid, please do not pay It, The net fee adlusted for GST recoveries to be obtained from the client Is $5.637,39 The Fee recouped from the client is to be credltedtoGeneral Ledger Account (’Reg Val Fee Rec Not Costed G1* PeopleSoft account numberdetailed In the Group Credit Manual section 4a 3,9.2 "How to process a payment to an external property consultant” If a copy of this report Is to be released to the client (excluding Home Loan Products where the report Is not to be provided) you are reminded to: a) collect the cost of the report from the client prior to releasing the report, and b) release the report (copy only) with the covering letter as detailed In Volume 4, Section 3.10.2 of the Group Credit Manual. Refer attached addendum sheet. Alec Cromble Agribusiness Consultant Risk Management Property Consultancy Addendum Sheet to valuation acceptance letter '•Glenrov" Morinish via Rockhampton Q 4700 A 5,570.03 ha rural property located 70 km west of Rockhampton. 5,365.03 ha freehold tenure and 205 ha leasehold tenure Nominal rent payable for the leasehold parcels. > Majority of the property has been cleared for grazing purposes. Current estimated carrying capacity of 1300 Adult Equivalents. Assessed Treated Fenced Watered land value of $3,900,000 ($700/ha or $3,0Q0/AE) > Improvements comprise a dwelling, shed, hay shed, oil shed and two sets of yards (1 set of nominal added value). Added value of these improvements of $100,000 (rounded) > Assessed "In-use” market value (as per above apportionments) of $4,000,000 exclusive of GST. > Insurance replacement estimate of $250,000 Assessed “in-use" value of $4,000,000 is deemed acceptable for security purposes subject to: • Investigation of leasehold tenure revealing no "nil compensation clauses" being applicable. David Clarke Property Consultant R CBA.0517.0135.1367 A TAYLOR BYRNE Kiev Valuers______ VALUATION OF “GLENROY" LOCATED AT MORINISH VIA ROCKHAMPTON QLD 4700 15 September, 2006 File No. 4775.mc.Hvms lflll«Mi(HudOttir«l £010 COAST CURM KWHsmu SUNSHINE COAST MIMA ROCKHAMPTON EMIR AID TOOWOOMBA I LevM 9, Stilus Centre, fHMfaot. 2d Sturt Sum. Uni M2 Filial Sin it 87 NoHMtft R«4 Uttil Si*ii2»iM**Atu CBA.0517.0135.1368 r i Addendum Sheet to valuation acceptance letter "Glenrov” Morlnish via Rockhampton Q 4700 > A 5,570.03 ha rural propertyIocated70kmwesto^^ 5,365.03 ha freehold tenure and 205 ha leasehold tenure I). Nominal rent payable for the leasehold parcels. > Majority of the property has been cleared for grazing purposes. Current estimated carrying capacity of 1300 Adult Equivalents. Assessed Treated Fenced Watered land value of $3,900,000 ($700/ha or $3,000/AE) > Improvements comprise a dwelling, shed, hay shed, oil shed and two sets of yards (1 set of nominal added value). Added value of these improvements of $100,000 (rounded) > Assessed "In-use” market value (as per above apportionments) of $4,000,00D exclusive of GST. > Insurance replacement estimate of $250,000 S&fafok, Assessed “in-use” value of $4,000,000 is deemed acceptable for security , . . , ■ purposes subject (or • Investigation of leasehold tenure revealing no "nil compensation «+• wiv clauses" being applicable. hw ’ ?\o e|*ic Ivwkairt tflokker' ft David Clarke Property Consultant CHTkMcrfcot I I TAYLOR BYRNE "Glenroy" Morlnish via Rockhampton Qld 4700 I File Rel: 477S.mc,rlvms I TABLE OF CONTENTS 1.0 EXECUTIVE SUMMARY, 1.1 Subject Property, ...... 1.2 Instructions 1.3 Prepared For liiiniiinnnMiniiMiiiiii'iiii iiiiim(•••••■ ••••■a* 1.4 Brief Description ...... 1.5 Client Reference ■ ri»iiiiii 1.7 Date of Valuation limimilMMIMIlMimMIIIIll ...... I 1.8 Risk Assessment Summary iMiHiimauM iiimi l ,9 ValuationI MIIIIMlin (IMiaalnliml MtllMIIHIHH 2,0 INTRODUCTION 2.1 Instructions iimMIIMlHMninrillii I■ aa MiiuiiiimniiiMiiimiiM M 2.2 Market Value • iiMiiiiHiimaaMatiMiiliinimciiixiiiiiniimimntiaa(Mai*aataaitiaittit > 2.3 Date of Inspection,. 2.4 Date of Valuation a*» *««»*•»* mini .nininiiiimiiiiinm a a at a iiiiiiiiiiimmiii inaliimiUlKtr iiihm 2.5 Basis of Valuation linininiiiin">MMnnmiiiiiiimiii>iiii 2.4 Qualifications and Disclaimers iiotHaMiiiM lilliiiliiiiinmnniiiinnui mihiii •(*•»*■ m liMiMlnmiilin I 2.7 Native Title- •■■■■.■milMiniiMinniinnnninnini i a lata a*allriM>Ma<«|ai«»»*i »i*a a*a i>iiai>iKa>a»Mi 3.0 PROPERTY SEARCH DETAILS • »••*!•**««••iaa*»aar*fMIMtailll*MM IIMIIIM4IMMH *••••*)»***••«#■ M*H . 3.1 Real Property Description . inimMiMiii , I 3.2 Registered Proprietor,, 3.3 Easements and Encumbrances . 3.4 Land Area\iiMMtaiaiiMMi ‘iii>i>...... n laiiMaamMitmaM laimiiaiaiiiaiaiMixiaiiii 9 I 3.5 Local Authority imaimniMiinnniii niiiMHiaMiittaimaitotiaiitH ...... >»<< 9 3.6 Zoning .■i.inmnnmi lattMiaiiaaataiitaitaaiaaaatai lliiliiiilniiiiiimim».i..m<.m 10 3.7 Unimproved Value laMtitaaiiiiimaii I.*nai»i«»»»»*•■.«••« >aiai>iiiiiiii ...... 10 I 3.8 Local Authority Rates and Charges ■aimanniiiiaitniiin MllatiiinaaiHiniMii ■ mnninutHnMiiMlMii inMataii niattll 10 3.9 Rent,MMIMMIIM) liMia«iini>(M>l»|iaiai 3.10 Contamination and Environmental Factors. ■ Mil iMiaa‘i>'illl illilll lialailin I 10 4.0 PHYSICAL SITE DETAILSIMtaa(iiiin)MtimaafHtMmHmi«4M>iaataaaimauiiaauiMaiitauliiaaii|||ta|ikmiM'«Maai»aH«Mlli(MI1IIIM«l 11 4. l Situation and Locality , 11 4.2 Roads and Access aaiiatiai iniiMMamiiiMmnoaimiintiii tnniMittataaatiimaii aaiiMtaa* t**«ai 11 4.3 Services and amenities. I •aa.xxrii t >>«rt riaaita ia< ■■ ta tiaa i MMMiaiataiiaaailMM t IM«n ■ 4.4 Highest and Best Usageiiiniiuaaaaiaaainiiiiiiiitiiiiiiaaitniaataaiiatiiia ■ aa«*a«*a^**a»fta»tt*ktiM*M*ittt)i a a a aa mm tat aa n aiaiatuu 11 4.5 Carrying Capacity ...■■■m.l.nnillialni'tti i a • i 12 I 4.6 Rainfall 12 S.0 DESCRIPTION OF LANDiM»nmMtU(M 5.3 Natural Water lalaitaiaiiaaiaaattiaaaiaaaaaaiMiatiin i«iaMl>i»«at)iiataaa>aaaiaiaa CBA.0517.0135.1370 I I 3 TAYLOR BYRNE "Glenroy" Morlnish via Rockhampton Qld 4700 I File Ref: 47?5.m&riyms • I 6.0 DESCRIPTION OF STRUCTURAL IMPROVEMENTS lIlllllllttMMMIMinliMlllillI 15 6.1 Buildings 15 6.2 Waters ... 16 I 6,3 Fencing ...... M »»*»*«*■«■<*** * I Ml 14 llMIIMimilllltlMMlIltl ... 17 6.4 Yards.., .. 17 I 7.0 INDUSTRY OVERVIEW imiiumiUiliiiMHIMI ..19 8.0 VALUATION CALCULATIONSV •i»tiiaiuiiiiiIliiMIMMMIDIMItl|l imiimiMim IIMIIIlMMtomilMlllll .,22 8,1 Valuation Considerations and Methodology IIIIIIIIIIIMHIIMIIIXXI ..22 ..22 I 8.2 Sales EvidencelUtill III l«MlllM iMHlIMtllUlrfllll MM ItmiMtHM 8.3 Sales Summary and Reconciliation iiiiriniH IllMlMlIlllllIMlIfMI ..26 8.4 Valuation Calculations 11 a I M ..26 I 8.5 Insurable value MIMIIUIIIMIIIIIIII ■•■•IlilllllMIHtlUIMi ■ MiaxlMMMlIIMItl Mill ..26 I 9.0 VALUATION • I H*IM *111 n« ...... 27 I ANNIXURE& > Current Title Searches I File No. 4775,me,rlvms I I I I I I I I I I TAYLOR BYRNE "Glenroy" Morlnish via Rockhamplon Qld 4?Q0 File Ref: 4775.mc.rtvms 1.0 EXECUTIVE SUMMARY This executive summary should be read in conjunction with our complete Valuation Report. Reliance should only be placed on this report upon sighting a signed original document. 1.1 Subject Property "Glenroy" Morlnish via Rockhampton Qld 4700 1.2 Instructions In this matter we have been instructed by Mr Alec Cromble, Agribusiness Consultant, Risk Management Property Consultancy |QLD), Commonwealth Bank of Australia to assess the Current Market Value of the property described herein for Mortgage Security Purposes, The Interest being valued Is the current unencumbered market value. 1.3 Prepared For Manager (Qld) » Commonwealth Bank Risk Management Property Consultancy (QLD) Level 9,240 Queen Street BRISBANE Qld 4000 This valuation has been prepared In accordance with Australian Property Institute Standard Instructions for Valuation Reports for Mortgage Security Purposes. 1.4 Brief Description "Glenroy" comprises an aggregation totalling approximately 5570,03 hectares. The majority of this land generally comprises mainly easy undulating forest ridges, with generally grey and red gravelled soils. The western end of the property comprises harder rosewood ridges however Ihe eastern secllon was generally originally limbered with Narrowleaf lronbark with some Bloodwood and limited Gum frontages. The property Is adequately fenced and watered and has fair quality structural Improvements. 5 TAYLOR BYRNE ''Glenroy'’ Morlnish via Rockhampton Qld 4700 File Ren 4775,mc,rlvm5 1.5 Client Reference Mr Graham Farmer 1.4 Date of Inspection 15 September 2304 1.7 Date of Valuation 15 September 2006 1,6 Risk Assessment Summary O Good SO Average □ Moderate O Poor Marketability: High Average Low □ l □ 2 Ms □< ' □ 5 Quality; Anticipated demand for the Strong property: Estimated selling period (combined Three to Six Months with a professional marketing campaign): Likely buyer profile includes: Grazier Leasing demand is considered to be: Strong Positive attributes include: • Well developed • Good water attributes Include: • Significant area of poorer countryNegative _R CBA.0517.0135.1373 M A m av 6 TAYLOR BYRNE “Glenroy1' Monnlsh via Rockhampton Qld 4700 Fils Ret; 4775,mc.rlvms 1,? Valuation Subject to the stipulations and assumptions contained within the body of this report, It Is our opinion that the Current Market Value, excluding GST, of the "Glenroy" located at Morlnish via Rockhampton as al 15 September 2006 Is: $4,000,000 (Pour Million Dollars) VALUER Mark Craig Registered Valuer No. 142S Certified Practising Valuer TAYLOR BYRNE ENDORSED Rod Hewitt VALUER Registered Valuer No. 1612 Certified Practising Valuer TAYLOR BYRNE "TiiW •(tiyflUdVovS ifW-iuO. (& CCVtf mv\j v iAolch'VlOv\^V\,p R CBA.0517.0135.1374 7 TAYLOR BYRNE "Glenroy" Morlnish via Rockhampton Qld 4700 • • * 1 2 3 4 5 File Ref: 4775.mc,rtvms 2.0 INTRODUCTION 2.1 Instructions In this matter we are Instructed by Mr Alec Crombie, Agribusiness Consultant, Risk Management Property Consultancy, Commonwealth Bank of Australia to assess the Current Market Value of the property described herein, for Mortgage Security Purposes. Interest being valued Is the current unencumbered market value. 2.2 Market Value Market value Is defined as the estimated amount for which an asset should exchange on the date of valuation between a willing buyer and a willing seller In an arms length transaction, after proper marketing, wherein the parlies had each acted knowledgeably, prudently and without compulsion. 2.3 Date of Inspection 15 September 2006 2.4 Date of Valuation 15 September 2006 2.5 Basis of Valuation In arriving at our opinion of value, we have made various assumptions which we summarise as follows: 1. That the property complies with all statutory requirements with respect to health, building and fire safety regulations. 2. That a detailed structural survey would not reveal defects other than the maintenance Items referred to In the body of this report. 3. That the improvements are sited within the title boundaries and without encroachment by adjoining properties. 4. That a comprehensive test of soils on the land would not reveal contamination by poison residues which could affect the utility of the properly. 5. That there are no orders of compulsory acquisition for the whole or part of the property currently Issued by any Government Authority. As at inspection, it Is considered that there Is no reason to suspect a position contrary to that adopted by the above assumptions, however If further Investigations Is considered necessary with respecf to any of the above matters, then H is recommended that professional advice besought relevant to the partlcular dlsclpllne...... ” R CBA.0517.0135.1375 V 8 TAYLOR BYRNE 'Glenroy*' Morlnish via Rockhampton Qld 4700 Pile Ret: 4775,mc.rlvms 2.6 Qualifications and Disclaimers I. We state that this report Is for the use only of the Commonwealth Bank of Australia and their mortgage Insurer, if necessary. The report is to be used for no other purpose, and no responsibility Is accepted to any third party for the whole or part of Its contents and annexures. No responsibility will be accepted for photocopied signatures, li. This valuation cannot be relied upon for the mortgage security purposes of a solicitor's mortgage fund or private mortgage lender HI, This valuation Is current as at the date of valuation only. The value assessed herein may change significantly and unexpectedly over a relatively short period (including as a result of general market movements or factors specific to the particular property). We do not accept liability for losses arising from such subsequent changes in value. Without limiting the generality of the above comment, we do not assume any responsibility or accept any liability where this valuation Is relied upon after the expiration of three (3) months from the date of the valuation, or such earSer date If you become aware of any factors that have any effect on the valuation. Iv. Buildings, including houses, built prior to 1983 may contain asbestos related products, Taylor Byrne Is not expert in detection, remediation or disposal of asbestos or contamination of any kind. If is recommended that advice be sought from experts in that field should that Issue affect your reliance on this valuation. The Professional Indemnity Insurance Policy for Taylor Byrne does not cover losses arising from any asbestos issues. v, We advise we do not have a pecuniary or other interest that would conflict with the proper valuation of the property. 2.7 Native Title Native Title has been extinguished over freehold land, Therefore most of this property, “Glenroy", Is not affecl " “ " ...... ~ e only areas that may be affected are| hlch Is leasehold land, R CBA.0517.0135.1376 I I TAYLOR BYRNE "Glinroy" Morinlih via Rockhampton Qld 4700 I FIlaRaM77S.mc.rtwm I 3.0 PROPERTY SEARCH DETAILS 3.1 Raid Proparty Description I Freehold land: I Lot on Plan We | Size County Parish Reference (hectares) ' 2B23.361- Paklnatonv. 'Glenrov I 791.404 PoMnatonv ''Glenrov 5365.03 v tofthmd ewo*' I LeaseholcLhaadi Lot on Plan Me Size County Parish Dealing I Reference (hectares) Number ’ 104 PaWnafonn. ■'GlenrovV ' 101 Paldnnton - .Ailcia ! I Total ! 205 1 Copies of Ihe CunenlTHle Searches are appended hereto. I 3.2 Registered Owner and lenee Graham Claude FARMER 3.3 Easements and Encumbrances Title searches are Included as an annexure to this report which Indicate any easements, encumbrances, leases or Impediments to Hite which would affect value. are both term leases which both Include “nil compensation for Improvements" clauses In the conditions. I Neither parcel has any substantial structural Improvements, I 3.4 Land Area I 5570.03 hectares 3.5 Local Authority I Fitzroy Shire Council I I I r.iik * » » * * vn tt V TAYLOR BYRNE "Glenroy" Mortnlih via Rockhampton Old 4700 file Ret: 477S,mcj1vmi 3.6 Zoning the property Is zoned "Rural" under the Town Planning Scheme for the Hhroy Shire Council. 3.7 Unimproved Value The Department of Natural Resources, Mines and Energy unimproved land value, effective from 30 June, 2005 ts $2,100,000 for this aggregation as wel as "Comanche”, a nearby aggregation also owned by Mr Graham Farmer. 3.8 Local Authority Rates and Charges Fitzroy Shire Council charge rates of $2?,400 per annum with a 7.5% discount applying for early payment. Both "Glenroy” and "Comanche" rates are Included in this annual rates charge. 3.9 Rent Rent payable Is $268 per annum. Rent payable on^^H is $240 per annum. 3.10 Contamination and Environmental Factors No search of the Contaminated Land Register has been performed on the subject. The reader should be aware that this valuation has been prepared without the benefit of appropriate tests or expert advice and presupposes that no contamination exists that would adversely affect market value, R CBA.0517.0135.1378 "Glenroy" Morlnish via Rockhampton Qld 4700 File Ref: 4775,mc.rtvm$ 4.0 PHYSICAL SITE DETAILS 4.1 Situation and Locality The "Glenroy" aggregation is located approximately 70 kilometres west from the city of Rockhampton, 4,2 Roads and Access Access is provided via the bitumen sealed Rldgeland road, with approximately 20 kilometres being grovel fanned road, providing good all weather access. Access Is cut at Glenroy crossing In times of flood however there Is access through to Marlborough via an alternate route. 4.3 Services and AmenHlei Power and telephone services are available to the property with mobile phone coverage available over parts of the properly. 4.4 Highest and Best Usage The highest and best use Is defined as the most profitable legal use to which the property may be put. The highest and best use of this property Is considered to be cattle breeding and growing. 12 TAYLOR BYRNE “Glenroy" Morlnish via Rockhampton Qld 4700 File Ret; 47?5,mc.rfvms 4.5 Carrying Capacity The property Is estimated as capable of carrying 1300 AE 4.5 Rainfall Mean average rainfall In millimetres recorded at Rockhampton Post Office over the last 97 years: January 179.1 February 189.4 March 109.7 April 58.0 May 41.2 June 57.8 July 41,1 August 21.5 September 29.4 October 45.4 November 51.5 December 112-2 Total 946.5 R CBA.0517.0135.1380 I TAYLOR BYRNE "Glenroy" Morlnish via Rockhampton Old 4700 I File Ret: 4775.mc.rivms 5.0 DESCRIPTION OF LAND 5.1 Topography/Soil Type/Original Vegetation I I I "Glenroy" comprises mainly easy undulating forest ridges, with generally grey and red gravelled soils. The western end of the property comprises harder rosewood ridges I however the eastern section was generally originally timbered with Narrowleaf Ironbark with some Bloodwood and limited Gum frontages. 5.2 Land Development/Timber Treatment The majority of the property has been cleared of timber to mainly natural grass. I The property has a cuirent permit to clear 137 hectares The map below is an extract from the vegetation mapping of the state and shows areas of “not of concern" country not being available for development. It is part of this I area which has a tree dearing permit Issued. I I I I I 14 TAYLOR BYRNE "Glenroy" Morlnish via Rockhampton Qld 4700 File Rel: 4775.mc.rlvms 5.3 Natural Water "Glenroy" has frontage to the Fitzroy River. 5.4 Classification of Country "Glenroy" can be classified approximately as follows: > 4400 hectares of easy to moderate undulating foresl > 1170 hectares of easy virgin harder ridges 15 TAYLOR BYRNE "Glenroy" Morlnish via Rockhampton Qld 4700 Fife Ref: 4775.mc.rivms 6.0 DESCRIPTION OF STRUCTURAL IMPROVEMENTS 6.1 Building* Dwelling The dwelling comprises a lowset Hardlplank and corrugated galvanised Iron In moderafe condition, comprising approximately 90m9. Condition b considered moderate. Added Value: $60,000 Shed A mostly open shed with one section fully enclosed corrugated galvanised Iron, having an earth floor, bush timber uprights, sawn timber frame. Comprises approximately 250ma. Fair condition. Added Value: $5,000 R CBA.0517.0135.1383 I I 16 TAYLOR BYRNE "Glenroy" Morlnish via Rockhampton Qld 4700 I File Ref: 4775.me.rivms I Hay Shed The hay shed Is enclosed to three sides and roofed with metal deck sheeting, steel I frame, earth floor and timber purlins, comprising approximately 215m*. I Added Value: $15,000 I I I I I Hay Shed O UShed I The oil shed Is fully enclosed and roofed with corrugated Iron, timber purlins and timber and earth floor, comprising an area of approximately ms. I Added Value: $1,000 I I I I I I I I igs«i V TAYLOR BYRNE ''Glenroy0 Morlnish via Rockhamplon Qld 4700 File Ref; 4775.mc,rlvms 6,2 Waters The aggregation is adequately watered through 5 dams, and a submersible pump in the river. One dam equipped with solar pump, Water Is delivered through a series of tanks an troughs via 63mm burled poly piping. 6,3 Fencing The property is adequately fenced with mainly tour barbs on timber posts. Fencing is In good condition and considered sufficient for the property. 4.4 Yards "Glenrov" main yards comprise approximately as follows > 40 panels 4 split rails on wood posts > 13 panels 3 split rails on wood posts > 42 panels 5 round rails on wood posts > 12 panels 2 split rials > approximately 20 gates of mixed sizes > 2 sliding gates > 1 steel cow crate > 1 earth filled loading ramp > 1 Morrissey calf cradle Yards are in average condition. Added Value: $40,000 Ml c- CBA.0517.0135. TAYLOR BYRNE "Glenroy" Morlnish via Rockhampton Old 4700 File Ref; 4775.mc.r1vms . '‘Glenrov’1 small yards comprise approximately os follows > 20 panels of 2 round rails on wood posts > Earth filled loading ramp > 7 gales Added Value; $4,000 ' . r-- ^ ».* T- .cT. ,• - ^ , ■* -«c _R CBA.0517.0135.1386 Page 1 of 2 ' \ Paterson, Linda From: Craig M | Sent: Monday, 9 October 2006 3:59 PM To: Paterson, Linda Subject; RE: Commanche Insurance Breakup Pato "Glenroy" as follows replacement values as follows Dwelling $110,000 Shed $ 20,000 Hay Shed $ 30,000 Oil Shed $ 5,000 Yards $ 65,000 Regards Mark Craig -•—Original Message— From; Paterson, Linda [mailtol Sent; Thursday, 5 October 2006 5:22 PM To; Subject: RE; Commanche Insuranc Breakup Thanks Mark Can I trouble you for a list for Glenroy as well? Thanks Pato Commonwealth Bank Linda Paterson Relationship Banker Agribusiness Premium Business Services Level 1, 74 Ea&t Street Rockhampton Qld 4700 Our vision is to be Australia's finest financial services organisation through excelling in customer service. From: Craig M [mal!to;| Sent: Thursday, 5 October 2006 12:15 PM To: Paterson, Unda Subject: Commanche Insuranc Breakup 27/10/2006 R CBA.0517.0135.1387 I .1 A! I "Glenroy" TAYLOR BYRNE Morlnish via Rockhampton Qld 4700 I Pile Ref; 4775.mc,rivms I 7,0 INDUSTRY OVERVIEW Historically properly values have been closely aligned with commodity prices and the general state of the beef cattle industry. However this has not necessarily been the case In recent limes as property values have continued to climb reaching I unprecedented levels. Favourable interest rates have supported lending conditions under the current situation, I however, recent rate Increases do not appear to have Impacted on market values greatly with sale prices remaining firm. Whilst some Industry participants are suggesting property values are not sustainable It I would appear the market Is somewhat dominated by well established family companies and organizations who average new purchases across their portfolio In I order to justify current values. The following Is a report from the Rural Investor Outlook - Beef Cattle - April 2005 produced by Rural Management Partners which forecasts continuing prosperity over I the next 5-10 years. i Family corporations make it big in beef r I Family corporations are playing an Increasingly Important role In the cattle Industry, according to research by Rural Management Partners (RMP), : with family corporations now owning 55% of the land holdings of the top I ' 10% of beef producers. ,The Australian beef Industry Is diverse, varying In scale from numerous smallholdings to extensive cattle stations, RMP reports In their Rural I . Investor Outlook, In 2002-03, approximately three-quarters of : establishments held 30% of the total Australian cattle herd and had an : ■ estimated value of agricultural operations (EVAO) of less than $200,000- - ' In comparison, 32% of Australia's cattle herds were held by the 3% of ' I ! properties with an EVAO of more than $1 million, and many of these ! .operations were family owned. I . With the disaggregation of the Stanbroke Pastoral Company during 2004, ' 118 of the 19 Stanbroke properties sold were bought by established large- : .scale family operated cattle businesses. As a result, several families joined :the ranks of the Industry's large and efficient operators and there are now I a significant number of family producers whose assets are greater than ' $100 million, or who run In excess of 50,000 cattle, According to RMP, ' family cattle businesses have been encouraged to grow by strong export I : demand, market disaggregation, productivity gains and favourable ■ . economic conditions. ' | About 30 family cattle businesses now collectively own more than 30 I : million hectares of land across Western Australia, Queensland and the ■ Northern Territory. Six of these were In the top 10 beef cattle producers, : 1 competing with big companies such as Australian Agricultural Company •; i ;.(AACo) and the North Australian Pastoral Company...... I I j I R CBA.0517.0135.1388 I I 20 TAYLOR BYRNE "Glanroy" Morfnlsh vlo Rockhampton Qld 4700 i I Hie Ref: 4775.mcj1vms I 8.0 VALUATION CALCULATIONS 8.1 Valuation Considerations and Methodology We have used the direct comparison approach for this valuation based on beast area I values on adult equivalent carrying capacity. I 8,2 Sales Evidence Sale No 1 I PROPERTY NAME: '‘Mamelon" LOCATION: Approximately 30 kilometres north of Marlborough I SALE PRICE: $5,500,000 I SALE DATE: 09 May 2006 REAL PROPERTY Numerous parcels In the parish of Tooloombah DESCRIPTION: I AREA: 6266.49 hectares PARTIES: I INCLUSIONS:: Some plant, allow'$50,000 DESCRIPTION OF Country Type PROPERTY: Comprises about 900 hectares of developed scrub in I the northern section of the property and approximately 1200 hectares of rough to unavailable mountain In the south western section. The balance of the property I comprises Poplar Gum, Narrowleaf Ironbark grey and red soil forest flats and east ridgesmuch of which has been raked. I Approximately 280 hectares has been developed to ponded pastures. Improvements I Low set cablnboard and corrugated galvanised iron dwelling, low set flbro and corrugated galvanised iron cottage, fully enclosed fibro and corrugated I galvanised iron shed and fully enclosed corrugated galvanised iron shed. There is also a small stable and yards at the homestead and tennis court. I Main yards are In good condition Water 9 dams 2 bores and some holes In Tooloombah and I Mamelon Creeks Fencing I Generally observed to be In fair to good condition. I I R CBA.0517.0135.1389 21 TAYLOR BYRNE "Glenroy" Morinlsh via Rockhampton Qld 4700 File Rsl: 47/5,mc.rivms CARRYING 1600 head or ! beast to 3,9 hectares on an adult dry CAPACITY: beast equivalent basis. SALES ANALYSIS: Sale Price $5,500,000 Less Stock/Plant $50.000 $5,450,000 Sale shows overall 6266,49 hectares @ $870/ha Or 1,600 head # $3,406/beast Less structures Including yards $ 335,000 $5.115,000 Sale shows treated, fenced and watered 6266,49 hectares @ $816/ha. or 1600 head @ $3,196/beasf COMMENTS: Developed country Is very dean. Considered superior overall to the subject property having better access and higher standard ot development as well as significant area of scrub Sale No 2 PROPERTY NAME: "Lowvllle" LOCATION: 90 kilometres North of Rockhampton SALE PRICE; $2,363,000 SALE DATE; 13/02/2006 REAL PROPERTY Various parcels in Parish of Glenprairte DESCRIPTION: AREA: 4961.4436 hectares PARTIES: INCLUSIONS:; Small amount of plant separate • • DESCRIPTION Of Country Type PROPERTY: Comprises aboul 1275 hectares of moderate to steep forest ridges of Narrowieaf Ironbark and Serpentine Ironbark with Bloodwood, Wattle, Quinine and Zamla. Balance of easy to moderate forest ridges mainly tondoned or rung, with some areas of old cultivation. Improvements Low set tlbro and corrugated galvanised Iron homestead, lowest tlbro cottage, fully enclosed corrugated galvanised Iron.shed fibro.quarters,______22 TAYLOR BYRNE "Glenroy" Morlnlsh via Rockhampton Qld 4700 Rio Ref: 4775,mc.flvms Water Bores and dams Fencing Generally observed to be In fair to good condition. CARRYING 1040 or 1 beast to 4.7 hectares on an adult dry beast CAPACITY: equivalent basis. SALES ANALYSIS: Sale Price $2,363,000 Less Stock/Plant $______: $2,363,000 Sale shows overall 4961.44 hectares @ $476.27/ha or 1040 head @ $2272/beast Less structures including yards $ 175,000 $2,188.000 Sale shows treated, fenced and watered 4961.44 hectares @ $441 /ha. or 1040 head @ $2.104/beast COMMENTS: Interior to the subject propertyon a per hectare basis. Sale No 3 PROPERTY: "St Clair" LOCATION: 97 kilometres north of Rockhampton SALE DATE; 22/6/2005 SALE PRICE: $3,500,000 AREA: 3953 hectares REAL PROPERTY DESCRIPTION: Various parcels In parish of Glenpralrie COUNTRY TYPE: Approx • 200 hectares scrub cultivation * 1800 hectares good broken flats and plain # 1600 hectares undulating forest ridges • 353 hectares moderate ridges and steep slopes WATER: Natural In Banyan creek plus bores and several small dams. FENCING: Adequate far the property fNCLUSiONS: R CBA.0517.0135.1391 TAYLOR BYRNE "Glenroy" Morlnlsh via Rockhampton Qld 4700 File Ret: 4775,mc,rtvnis IMPROVEMENTS: Homestead, Quarters, Machinery Shed, Hay Shed, Feed shed, Stables, 2 sets of yards ANALYSIS: $/ha. |/ac, Purchase price $3,500,000 $885 $360 Less Improvements $260,000 Inclusions ■ crop $ Plant & $ Mach. Stock $ TFW $3240000 $820 $330 CARRING CAPACITY: 1200 Adult Equivalents $2700 BAV COMMENTS; Considered overall Inferior to the subject being smaller In area and with lower overall total cattle. Sale No 4 PROPERTY NAME: “Yarra" LOCATION: 30km north west of Gogango. 90km Rockhampton SALE PRICE: $2,900,000 SALE DATE: 28 July 2005 REAL PROPERTY Parish of Yarrow DESCRIPTION: AREA: 2172.77 hectares PARTIES: INCLUSIONS:: Nil DESCRIPTION OF Country Type PROPERTY: Comprises about 225 hectares of developed scrub country undulating to Fitzroy River-flats on the western side, part developed to Irrigation; 1700 hectares of undulating open Sllverteaf Ironbark, Bloodwood and Mountain Cooilbah and 247 hectares of poor Rosewood, Lancewood and Narrowleaf Ironbark ridge. Overall 80 hectares developed to Irrigation and 600 ha pulled. ' Improvements Highset well maintained 5 bedroom timber home, new 300m2 high bay machinery shed, 4 bay garage and new steel yards with a 800 head capacity. R CBA.0517.0135.1392 24 TAYLOR BYRNE "Glenroy" Morlnlsh vlo Rockhamplon Old 4700 File Ref; 4775,mc.r1vrns Water 384 megaliires no flow allocation from Fltzroy River wlfh 5,5 ML per day extraction rate 80 hectares centre pivot (40 hectares leaucaena), reticulated stock supply from River, Fencing Generally observed to be In fair to good condition. CARRYING 550 head or 1 beast to 4 hectares on an adult dry beast CAPACITY: equivalent basis. .SALES ANALYSIS: Sale Price $2,900,000 Less Stock/Plant $ $2,900,000 Sole shows overall 2172.77 hectares ® $1335/ha or 550 head @$5272/beasf Less structures Including yards $ 300.000 $2,600,000 Sale shows treated, fenced and watered 2172,77 hectares @ $1197/ha, or 550 bead ® $4727/beast COMMENTS: Property located on northern side of Fltzroy River with flood access problems. Generally open forest country with a small area a scrub with 80 hectare centre pivot, Irrigation significantly restricted by extraction rate of 64 litres per second or 5.5 megallfres per day. Superior to the subject on a per hectare basis. Sale No 5 PROPERTY NAME: "Ffhroy Pocket" Gogango LOCATION: 20 kilometres north of Gogango, 80km west of1 Rockhampton SALE PRICE: $5,650,000 SALE DATE: 14 September 2005 REAL PROPERTY ______DESCRIPTION:______asa^m v 25 . TAYLOR BYRNE "Gtenroy" Mortnlsh vlo Rockhampton Qld <1700 File Ref; 4775,mc.f1vms AREA; 3996.88 hectares PARTIES: INCLUSIONS:: Nil DESCRIPTION OF Country Type PROPERTY: About 1200 hectares of moderately undulating Brlgalow Yellowwood and softwood scrub mixed with forest, with the balance comprising easy to moderately to steeply undulating Sllverleaf Ironbark, Bloodwood, Cabbage Gum, Moreton Bay Ash to flooded Coollbah and Blue Gum creek flats. Mainly red to brown stony soils. Improvements 3 bedroom highest homestead with sleepout In landscaped gardens, quarters, 2 good fully enclosed sheds, stables and 2 set of yards. Water 7 kilometres frontage to Fltzroy River with reticulation system equipped with submersible pump. Seasonal supplies In Melaleuca and Seven Mile Creeks. 4 bores and 1 equipped well, Fencing Fenced to 11 main grazing paddocks and 3 holding paddocks. Boundary and Internal fencing Is of a good standard and in sound condition. CARRYING 1100 head or 1 beast to 3.6 hectares on an adult dry CAPACITY: beast equivalent basis. SALES ANALYSIS: Sale Price $5,650,000 $______i Less Sfock/Plani $5,650,000 Sale shows overall 3296.88 hectares @ $1414/ha or U00 head @$5136/beast Less structures including yards & 250.000 $5.400,000 Sale shows treated, fenced and watered 3996.88 hectares @ $1351 /ha. or 1100 head ® $49Q9/beast COMMENTS: Undulating scrub and forest property situated on the northern side of Fltzroy River which can cut access. Basic structures. _____ Superior to "Glenroy oh a per hectare basis' HBSMl V TAYLOR BYRNE "Glenroy" Morlnlsh via Rockhampton Qld 4700 Fite Ref: 477S,mc,rlvms 8.3 Sales Summary and Reconciliation Sale 1: Mamelon is considered the most comparable sale. This sale has a higher standard of structural and ground Improvements having the ponded pasture area and significant scrub component. Both properties have roughly the same proportion of poor country Sale 2: Lowville Is considered inferior on a per hectare basis with Serpentine Ironbark country. Sale 3: St Clare Is considered overall inferior to the subject being smaller in area and with lower overall total cattle. Structural Improvements are superior. Sale 4: Yarra is superior on a per hectare basis having some scrub and Irrigation lands and smaller proportion of poor country. Sale 5: Fltzroy Pocket is considered to be superior quality country to the subject. 8.4 Valuation Calculations Land as developed treated, fenced and watered 5570.03 hectares © $700/ha ■=> $3,899,021 ' or 1300 head® $3,000/beast ‘ $3,900,000 Add Structures and yards % 125.000 $4,025,000 For Practical Real Estate Purposes Adopt $4,000,000 8.5 insurable Value We consider the Insurable value of the structures on a replacement cost basis, Inclusive of escalation clause and professional fees, demolition and removal at debris to be $250,000. R CBA.0517.0135.1395 I I V TAYLOR BYRNE "Glenroy" Morinlsh via Rockhampton Qld 4700 I file Ret; 4775.nfic.rivms I ?.0 VALUATION The subject property has been Inspected and all known factors and relevant details I have been carefully considered. The Current Market Value of the property, “Glenroy", Morinish via Rockhampton as at I 15 September, 2006 GSI exclusive Is considered to be: I $4,000,000 I (FOUR MILLION DOLLARS) I I I Mark Craig I Registered Valuer No. 1425 Certified Practising Valuer I TAYLOR BYRNi I indorsed Rod Hewitt AAPI I Registered Valuer No. U12 Certified Practising Valuer I TAYLOR BYRNi I I I I I