Cross Heritage Farm
Sold on July 6, 2021
from 4:00 PM to 4:00 PM UTC
Location
Vermilion, AB
Sale Size
8 Parcels, 1 En Bloc
Final
$400K - $1.77M
Whether you are a farmer or investor, take note of these 13 quarters, northeast of Vermilion, Alberta. For nearly a century they have set the benchmark for farms in Western Canada. Whether it was producing world class Hereford genetics, aggregate for the twinning of Highway 16 or bumper cereal and oilseed crops - this is the land that delivers.
Whether you are a farmer or investor, take note of these 13 quarters, northeast of Vermilion, Alberta. For nearly a century they have set the benchmark for farms in Western Canada. Whether it was producing world class Hereford genetics, aggregate for the twinning of Highway 16 or bumper cereal and oilseed crops - this is the land that delivers.
Available Parcels
Parcel Name Parcel 1 | Parcel Size 319 ± Acres | Final $1,770,000 | View Details & Offer |
Parcel Name Parcel 2 | Parcel Size 160 ± Acres | Final $860,000 | View Details & Offer |
Parcel Name Parcel 3 | Parcel Size 159 ± Acres | Final $790,000 | View Details & Offer |
Parcel Name Parcel 4 | Parcel Size 160 ± Acres | Final $690,000 | View Details & Offer |
Parcel Name Parcel 5 | Parcel Size 476 ± Acres | Final $980,000 | View Details & Offer |
Parcel Name Parcel 6 | Parcel Size 161 ± Acres | Final $660,000 | View Details & Offer |
Parcel Name Parcel 7 | Parcel Size 481 ± Acres | Final $790,000 | View Details & Offer |
Parcel Name Parcel 8 | Parcel Size 151 ± Acres | Final $400,000 | View Details & Offer |
En Bloc Name En Bloc | En Bloc Size | Final $300,000 | View En Bloc |
Sale Description
Whether you’re a farmer or investor, you will want to take stock of these thirteen quarters located nine miles to the northeast of the town of Vermilion, Alberta. Twelve of the quarters are contiguous thanks to a perfectly orchestrated plan of assemblage that Jack Cross set in motion a century ago. Whether it was producing world-class Hereford genetics, aggregate for the twinning of Highway 16 or bumper cereal and oilseed crops, the ‘Cross Heritage Farm’ was for decades seen as that showcase master Western Canadian stock farm.
Acutely aware that privilege is alive and legal when it comes to farm gate addresses, Mr. Cross knew where to set his sights upon graduating from Agriculture at the University of Alberta in 1923. A century later, the area north of Vermilion and south of Clandonald is still viewed as one of the elite dryland farming areas in all of Canada.
Parcel 1 is an impeccable half section of agricultural real estate and will be offered for sale first. A person would be hard-pressed to find a better half. After making the turn with the air drill on the north end and engaging the GPS southbound, you will have a good eight minutes to calculate what this Parcel will add to your bottom line knowing a 20% increase in yield is likely to double or triple your profit margin. Don't worry about paying for this half - it will pay for itself. (Note: the bins on Parcel 1 are not included in the sale).
Parcel 2 is the adjoining quarter to Parcel 1 and another exceptional parcel of farmland. For decades, the focus of the Cross farm was purebred cattle, and a grain farmer may wish to convert more land to cultivated acres with a bit of work. The quarter section has turned heads for years with those bumper crops along the north side of Township Road 520. Farmers know their land better than anyone and why this quarter was, for the most part, always cultivated and seeded down to growing crops.
Parcel 3 is the sister to Parcel 2, just across the road to the south. Fertile land high in organic matter is key to producing big crops; however, it is all for naught without water. With the County of Vermilion River recording average annual rainfall of 18.5 inches, moisture is seldom an issue. As the saying goes, 'just add water'.
Parcel 4 is the former home quarter of the ‘Cross Heritage Farm’ and where special memories were made. The Parcel comes with a deep sentimental attachment containing the old farmstead site, which was the heart of the farm itself. We ask the new owner to treat it with the respect it deserves. Look after it, and it has a history of looking after you while asking for nothing back. The quarter offers a great building spot with mature trees on the windward side for anyone looking for a home quarter. More acres could come under production with little work.
Parcel 5 is that half section just south of the home quarter on the west side of Range Road 53. Again, grain farmers would be looking to increase cultivated acres, from the current 230 cultivated acres. With a Starting Bid of well under $3,000.00 a cultivated acre, the starting bid is set at half of what other land has traded for nearby. As a bonus, this Parcel has had significant Surface Lease Revenue. Note: The annual SLR compensation payable is now eligible for review.
Parcel 6 is a half section that was always the pillar for summer pasturing for the Cross Hereford purebred herd, whose genetics were prized across Western Canada for decades. This was during a time when mixed farming was the norm. This is a half where good clean water is never an issue for livestock. Investors will most surely look at the remaining aggregate potential of this half. Although significant amounts of aggregate have already been removed, current economics relating to manufactured aggregate may warrant a further look. Testing on specific terms will be allowed before the sale date. Approximately fifteen acres are being added to the half-section, being that part of the SE of 34 lying north of the Vermilion River. The Approved Proposed Subdivision with Conditions attached below.
Parcel 7 is made up of the three quarters lying south of the Vermilion River. The landscape of these three quarters is likely to change substantially if purchased by a grain farmer. A discerning view of current aerials shows the large number of additional acres that can be brought under production and, at current land prices, this technique is well known to make economic sense. With a large existing active aggregate deposit located a mere 385 meters to the west of this Parcel, an astute bidder may find aggregate testing to be of interest as well. The Surface Lease Revenue on this Parcel is an add on. The area north of the Vermilion River on the northwest corner of SE of 34 (approximately fifteen acres) is being subdivided out of the parcel. (Note: the bins on Parcel 7 are not included in the sale).
Parcel 8 makes up the baker’s dozen to the ‘Cross Heritage Farm’. A quarter with a bit of everything, including the potential to be that picturesque home quarter only 5 miles north of the Yellowhead Highway. Build your dream home above the north bank overlooking the Vermilion River. Added bonus of Surface Lease Revenue on this parcel.
The family would like to honour Jack Cross and keep intact his legacy of assemblage. With this, Parcels 1-5 will be offered for sale 'en bloc' as one complete Parcel after the conclusion of bidding on all Parcels. Prior high bidders will be entitled to bid 'en bloc’ if they meet the ‘en bloc’ bidding requirements (see below).
Large connecting parcels of high-quality farmland like this just don't come up for sale often. Don’t miss this opportunity to add significant economies of scale to your farming operation.
Please review the Purchase Agreements in the Parcel Details sections to see the specifics of the offers for each parcel and the 'en bloc'.
The ‘Cross Family Heritage Farm’ will be offered for sale by online electronic tender by CLHbid.com. Check the website for updates from time to time.
Proposed Subdivision and Conditions: Approved Proposed Subdivision and Conditions
En Bloc Details: Click to View
SLR Details: Parcel 5 Parcel 7 Parcel 8
Cross Heritage Farm is being offered for sale via online escalating tender by CLHbid.com. Check the website for updates from time to time. The property may be viewed by interested registered bidders. Please contact us by email at info@clhbid.com for an appointment. As a law firm, CLHbid never discloses bidder's names to any party, including the Seller. Only the successful buyer's name is ever disclosed to the Seller as part of the closing process.
Proven Results
from satisfied buyers
Frequently Asked Questions
There are existing auction platforms out there such as the ‘Iowa Auction’ that stop bidding after all individual parcels have received high bids. Then for round #2 of the auction they allow past as well as new bidders to ‘up the ante’ by bidding on the entire farm or ranch with a reserve bid set at the aggregate price just bid on all individual parcels in round #1.
After seeking input from many farmers and ranchers, most told us they didn’t feel a platform such as this was fair to bidders on individual parcels who in many cases have went to a lot of work to get pre-approved for financing etc. Farmers and ranchers also indicated they didn’t think it is fair for a large player to ‘lay in the weeds’ and not bid until after the initial round of bidding. They also told us that it would not be fair to allow a larger player to acquire the entire farm or ranch for only a few dollars more than the aggregate of the prior individual bids. Hence the rationale for the ‘premium bid’ amount for the ‘en bloc’ parcel at the conclusion of the auction.
At CLHbid.com, you as bidder only need to be high on a certain number (generally less than 50%) of parcels in order to have a chance to acquire the entire farm or ranch, whereas at national Auction firms you generally have to be high on 100% of the parcels in order acquire the entire ranch or farm.
Bidders have no knowledge of the identity of other bidders. Likewise, the Seller during the sale is not privy to who may be bidding or how many parcels someone may be ‘high on’. At CLHbid.com we set out to create a platform for the selling or leasing of agricultural land that was honest, fully transparent and offered no opportunity for bids to be shopped by the Seller. This is especially important wherein the Seller has final approval.
At CLHbid.com we have put safeguards in place in our CLHbid.com contract with our Seller to ensure the Seller deals only with the high bidder at the conclusion of bidding. During the timed auction itself, all back-end information is locked down including who is bidding or who is registered to bid. At the conclusion of the bidding, the Seller is privy only to the name of the high bidder on each parcel.
The minimum increment for bidding is set prior to each specific sale in consultation with the Seller. The increments are set having regard to the FMV of the parcel being sold with more expensive parcels generally having larger increments.
We have all been to live auctions where a quarter of land worth $500,000.00 starts at $100,000.00. The parcel is then bid up in large increments initially with the increments gradually decreasing in size as the bidding approaches the end. At CLHbid.com, given our predetermined minimum increments, we try and speed up the process by starting the bidding at what we see as a reasonable number to start serious bidding at, yet a number still below FMV.
In addition, given the ‘en bloc’ final parcel bidding option offered at CLHbid.com, we require a floor number for each individual parcel in the unlikely event a specific parcel doesn’t receive a bid, yet at the conclusion an eligible bidder wishes to bid on the entire farm or ranch. In such a case, the Starting Bid becomes the value to be used for that Parcel not receiving a bid when determining aggregate bids. It is important to note the Starting Bid is not a Reserve Bid.
PLEASE NOTE: Not all CLHbid.com sales have an ‘en bloc’. Please review the particulars of each sale for clarity.
No. The Seller waives their right to approve the sale if there is a bid on the ‘en bloc’.
This is really no different than in the tendering process wherein Tenders stipulate “any and all tenders will not necessarily be accepted”. One issue with tendering is the cost to put a tender in the paper is nominal and there is always a risk of the Seller perhaps just feeling out the market or wanting to know the names of the parties interested.
At CLHbid.com one of the paramount reasons for allowing the Seller final say is to alleviate the need for an expensive Guarantee to the auction house – expensive and seldom called upon yet often required by the Sellers bank. The Seller’s bank doesn’t require the Seller to purchase a Guarantee when using the CLHbid.com platform wherein the sale is at the Seller’s discretion.
CLHbid.com incurs significant marketing costs in the event the Seller fails to accept the high bid(s). The Seller is under contract with CLHbid.com and the contract references trigger values indicating when the right of the Seller to refuse a sale is taken away.
At CLHbid.com, our Sellers are fully invested in the process meaning the likelihood of a high bid not being accepted is extremely remote.
No. At CLHbid.com there is no advantage to waiting to bid. Our platform has a ‘refresh’ function on the clock such that any bid placed near the expiration of the timed sale will automatically re-set the clock adding additional minutes to the clock giving all parties (including the bidder that was just outbid) another opportunity to bid.
At CLHbid.com we take the human element out of the process. During the bidding process if you are high, you will receive an online notice saying you are High Bid. If you get outbid you will receive an online notice saying you were Outbid. Immediately upon expiration of the timed sale, the high bidder will receive an email indicating they were the HIGHEST BIDDER.
All emails are auto generated. The question cannot arise as to whether you were high or not or “was it shopped to someone they liked better” such as when tendering land.
No. The Starting Bid is just that. The first bid required for a Parcel is the Starting Bid and not some number above it. If you are the initial bidder and just bid the basic minimum increment your Current Bid will be the Starting Bid number.
CLHbid.com doesn’t publish the name of the high bidder. We do, however, disclose the name of the high bidder to the Seller as they are then in a contractual agreement to buy and sell. We leave it up to the high bidder and Seller to tell whomever they wish.
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The sale starts and finishes in a matter of hours and the time will extend if bids are placed in the last two minutes of the sale. As confidentiality and honesty are paramount to us, bidders names are never released.
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