joseph gallo farms historic fat city monterey ......6 | joseph gallo farms historic fat city...

FOR SALE: FAT CIT Y MONTEREY R ANCH - 523 .15 ACRES MORE OR LESS

Laverne Caldeira, Broker Associate3500 North G Street, Merced, CA 95340Phone: (209) 383-6475www.c21salvadori.com

CENTURY 21 SALVAD ORI REALT Y>

JOSEPH GALLO FARMS HISTORIC

MONTEREY RANCHFAT CITY

JOSEPH GALLO FARMSHISTORIC FAT CIT Y MONTEREY RANCH - 523.15 ACRES

Joseph Gallo Farms Historic Fat City Monterey Ranch | 3

Index

Introduction .....................................................................................4

History ..............................................................................................5

Property Summary ..........................................................................6

Regional Map ...................................................................................7

Monterey AVA .................................................................................8

Agriculture & Feed Lot Operations ..............................................9

Permitting & Entitlements ...........................................................10

Broker Sheet ...................................................................................11

MAPS

Official Plat of Rancho Rincon de la Puente del Monte ...................................................................5

Monterey AVA Regional Map ........................................................7

City of Gonzales Land Use Diagram ...........................................10

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4 | Joseph Gallo Farms Historic Fat City Monterey Ranch

IntroductionLocated in California’s Central Coast in the heart of the Salinas Valley lies the Gallo family’s “Fat City” Monterey Ranch. This property with its rich history is located Northeast of the City of Gonzales, poised just beneath the beautiful Gavilan mountain range.

This property represents a unique agricultural opportunity in one of the most beautiful areas of California. The region itself has received state, national, and international attention for all areas of crop production that flourish in the rich soil and mild climate found here.

The Gallo Family has been a pioneer in this state in farming and raising dairy cattle for almost 60 years and is a top producer of premium all natural cheese under the Joseph Farms brand. Treatment of their herds plays an important role in their operation and this facility has served well to keep their replacement heifers “growing

and healthy” with an abundance of green vegetables from the area and a mild climate perfect for raising livestock.

Historic “Fat City” beneath Gavilan Coastal Mountain Range


HistoryThis region of the Central Coast of California has been utilized for raising livestock from as far back as the late 1800’s when the area was first settled by Mariano and Alfredo Gonzales as a portion of the Rancho Rincon de la Puente del Monte land grant issued to their father. When the Southern Pacific Railroad laid tracks in this area a freight depot was opened which created opportunities for goods and services to be transported out of the area. In years to follow Gonzales and the surrounding areas soon turned to dairy production with the Meyenberg Milk Company first opening its plant here in 1906. With improvements to agricultural practices and advancement in irrigation the rich and fertile soil drew the attention of vegetable, wine and row crop growers making this into one of the nation’s premier agricultural centers.

The Central Coast has long been a center for dairy and cheese making. The claim over the name of “Monterey Jack” has been hotly contested for decades, but what we do know is that this mild tasting “Country Cheese” has a long history that spans centuries. The name it is now universially known and marketed under comes from this

region of California and is one that its customers ask for by the name “Monterey Jack”.

In one manner or another the “Fat City” property has been used as a livestock facility for raising beef or dairy cattle. This climate is unique to this property as it backs up to the hills provides a perfect setting for cattle and livestock as well as enjoys a plentiful source of feed supplements from the farms surrounding the facility. Although the feed lot has been in existence much earlier, the original pens and supporting structures were built between 1970 and 1972 and then operated under the name “Fat City Cattle Co. Inc.”. By 1975 new partners emerged and the facility changed hands until the property was sold to overseas investors in 1988 to accommodate Asia’s appetite for beef. As the Asian and American economies declined the property was taken by the bank. The use of the facility never stood idle as various operators would lease the property to prosper from its many advantages in raising livestock. Finally the property was purchased in 2003 by the Gallo Family and has been a part of their operation ever since.

Official Plat of Rancho Rincon de la Puente del Monte


Property SummaryPhysical address: 31701 Johnson Canyon Road, Gonzales, CAA.P.N.: 223-041-037, 223-041-038, 223-041-039, 223-071-003, 223-071-006, 223-071-007, 223-071-008,223-071-012, 223-071-014, 223-071-015, 223-071-016Acreage: 523.15 as surveyedZoning: F-40 designation, County of MontereySoils: (Please see Soil Types below)Water: The property is serviced by 2 deep agricultural wells that produce approximately 800 GPM(combined).Interested parties should satisfy themselves as to the performance of the pumps and wells during their due diligence. The property is also serviced by 1 domestic well located along Johnson Canyon Road which undergoes certification and monitoring by the County of Monterey. This domestic system is permitted for 8 service connections.Capacity: This ranch is presently utilized as a dairy heifer feeding operation. The ranch has permits for

approximately 30,000 head of feeder cattle.Farm Land: The property is located in one of the most prime vegetable and grape growing areas of North America. Restoration of the property to farming or vineyard should be considered a viable alternative.Structural improvements: The property has multiple structural improvements ranging from shop and accessory use buildings to feed storage and some employee housing.Utilities: The property is serviced by the local electrical energy provider (PG&E) and has for convenience, propane delivered to multiple tanks located throughout the site. Additionally, a natural gas line exists adjacent to the property within Johnson Canyon Road. Interested parties should satisfy themselves as to the availability and capacity of such service.Drainage: Storm drainage and irrigation runoff for this property and its facilities is captured and reused on site.

Gloria SeriesThe Gloria series consists of well drained and moderately well drained soils formed in granitic alluvium on benches, terraces and alluvial fans. These soils occur at elevations between 100 and 2,000 feet and have slopes ranging from 2 to 50 percent. The typical soil profile exhibits sandy loam to a depth of approximately seven inches thick. The substratum is typically hardpan to a depth of more than 60 inches.

The soil types within this series are described below.

Gloria Sandy Loam (GhC) is found on 2 to 9 percent slopes. This is a gently sloping to a moderately sloping soil having a profile representative of the series. This soil is moderately well drained and has a slight to moderate erosion hazard.

Gloria Sandy Loam (GhC) is found on 9 to 15 percent

slopes. This soil exhibits characteristics similar to those of GhC, but it occurs on steeper slopes.

Placentia SeriesThe Placentia series consists of well drained soils that formed in alluvium derived from granitic and schistose rocks on old alluvial fans and terraces. Typically, this series has a surface layer of sandy loam to a depth of about 13 inches, a subsoil of clay loam and sandy clay loam to depth of about 58 inches, and a gravelly sandy loam that extends to a depth of more than 68 inches.

The soil types withing this series are described below.

Placentia Sandy Loam (PnA) occurs on 0 to 2 percent slopes. This gently to moderately sloping soil has formed on old alluvial fans and terraces and has a soil profile representative of the series. This soil exhibits slow to moderate runoff and poses a slight erosion hazard.

Placentia Sandy Loam (PnC) is found on 2 to 9 percent slopes. This soil exhibits characteristics of the Placentia Sandy Loam, 0 to 2 percent slope phase, but because it occurs in slightly steeper areas, it has a higher propensity to erode.

The soils are comprised of two main soil types: Gloria Sandy Loam and Placentia Sandy Loam


Regional Map

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Monterey AVAThis property is located within the Monterey AVA region which is an American Viticultural area located in Eastern Monterey County, California. It was established in 1984. It is part of the larger Central Coast AVA. It runs roughly 100 miles from its northern point, North of Monterey Bay to its southern point, Abutting Paso Robles, California. Approximately 40,000 acres of wine grapes are currently cultivated in the Monterey AVA.

The Monterey AVA includes parts of the Carmel Valley and Salinas Valley including the Gonzales area. The

northern portion is a cool growing region, but one with a very long growing season. Daytime temperatures rarely exceed 75 degrees fahrenheit.

Over 50% of the grapes grown in the Monterey AVA are chardonnay. In the northern area, riesling and pinot are very popular and are known to be some of the finest in the world. In the southern portion of the region bordeaux varietal are most often grown.


The Fat City feed lot facility consists of a system of corrals, pens, stanchions, covered shade structures, out buildings, scales, and feed storage. The work schedule for this site is non-stop, operating 24 hours per day, all year long. Employees and service providers perform various duties including feeding, site maintenance, management, and grounds keeping for the cattle operation, maintenance and farming operations.

Young Cattle are introduced into this facility at market weight and assigned to sorted corrals. These corrals are progressive so that the cattle are moved based on weight and maturity. They travel through this system until they are bred and ready to be used by our dairies in the Central Valley as replacement heifers. Under the Gallo Family’s management and stewardship much time and effort has been given to make this historic facility as efficient as possible.

Agriculture & Feed Lot Operations

corral System and feed Storage

Portion of the property currently farmed


Permitting & EntitlementsFor a facility of this size and nature a variety of permits and regulatory compliances are necessary. The “Fat City” feed lot maintains these permits and annually files reports and monitoring results with State agencies as well as with the Health Department for Monterey County. Some of these reporting and permitting responsibilities include:

• WDR–(WasteDischargeRequirementsand NPDES permit) State of California Regional Water Quality Control Board • Agriculturalwastedisposalpermit– County of Monterey• WaterSystemCertification–MontereyCounty Health Department

Operations at the facility span generations prior to many of the zoning and land use ordinances adopted today qualifying the property as legal non-conforming use or more commonly stated as “grandfathered in”.

In addition to the relationship that the feed lot has with The County of Monterey it also neighbors The City of Gonzales.

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the close proximity to the City’s northeasterly boundary provides long term development potential for the property as it lies currently in the “urban reserve” designation under the City’s newly adopted general plan.


Broker Sheet

Purchase Price: $13,078,750.00

Terms: All cash to seller.

This offering brochure regarding the Fat City Feedlot located in Gonzales California is exclusive for the use by interested parties and their representatives. All information is to be kept confidential and is not to be shared with others without prior authorization. Furthermore this brochure is not to be copied, reproduced or reformatted in any manner.

Seller reserves the right to accept or reject any offer, withdraw the property from the market, amend terms and conditions and negotiate multiple offers concurrently.

The information contained within this brochure has been compiled through a variety of public sources. It should be deemed to be reliable however neither the seller nor the broker guarantee it’s accuracy the prospective buyer or buyer’s should rely upon their own investigation of the information and the property.

For further information or for an appointment to inspect the property please contact:

Laverne Caldeira Broker Associate 209-761-6475

Century 21 Salvadori Realty3500 North G Street Merced, CA 95340

CENTURY 21 SALVAD ORI REALT Y

JOSE

PH GALLO FARM

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FAT CITY MONTEREY RA

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joseph gallo farms historic fat city monterey ......6 | joseph gallo farms historic fat city...

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