Eureka, CA 95501(Humboldt County)

There is excellent access to Highway 101 with Humboldt Redwood Companys Scotia complex within a 30 minute drive, and additional nearby sawmills in Eureka and Arcata and south to Willits, Ukiah and Cloverdale, providing proximity to both competitive log markets and export facilities. The Humboldt Redwoods State Park Visitor Center and Avenue of the Giants are nearby.

The Sonoma Creek property consists of four non-contiguous parcels ranging from 38 to 2,035 acres and, as part of this Sealed Bid Offering, the Sonoma Creek property is available in its entirety, or in four individual parcels, providing opportunity to acquire smaller tracts each with mature redwood timber. Parcel B may have potential for a homesite along Whitlow Road. Adjoining owners are Humboldt Redwood Company and a number of private landowners. The forest site classification is II and III+.

The largest tract, Parcel A with 2,035 acres, has not only a significant timber inventory of over 28,900 MBF, but also has potential for development as a private hunting or recreation retreat with spectacular views of Eel River Valley along with several large grassy meadows. Sonoma Creek is located in the western section, with a small amount of Eel River frontage in the northeast corner.

The property has primarily moderate topography with some steep slopes along the Sonoma Creek drainage in Parcels A, B and D. There is a good mainline road system in Parcel A, with two main entries at Dyerville Loop and Eel Rock Roads. In addition, there is a deeded easement from Whitlow Road. An estimated 80% of the tract can be logged using ground-based logging system.

Parcel B has access from Whitlow Road; Parcel C has physical, but no legal, access from Fruitland Road; Parcel D has frontage along Whitlow Road but is not accessible due to slopes. There is physical, but no legal, access to the southwest corner of Parcel D from Sequoia Road.

There are two Timber Harvest Plans (1-04-232 HUM and 1-07-136 HUM) which cover 1,685 acres of Sonoma Creek, the majority of Parcel A. Both plans can be extended, one until June, 2012, and one until February, 2013. Parcels B, C and D do not have Timber Harvest Plans.

The last harvest was in 2008, and 755 MBF were logged. It is estimated that an additional 9,500 MBF can be harvested under the two THPs, based on current regulations.

Parcel A 2,035 Acres

Reserve Price $5,975,000*/$2,936 acre

Parcel A contains an estimated 28,973 MBF, or 71%, of the volume for Sonoma Creek, and has 126 acres of open grasslands with excellent habitat for both elk and deer hunting. Humboldt County owns a small outparcel along Dyerville Loop Road by the access gate to Stand 5 that accommodates a dumpster for local residents.

Access to the majority of Parcel A is from Eel Rock Road, an all-weather mainline road that also provides access for an adjoining owner. Two large open meadows are in Stand 8 and provide excellent locations for development of a private retreat with views of the North Fork Eel River Valley. This portion of the property is zoned Agricultural Exclusive, with 160 acre minimum parcel size. There is secondary access to Stand 7 from Whitlow Road. Sonoma Creek, a tributary to Eel River, is a Class I stream and bisects the southwest portion of the tract. There are 11 patent parcels for Parcel A, but no Certificates of Compliance have been obtained.

Parcel B - 355 Acres

Reserve Price $1,050,000/$2,957 acre

Parcel B has frontage along Whitlow Road and an estimated 5,819 MBF with 48% of the volume redwood and the balance Douglas-fir. There is a potential site for a home south of Whitlow Road that could be incorporated into the forest management of the property. Sequoia Creek bisects the northern section of the parcel by Whitlow Road, with steep slopes along the drainage. There is no Timber Harvest Plan for Parcel B.

Parcel C - 38 Acres

Reserve Price No Minimum Bid

This is an isolated small parcel located south of Dyerville Loop and west of Fruitland Road, with an estimated 542 MBF of Douglas-fir and redwood. There is no Timber Harvest Plan for Parcel C. The property has physical access, but no legal access, to the southeast corner along Elk Creek drainage. There is also physical access, but no legal access, to the northeast corner from Eel Rock Road, which is in poor condition. (See Supplemental Information Package for access directions.)

Parcel D - 311 Acres

Reserve Price $400,000*/$1,286 acre

Parcel D has two contiguous tracts which are primarily steep, north and east facing slopes, with Sonoma Creek/Whitlow Road along the eastern boundary and North Fork Eel River along the northern boundary. The parcel contains 5,546 MBF with 59% of the volume redwood and the balance Douglas-fir. There is physical, but no legal, access to the southwest corner, which had been used for private logging.

*The sale of individual Auction Properties 100, 200, 300, 400, 500, 600, 700, 800 and 900 is subject to total accepted bids in the aggregate to equal, or exceed, $27,815,000