CPC’s $33m acquisition of Hillcrest has created a large backgrounding aggregation in the Middlemount district in Central Queensland

Consolidated Pastoral Co has made a $33 million* acquisition in Central Queensland’s brigalow scrub country, creating a large backgrounding aggregation in the Middlemount region.

CPC has signed contracts overnight for the purchase of Hillcrest Station, a high quality 9548ha backgrounding and finishing property 50km east of Middlemount with an 11km frontage to the Issac River.

Hillcrest has been held by the Danastas family from Mackay for more than 25 years.

The deal, which included around 2000 Red Brahman cattle and basic station plant, is subject to Foreign Investment Review board approval, by nature of UK-based Guy Hands’ shareholding in CPC.

CPC already owns adjoining Langley and Jimarndy Stations, creating an aggregation with the capacity to run about 12,200AE, plus cropping, creating one of the larger backgrounding footprints in the region.

Langley was purchased last year for $17 million, and Jimarny for $47.5m in 2022, representing a total outlay on the entire aggregation of almost $98 million in three years.

The first CPC-bred backgrounders will arrive at the property in January.

CPC chief executive officer and director Troy Setter said the Hands family and the team at CPC were looking forward to adding Hillcrest Station to the CPC group.

“Our team continue to make increases in productivity and weaning rates on our breeding stations and we need more back grounding land that has the flexibility for cropping and close to major markets,” Mr Setter said.

“High quality brigalow-bauhinia scrub country that also has black soil river flats and scale rarely comes onto the market, making Hillcrest an important strategic addition to CPC.”

Mr Setter said Hillcrest had several development opportunities to lift CPC’s performance and market diversity.

The asset will be used for backgrounding and growing-out steers from CPC’s northern breeding properties, including Angus crosses and Wagyu crosses.

Hillcrest was passed in for $31.6 million at a Nutrien Harcourts GDL auction in Rockhampton on November 21, but the eventual sale price is understood to be *$33 million. The price information was not provided to Beef Central by the marketing agents involved, under vendor instructions.

The well watered property has ten dams and numerous waterholes. The 13 main paddocks are serviced by four holding paddocks and an extensive laneway system.

The large set of steel and timber yards have the capacity to work large numbers of cattle at any one time. The homestead complex has a three bedroom house, a two bedroom cottage, and ancillary buildings.

At the time Hillcrest was being marketed back in October, Nutrien Harcourts GDL agents Dan Tyson and Bill Reid said similar country in the area was making around $3706/ha ($1500/ac), which meant the property could achieve between $30m and $40m.

CPC direct sales channels primarily involve selling cattle and beef to Asian consumer markets, domestic Australian feedlots and export processors, and exporting live cattle.

CPC is owned by Guy and Julia Hands through the Hands Family Office. Terra Firma (UK), owned by Guy Hands, is the investment manager of CPC for the Hands Family Office.