Landlord Revenue Estimate832 acres* sub irrigated/sandy lowland – hayed 1038 Ton @ 2.5 AUMs/Ton – 2595 AUMs(832 acres*) aftermath grazing 168 AUMS10,094 acres* sub irrigated/sandy lowland/sandhill range – 4771 AUMs     408 acres* lake and marsh     221 acres* building site and lots11,555 acres total by county record7534/12 months – 628 AUs or 18 acres/AU832 acres* hayed 1038 Ton @ $60/Ton/2 - $31,140 or $37/ac CE (includes aftermath) 4,771/ 5 months/1.5 BWE – 636 Pair or 16 ac/pair636 pair @ $55/pair/month for 5 months -$174,900 or $17/ac CE

$206,040 Gross Income$33,607 RE Taxes$23,000 R & R$2,200 Misc.$147,233 Net Income, Say $147,000 Net to Landlord

Year Around Carrying Capacity Estimate7534/12 mo 628 AUsWinter 2595 AUMs/4 mo – 649 AUsSpring/Summer/Fall 4939 AUMs/8 mo -618 AUs625 AUs .80500 Cows (cow calf, retaining replacements, bulls)11,555 ac/625 AU - 18 ac/AU11,555 ac/500 Cows – 23 ac/Cow

Nebraska SandhillsThe Mule Shoe Bar Ranches are located in the western region of the famed Nebraska Sandhills, known for one of the finest cattle producing regions in the United States.  The Sandhills of Nebraska is the Nation’s largest undisturbed native grassland area.  It covers approximately 13 million acres in 20 counties located in the north central part of the state. The grasses are vigorous and nutritious and have proven themselves as drought tolerant species centuries ago by supporting vast herds of Buffalo prior to the arrival of the white man.

Ogallala AquiferThe Sandhills of Nebraska also sits on top of the largest fresh water aquifer in the continental U.S.  Known as the Ogallala or High Plains Aquifer, it supports fresh water bearing material where this ranch is located in the range of 400’-600’ in depth.  Stock wells and irrigation wells are generally considered shallow by comparison to other cattle producing regions in other states.

RainfallThe rainfall belt in the area and location of these ranches, ranges from 16”-19” per year, with the majority of it falling during the grass growing season. Rain is generally considered consistent and reliable, to the extent that cattle sell downs because of drought are rare.

MarketsThe ranches are well located to auction barns in Ogallala and Gordon, Nebraska. Ogallala supports one of the finest livestock sale barns in the state of Nebraska.  Thousands of reputation cattle pass through its gates annually in the form of special stock cow, bred heifer, yearling, and calf sales throughout the year. Buyers from several states are always on hand to create a consistent, top-end market for all classes of cattle.  There are also video auction markets available that are nationwide in scope.

Economies of ScaleThe sum of the three ranch resources will make an economically sized unit that will easily support a family along with hired or contract labor.

Minerals  The current ownership will convey all the owned minerals.

ExchangesThe current ownership will cooperate with 1031 exchanges.

Approach to Management and Revenue  All three Mule Shoe Bar Ranches under the current ownership have been utilized by grazing. In the analysis and use of the three resources, grazing has also been the predominant use.  However, both the Beck Ranch and the South Ranch possess sub irrigated range sites, some of which could be routinely hayed each summer; if the owner chose to have a balance of hay on hand for the winter months.

The USDA NRCS has developed and provided both ranch range site maps with estimated acreages as well as an animal unit study for each ranch. These studies have been utilized in determining the estimated carrying capacities of each ranch resource. What follows are each of the ranches estimates of deeded acres and current real estate taxes from the respective counties; as well as the NRCS estimates of acres, range sites, carrying capacity AUMs under average use, number of pastures, and number of stock wells. Each ranch has been evaluated for annual carrying capacity and an estimate of landlord revenue generation on a summer grazing basis utilizing cow-calf pairs.