The Land Report Spring 2012

Enjoy the Spring issue of The Land Report!

Learn the stories of America’s Best Brokerages in our second annual survey. More than 70 are profiled from coast to coast. Read how Bernie Uechtritz pulled off 2011′s Deal of the Year by selling Camp Cooley Ranch in just 45 days. Find out why George Clooney has such strong ties to the land in the Academy Award-winning movie The Descendants.

For more up to the minute reports on listings, auctions, sales, and breaking news pertaining to land and landowners, be sure to follow The Magazine of the American Landowner on Facebook and Twitter. Better yet, Land Report is now on Pinterest.

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Land Report Top Ten: 3L Cattle Company

The Land Report Top Ten goes international to include Canada’s 36,000-acre 3L Cattle Company. Located in Saskatchewan’s famed black soil region, the 3L carries 2,500 brood cows, the 2011 calf crop, 2010 yearlings, replacement heifers, and 115 range bulls. It produces all its own winter forage and harvests about 1,700 acres of canola, oats, and barley with no irrigation. Typical fall-weaned calf weights run 600-650 pounds. Yearling steers average 850 pounds.

“Here’s the magic,” say Broker Patrick Bates. “This area gets about 17 inches of rainfall a year, but in May, June, and July, it gets about 2.5 inches per month. That’s exactly when it’s needed most. It’s not the longest growing season, but the rain hits dead center. They get 60 bushels of wheat per acre, year after year, and they don’t have to fallow it.”

The 3L cow-calf operation is based on red and black Angus cows and Red Simmental and Hereford bulls. “This ranch is a very robust investment,” Bates adds. “It handles 2,500 brood cows with no problem. Cash and winter forage crops could easily expand to 7,000 acres.”

Available for C$37.46 million, 3L Cattle Company is listed with Bates Sanders Swan Land Company.

2011 Land Report 100: Scott Family

No. 42 Scott Family

220,000 acres

The Padlock Ranch dates back to 1943 when Homer and Mildred Scott ran just 300 cows on 3,000 acres. In the decades since then, the Padlock has expanded substantially and now covers almost half a million acres in Wyoming and Montana; some 220,000 of those are deeded. In addition to being a working cattle ranch that raises 11,000 calves annually, the Padlock also produces hay, corn, and barley. It also offers ranch vacations, drawing guests from as far as Switzerland and Italy.

 

2011 Land Report 100: Babbitt Ranches

No. 31 Babbitt Ranches

270,000 acres

Established in 1886, Babbitt Ranches has a long history of producing top-notch Quarter Horses and exceptional cattle. Billy Cordasco, a fourth-generation family member, oversees operations. The family’s ranches span much of Arizona, including the Coconino Plateau Natural Reserve Lands. Babbitt Ranches are home to a diverse array of wildlife, which may be partly due to the fact that cowboys work the cattle today just as they did over a century ago: on horseback.

 

2011 Land Report 100: Robert Earl Holding

No. 20 Robert Earl Holding

400,000 acres

In addition to ranches in Wyoming and posh ski resorts in Idaho (Sun Valley) and Utah (Snowbasin), Robert Earl Holding of Sinclair Oil fame also owns several luxury hotels, most notably the Grand America Hotel in Salt Lake City. In fact, Holding owns more real estate in Salt Lake City than any other individual, and he’s second overall to the Mormon Church, which is based in Salt Lake.

 

2011 Land Report 100: Lykes Brothers Heirs

No. 12 Lykes Brothers Heirs

615,000 acres

The family holds 275,000 acres in Texas and 337,000 acres in Florida, and they’re serious about the stewardship of every square inch. The cattle operation is one of the largest in the country with equal emphasis on forage quality and nutritional value. The forestry division has worked with universities to develop a high-yielding eucalyptus as a future bioenergy feedstock. Its 52,000 acres of native pines in South Florida are pristine areas exclusively managed for wildlife habitat. Lykes Bros. also has a significant sugar cane operation, and the company is hard at work on a groundbreaking cellulosic ethanol facility that will convert renewable grasses to fuel.

 

2011 Land Report 100: Pingree Heirs

No. 8 Pingree Heirs

830,000 acres

The Pingree family has tended its Maine timberlands for almost two centuries. The family’s patriarch, David Pingree, made his first fortune in New England’s booming shipping trade. Pingree correctly forecast the demise of the whaling industry and hedged his bets by purchasing large tracts in the District of Maine as early as 1820, the year it became the country’s 23rd state. Today, the family’s Seven Islands Land Co. oversees forest land management on much of the acreage that was not placed in a historically large conservation easement. The family’s focus is to grow and manage natural resources with a view toward a stable, continuing forestry business. The family’s lands have been certified as an American Tree Farm by the Forest Stewardship Council and the Sustainable Forestry Initiative.

 

T. Boone Pickens: Good Stewardship, Good Business, Good Neighbors

The value of Texas ranches has increased greatly as a result of recreational activity, and Boone was among the first to recognize this potential for landowners in the northern parts of Texas.

In fact, Pickens has bought a number of working livestock ranches, improved them with his wildlife enhancement programs, and resold them.

“We always made a profit from the ranch sales,” Boone said. “But what I really feel good about is knowing that we left the land in better shape than we found it.”

Since before statehood, Texas ranch values were harnessed to livestock production. When Pickens began his ranch real estate business, few prospective buyers were interested in wildlife value. That attitude has changed dramatically. Recreational use, primarily linked to hunting, is a major reason why land values in Roberts County have escalated over the past decade. In an era of shrinking wildlife habitat, land that was traditionally used for livestock production is more valuable when improved for wildlife. Much of the increased value in Roberts and surrounding counties is due to Pickens’ continued efforts to promote the area.

The astute businessman is also creating a template for his neighbors to use in dealing with energy companies, which often own rights to explore for gas and oil under private property. Like many modern landowners, Boone does not own all the minerals under his sprawling ranch. Standard agreements call for exploration crews to restore any damage caused by their heavy equipment. The usual phrase is “restore to original condition.” Pickens sued one company that offered to pay a $60,000 settlement for the damage its machines had done. Most landowners would have gladly cashed a $60,000 check and considered it a windfall. But Boone has spent a considerable fortune improving his ranch, and he had the receipts to show just how much it had cost to transplant native grasses and trees. In arbitration, Mesa Vista was awarded more than $1.5 million. He quickly informed his Roberts County neighbors of the award to help educate them on the importance of ensuring that oil and gas operators treat them equitably.

In another case, a grove of 144 hackberry trees stood in the path of heavy equipment. Pickens requested that the pipeline company rolling across the ranch give him notice when they neared the grove so he could use a tree spade to relocate the trees. The contractor waited until his crew was within a few working days of the grove to give notice. It wasn’t enough time to rescue that many trees, so the company brought in a bulldozer and leveled the grove, then offered to reseed the damaged area until grass was established. Due to courtroom renovation, that case was settled in 2010 with judge, jury, and witnesses crowded into a 20-by-30-foot training room at the Miami Fire Station. Mesa Vista won on all but one count. The 144 hackberries cost the company $1,000 each.

“What we’re trying to do is change the traditional way that land has been treated,” says Pickens. “It’s going to be treated with respect.”

Roberts County sits over the Ogallala Aquifer, the largest groundwater reservoir in the United States and one of the largest in the world. The aquifer extends across eight Great Plains states and covers 174,000 square miles, much of the region sparsely populated. The Ogallala Aquifer is estimated to contain over three billion acre-feet of water, stretching from South Dakota to Midland, Texas. The Ogallala holds enough water to cover all fifty states with eighteen inches of water.

Boone’s geology background made it obvious to him that water would eventually become more valuable than oil. When he bought the first small piece of the ranch that would become a showplace, he knew there was groundwater beneath the sandy soil. He had no idea how much water was there, nor did anyone else at that time understand the eventual importance of a natural resource that most Americans took for granted. You turned on the faucet and the water came out. It was cheap and it was abundant, at least in the 1970s.

“When I made the first land purchase in 1971, we started drilling water wells for windmills and discovered that it was almost impossible to drill a dry well,” recalls Pickens. “The water was important for my wildlife plan, and that’s how I used it. We buried PVC waterlines to create a system of artificial creeks. Permanent water holes were created at intervals along the waterlines to provide surface water for all wildlife and for the quail in particular. The water was great, and it was readily apparent that our system of artificial creeks helped the quail, even in years when we didn’t get much rain. It took a while for me to realize that Roberts County was sitting over a veritable ocean of pure water, and it took even longer for the potential of that resource to sink in.”

Pickens wasn’t the first to buy water rights in the Panhandle, but with his legendary insight he soon realized that these vast water resources could and should benefit more than recreational ranching. Texans can cut back on the use of oil and natural gas and develop alternative energy sources, but they can’t do without water for a growing population. Aggregated in a partnership with fellow landowners, Boone has focused on the important role that the stranded, surplus water could play. He has championed prudent and equitable water use, believing the valuable underground resource can be redistributed from an area of low population and abundant water to cities where population growth overwhelms the water supply.

With the Panhandle’s relatively few inhabitants, about 95 percent of water use goes to irrigation. Boone believes this is no longer the best use for such a valuable resource. Although farmers don’t use nearly all the water under their land, they object to the idea of water being moved from the Panhandle to densely populated cities. But Pickens sees no difference between moving surplus water to an area where it can be used and hauling locally raised crops out of the region to distant markets. And farmers are actually getting less for the water when mandated through grain production. “I’d like to see the legislature place all of the Ogallala Aquifer under a commission that would treat all landowners equally. The landowner would have an option of selling his water into the grid or using it to irrigate crops. Everyone would get the same amount of water.”

Pickens’ idea could have far-reaching consequences for wildlife. In a meeting at the offices of the Lubbock Avalanche Journal, he got into a conversation with the newspaper’s ombudsman, a woman whose family owned a farm north of Lubbock. Boone was outlining how the water could be better used. One of the executives said Boone’s ideas were bad because the Panhandle economy was built on farming. The ombudsman, however, was interested in what Pickens had to say because she knew her family was tired of farming.

“Well, you could sell the water that you’re now using to irrigate crops,” Boone said. “If you sell the water, you’ve got two options for what to do with the land.” He went on to explain that the family could either switch to dryland farming (growing crops that do not need to be irrigated) or put the land into a conservation reserve program (CRP), which pays farmers to let fields lie fallow. In fifty years, the fallow farmland reverts to a pristine prairie.

“Nobody loses in a deal like this,” says Pickens. “Whether you use water to irrigate crops or sell it for municipal use, everybody should have the same allocation — one acre-foot per surface acre of land. I think most people would choose to sell their water and let the land return to native habitat. We have the potential here to restore 23 million acres of wildlife habitat. In some of the Plains states, I’ve heard people get excited about saving several thousand acres of pristine prairie. Wouldn’t it be great for Texas to reclaim most of the Panhandle for wildlife?”

Moreover, Boone’s emphasis on wildlife and his desire to expand and improve his ranch holdings has put Roberts County and the entire Panhandle on the map of desirable areas to buy for recreational property, escalating real estate values. His focus on wildlife habitat and his water play have arguably brought more than $200 million into the Panhandle since 1997; that figure could increase dramatically by 2020. He’s been like a one-man chamber of commerce for a region that most Texans know only because they drive through it en route to New Mexico or Colorado.

Boone Pickens will be remembered as a good steward, a good businessman, and a good neighbor. He is a true advocate for change, a tireless steward of the land, a friend of wildlife, and a business genius whose selfless business deals will benefit the residents of Roberts County for generations to come, the generations he has yet to touch.

Reprinted by permission of Collectors Covey Gallery. Copyright© 2011 T. Boone Pickens. All Rights Reserved. www.collectorscovey.com.

Land’s Best Friend: Little Big Hound

Throughout the rural South, hunters rarely use the word “beagles.” Rather, they speak of their “rabbit dogs.” Beagles trail rabbits and hares with more enthusiasm and efficiency than any other canine.

But as any versatile hunter knows, a good beagle will also trail and flush upland game birds within shotgun range, and most can be taught to retrieve. If I were choosing a first hunting dog for a youngster, I’d pick a beagle from an established working bloodline. That’s what my father did when he presented me with a beagle pup for my tenth birthday. His training advice? Make friends with my new pup. Teach him his name and to come when I call him. Then take him hunting. He’ll figure out the rest. Good advice.

Yes, beagles are as independent as they are affectionate. They must range widely to locate game, and then trail with no help from a handler.

But independent doesn’t mean stubborn or untrainable. If you’re flying into the U.S. from another country, you’re likely to be greeted at the luggage carousel by a member of the Department of Agriculture’s Beagle Brigade. Just try to slip a single slice of a prohibited fruit or meat product past one. She’ll bust you and look so cute doing it, you’ll want to scratch her ears while you’re being written up.

Do:
• Watch your beagle’s weight. Hounds love to eat.
• Take your pup afield regularly.

Don’t:
• Tolerate disobedience. Beagles will try you.
• Shoot over your pup before she’s become a maniacal rabbit hunter.

2011 Land Report 100: No. 60-69

No. 60 Cogdell Family

160,000 acres

D.M. Cogdell Sr. began ranching in Texas in the early 1900s, and his sons D.M. Junior and Billy continued his legacy. Today the best-known portion of the empire they created is the 160,000-acre Tule Ranch in the Texas Panhandle, which belongs to Billy’s children.

 

No. 60 Leo Drey Foundation

160,000 acres

St. Louis businessman and conservationist Leo Drey accumulated large swaths of forestland in Missouri in an effort to protect and preserve them from clear-cutting. Today much of that land owned by the not-for-profit L-A-D Foundation, after Drey donated the fee titles.

 

No. 62 Fanjul Family

155,000 acres

The Fanjul family owns the largest organic farm in Florida. Its privately owned Florida Crystals practices the highest standards of sustainable agriculture in growing its crops of sugar cane, rice, and corn in rotation. “Sustainable farming is of the utmost importance, because the cornerstone of successful farming is protecting the land,” says Chairman and CEO Alfonso Fanjul.

 

No. 63 Hearst Family

153,000 acres

The Hearst family’s ranches include the Piedra Blanca Rancho (upon which sits the famous Hearst Castle) and the Jack Ranch, both in California. The ranches have become known for exclusively grass-fed beef, and practice well-managed grazing in order to preserve the condition of the coastal prairie and native grasslands.

 

No. 64 Ellison Family

152,000 acres

Ellison Ranching Company was established in 1910 and celebrated its centennial last year. The family’s holdings include a number of Nevada ranches, including the Spanish Ranch, where headquarters are located, and the 71 Ranch.

 

No. 65 Bass Family

150,000 acres

Family patriarch Sid Richardson was a larger-than-life character whose immense fortune earned him the nickname “The Billionaire Bachelor.” Richardson’s great-nephews — Bob, Ed, Lee, and Sid — are similarly talented. Although they are based in Fort Worth, their holdings are far-flung.

 

No. 65 Emily Garvey Bonavia

150,000 acres

Emily Garvey Bonavia and the family’s Nevada First Corporation have ranching and timber operations in Nevada and Oregon. Conservation of the land is always top of mind, says Nevada First President Gary Bengochea.

 

No. 65 Boswell Family

150,000 acres

The family’s J.G. Boswell Company has vast cropland in California, most of which is used to grow cotton and tomatoes. Smaller crops include wheat, sunflowers, and safflowers. CEO James W. Boswell represents the third generation of family leadership.

 

No. 65 Eddy Family

150,000 acres

The family-owned Port Blakely Companies owns and manages operations in forestry, real estate, and forest products exports.  The Pacific Northwest firm’s history reaches back over a century. In the past year, a new generation assumed leadership. Fourth-generation family member René Ancinas became CEO and is eager and committed to carrying forward the company’s legacy for future generations.

 

No. 65 William Henry Green Heirs

150,000 acres

The family’s historic Green Ranch, headquartered in Albany, Texas, is a working cattle ranch still run by descendants of founder William Henry Green. The Green Ranch is known for its outstanding remuda as well as its cow-calf and stocker cattle operations.

 

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