LIME MOUNTAIN RANCH (A California Coastal Range between Paso Robles & Cambria)

5,000+/- Acres offered in 13 Parcels

Linda Yenni PROUDLY PRESENTED BY Scott Yenni 707.363.9463 707.529.5330

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Entrance at the west end of Chimney Rock Road traveling west into the Subject Property

Linda Yenni PROUDLY PRESENTED BY Scott Yenni 707.363.9463 707.529.5330

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Address: 15800 Chimney Rock Road, Paso Robles CA 93446

Assessor Parcel Numbers (APN): 13 Parcels: 080-101-016, 080-051-006, 080-141-001, 080-141-007, 080-161-001, 014-011-007, 014-011-010, 014-011-012, 014-011-013, 014-031-009, 014-031-010, 014-031-011, 014-031-015

Acres: 5,000+/- acres

Zoning: AG, OS, AND 05 Current Use(s): Mining/ Quarry (2 parcels), Residences, bunk houses, barns, cattle grazing

Water: Two wells were recently drilled on the property each producing an estimated 80 gallons per minute. Several springs located on the subject parcels supply water for the quarry and the existing improvements. Rainfall is above average for the area and the subject benefits from climatic conditions on the east side of the Santa Lucia Mountain Range. Records kept on the subject property average over 56 inches per year with 20+ years of rainfall records. Three times in those 20 years records show over 100 inches/year suggesting the property might be ideal for lakes/reservoirs.

Septic: The soils are well drained and of the type that commonly provide excellent percolation for septic systems.

Appellation: The subject is in the Central Coast geographic AVA (American Viticultural Area), west of the Paso Robles AVA and north of York Mountain AVA. Due to the unique attributes of the terroir and the ridge top location between Paso Robles and Cambria and located at the west end of Chimney Rock Road a Lime Mountain AVA appears worthy of consideration.

Soils: Several new plantings appear throughout west Paso Robles. The subject has an estimated 100+/- acres of savanna grasslands with mineral content expressed in the limestone and rock outcroppings and represented in wines from on Chimney Rock Road within proximity of the subject such as Carmody-McKnight and Justin Wineries.

Linda Yenni PROUDLY PRESENTED BY Scott Yenni 707.363.9463 707.529.5330

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View toward Paso Robles

Linda Yenni PROUDLY PRESENTED BY Scott Yenni 707.363.9463 707.529.5330

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Linda Yenni PROUDLY PRESENTED BY Scott Yenni 707.363.9463 707.529.5330

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The Soils

Linda Yenni PROUDLY PRESENTED BY Scott Yenni 707.363.9463 707.529.5330

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Linda Yenni PROUDLY PRESENTED BY Scott Yenni 707.363.9463 707.529.5330

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The Oak Savanna & Grasslands

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Linda Yenni PROUDLY PRESENTED BY Scott Yenni 707.363.9463 707.529.5330

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The Chaparral

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Eagle Rock

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Linda Yenni PROUDLY PRESENTED BY Scott Yenni 707.363.9463 707.529.5330

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The Buildings include a 7,000 sq. ft. main residence with a swimming pool

Plus 3 additional homes, bunkhouses, barns, corrals and a Scale house.

Linda Yenni PROUDLY PRESENTED BY Scott Yenni 707.363.9463 707.529.5330

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The Quarry Operation provides significant Net Income Permitted to 2078 for 200,000 tons per year

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Linda Yenni PROUDLY PRESENTED BY Scott Yenni 707.363.9463 707.529.5330

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It is Rare for a California property of this scale with cashflow to become obtainable. This coastal range jewel is being offered for the first time in 40 years in its entirety. 13 parcels comprising 5,000+/- acres of coastal mountain range between Paso Robles and Cambria. The rainfall and perk suggest the feasibility to further develop the property for estate homes, vineyards and recreational uses. Located on the eastern ridge of the Santa Lucia Mountain Range the subject property benefits from the warming influence to the east and neighboring vineyards that produce award-winning wines on Chimney Rock Road and is additionally benefited by the proximity of the coastal influence and above average rainfall.

The diverse topography provides for development feasibilities with the benefit of prime epicurean and agritourism appeal or private /winery estates. Privacy, serenity and the natural beauty of this property provide an experience unique to Lime Mountain Ranch. The oakland savannas, chaparral, extensive road infrastructure, creeks, ponds, rock outcroppings, creeks, trees, and vistas add to the natural beauty on land enhanced by the coastal influence beauty in the sky. Within 8+/- miles of the Pacific Ocean on the eastern slope of the Santa Lucia Mountains the property is accessed from Chimney Rock Road via Paso Robles. 13 existing parcels encompass the property so future development appears feasible. Well-developed ranch roads run throughout the property making it easy to view some of the best building sites.

Approximately 100+/- acres are now farmed for livestock forage and show promise for vineyard planting without clearing. Neighboring wineries such as Carmody-McKnight and Justin Vineyards boast their success on the areas calcium rich soils that are often compared to the lime based soils of Bordeaux. It appears likely that some of the Chaparral ground can be chained to create more plantable ground, a method commonly used in the region.

THE BUSINESS The Lime Mountain Quarry occupies roughly 100+/- acres over two parcels on the top of one of the mountains on the property. Started in the 1930’s the operation mines limestone then crushes and screens it into various sizes and sells it into various markets. Gross annual sales are significant and a result of the long-term customer base purchasing 150-170,000 tons annually. Net profits from the operation provide significant cashflow for the property owners and the eight long term and experienced employees who run the operation. Structures at the quarry include a truck scale with scale house and office, various shop and equipment structures, crushing equipment, conveyors, processing equipment, screening equipment, holding/loading hoppers, basically all of the equipment necessary to operate the mining plant. Ore reserves of 20 years at the current rate of mining are estimated. Permitted to extract up to 200,000 tons annually this permit runs with the land and stays in place until the year 2078. HOMES Residences on the property include; the main residence of approximately 7,000 square feet ranch style home, a 2-bedroom bunkhouse, swimming pool, 2 additional homes and a barn built in the 1920’s. Various outbuildings serve the cattle and farm operations.

ROADS

Linda Yenni PROUDLY PRESENTED BY Scott Yenni 707.363.9463 707.529.5330

[email protected] [email protected] Page 16 LIME MOUNTAIN RANCH (A California Coastal Range between Paso Robles & Cambria) Throughout much of the property runs a well-developed road system. During the 1930’s a public works project employed many workers on a restoration project improving the roads in the area. While driving the ranch roads we can see many markers signifying the culverts and retaining walls built during the improvement of the road running through the property. The limestone base on the road holds up quite well. This makes accessing the far side of the ranch an easy task in a 4-wheel-drive vehicle almost year-round. This is a significant asset because this well developed infrastructure provides extensive access to the various parcels. The connectivity approaching from Cambria on the west via San Simeon Creek Road terminates approximately 8 miles from the start of San Simeon Creek Road on Highway 1 and 1 to 2 miles before the developed road on Lime Mountain. The 1 to 2 mile private road appears to be a shared easement road benefiting several relatively smaller parcels and is estimated to be approximately 1 to 2 miles long. While this connectivity and road infrastructure may be worthy of exploring further there is also a short cut to Cambria (The Coast) on Santa Rosa Creek Road off Chimney Rock Road.

Financial information on quarry operations is available to qualified buyers upon signing of an NDA (Non Disclosure Agreement). Terms of purchase are negotiable and the seller(s) may carry financing with a deed of trust or can work with an installment sale under the right conditions. Should this offering be of interest to you, you are encouraged to communicate your interest so that all parties can work towards a mutually beneficial outcome. Thank you for your interest in Lime Mountain.

Linda Yenni PROUDLY PRESENTED BY Scott Yenni 707.363.9463 707.529.5330

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Note: Information is unavailable for the years 1997, 1998, 1999, 2000 and 2007.

Linda Yenni PROUDLY PRESENTED BY Scott Yenni 707.363.9463 707.529.5330

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Report of Water Analysis 1910 W. M cKinley, Suite 110, Fresno, CA 93728 FAX (559) 268-8174 - (800) 228-9896 - (559) 233-6129

Lab No. 178047 Sampler Lime Mountain Co Submitted Date 9/5/2012 PO Box 1797 Submitted by Eric Peterson & Bob Bremer Paso Robles CA 93446 Reported Date 9/21/2012 18900 Location/Project Suitability 21 Copy To Fax Crop: (Int-Wine Grapes) e-mail

Adj

Date Time EC Ca Mg Na SAR SAR Cl CO3+ HCO3 SO4 B NO3-N Fe Mn pH L.I. N Sampled Sampled dS/m meq/L meq/L meq/L meq/L meq/L meq/L mg/L mg/L mg/L mg/L unit Calc lbs/acft

RL---> 0.01 0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.01 0.1 0.10 0.02 1.0 to 14.0 -2.0 to 2.0

SM ---> 2510 B 3120 B 3120 B 3120 B Calc Calc 2320 B 3120 B 3120 B 3120 B 4500H B 2330 B from EPA---> 300.0 300.0 300.0 nitrate

Analysis Date: 9/5/2012 9/11/2012 9/11/2012 9/11/2012 9/11/2012 9/20/2012 9/7/2012 9/5/2012 9/7/2012 9/11/2012 9/7/2012 9/11/2012 9/11/2012 9/5/2012 9/20/2012 calc

Analysis Time: 14:44 12:58 12:58 12:58 12:58 0:41 16:07 0:41 12:58 0:41 12:58 12:58 14:44

001 Well Pump QT Tank 9/4/2012 0.45 4.41 0.52 0.3 0.2 0.5 0.2 4.2 0.6 <0.01 2.6 <0.10 <0.02 7.7 0.6 7.1 002 Front Well 9/4/2012 1.00 5.52 2.69 4.0 2.0 4.9 0.3 5.7 6.0 0.07 <0.1 <0.10 0.09 7.9 1.0 < 0.1 003 Towne Creek Spring 9/4/2012 0.44 3.65 1.06 0.3 0.2 0.4 0.1 3.2 1.5 <0.01 2.0 <0.10 <0.02 7.8 0.6 5.4 004 Bonnie's Spring 9/4/2012 0.33 3.09 0.43 0.3 0.2 0.4 0.1 3.2 0.3 0.03 1.4 <0.10 <0.02 7.9 0.6 3.8 005 Office Well 9/4/2012 0.93 6.09 4.23 1.3 0.6 1.5 1.3 6.9 3.5 0.03 <0.1 <0.10 0.27 7.4 0.6 < 0.1

Vineyard Total Sodium Abs. Ratio Carbonates & Langelier Critical Levels Salts Calcium M agnesium Sodium SAR Adjusted Chloride Bicarbonates Sulfate Boron Nitrate Iron M anganese* pH Index Low for Vineyards <0.50 <4.00 ------<6.5 < -0.5 Normal 0.60-1.50 5.00-10.00 1.1-5.0 <4.0 0.1-4.0 0.1-4.0 0.1-1.5 0.1-2.5 0.1-5.0 0.01-0.40 0.1-5.0 <0.20 <0.20 6.8-7.9 -0.3 - 0.5 High for Vineyards > 2.20 - - > 7.0 > 9.0 > 9.0 > 3.5 > 3.5 - > 0.60 > 7.0 > 0.40* > 0.40* > 8.4 > 0.9* Many of the above parameters need specific adjustment for crops, uses, irrigation procedures, etc. Check report for specifics. Notes: Black = Normal LI 0.4+ Problematic for drip system deposits. LI < -0.3 corrosive to plumbing *= High levels can cause plumbing deposits. Red = High Green = Sl. Low When sodium is greater than calcium (or high SAR), the w ater is considered sodic or "alkali". Orange = Sl. High Blue = Low Note: High & Low levels are based on consultant interpretation of the situation, including plant varieties, age, soil type, irrigation system, etc., w hen information is available.

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September 25, 2012

Eric Peterson & Bob Bremer Lime Mountain Co #18900 PO Box 1797 Paso Robles, CA93446

Re: Lab No. 178047 – Well Water – Grape Suitability

Dear Eric & Bob:

The enclosed laboratory results are for water analyses. The optimum ranges are listed below each analytical component. The results are colored (and in bold) when a problematic level is present.

Total salts are normal in the front and office wells. The others are low in salt. EC (total salt) levels below 0.6 often create poor water penetration conditions in many soil types. Raising salt levels by applying certain soil amendments or manure will improve this type of penetration problem.

No Sodium Adsorption Ratio (SAR) “alkali” problems are present except for a slightly elevated level in the front well. No problems are anticipated.

No chloride (Cl) hazards are present.

Carbonates and bicarbonates (CO3+HCO3) are slightly high to high. Carbonate + bicarbonate concentrations exceeding 2 meq/L with a pH exceeding 7.5 may cause lime deposits to form in the irrigation equipment. Acid injection in the system may be necessary.

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Water with high pH and/or carbonate + bicarbonate levels generally need to be acidified before used to mix many herbicides, insecticides, and fungicides. Check with your PCA.

Boron is low (satisfactory) in all of these samples.

Manganese is slightly high in the office well. Iron and Manganese - Of concern in drip systems as emitter clogging may occur due to the formation of iron and manganese oxides, ochers (oxides mixed with sand, silt and clay) and hydroxides. Water containing more than 3.5 ppm iron or manganese should probably not be used for drip irrigation. If the iron level is between 1.5 and 3.5 ppm, the pH should be below 6.5 in order to avoid iron deposits.

The pH concentrations are moderately alkaline.

Langlier Index (Corrosivity) - The corrosiveness of water, expressed as Langlier Index, is a function of alkalinity, calcium concentration, EC, water temperature and pH. A negative value indicates a corrosive water; a positive value indicates a tendency to create calcium carbonate (CaCO3) deposits.

Gypsum requirement calculations indicate the pounds of gypsum required per acre to balance the sodium that would be deposited by the application of one acre foot of this water. This gypsum can be soil applied prior to (or after) the growing season or in the water. (Acid is not a substitute unless other field tests are performed).

Note: These water samples are better than average for wine grapes in the Paso Robles area.

Please call if you have any questions.

Sincerely,

Keith M. Backman, CPH, CCA MS Pomologist Consultant Manager

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Notice to Prospective Buyers

Information provided herein has been obtained from various sources which may include but is not limited to the owner(s), in-person

inspection(s) by Wine Realty International Inc. (DRE #01432028), the County Planning Department, Assessor Records, Government Maps and Studies, financial and tax records and third party resources. Information herein is provided in good faith and thought to be

materially accurate, though, information is not guaranteed. All mapping and estimates of acreage are not based on actual surveys commissioned by the seller or their agent, rather from sources generally available to the public such as the County Assessor Records and United States Government Surveys. Buyers are advised that they should make independent inquiries to confirm any and all information herein or information they deem material or important in making a decision to purchase this property. Buyer by accepting information on this property agrees to use diligence and not to breech NDA agreement(s) or enable others to breech NDA

agreement(s). The seller or the seller’s agent(s) make no representations as to the accuracy of maps and map- data used in this summary as they were obtained from third party sources. The seller or the seller’s agents make no guarantees or representations on the fiscal or use suitability of this investment. Information provided is based on opinions and therefore not certain as property

entitlements and economic and market conditions are not reliable. Buyers are advised to perform their own diligence. The Buyer

assumes all risk and the property acquired is acquired AS IS with no guarantees or performance assumptions.

Linda Yenni PROUDLY PRESENTED BY Scott Yenni 707.363.9463 707.529.5330

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