A BID by West Australian businessman Graham Crouch to pay $25 million for one of the state's most famous properties, the sprawling Devereaux Farm, is coming unstuck as alternate buyers are re-invited to lodge bids.
The transaction was originally scheduled to settle late last month, after a 60-day due diligence process, The Australian Financial Review reports.
Selling agent John Garland, of John Garland International, confirmed that the 2470-hectare estate, formerly owned by coal baron Ric Stowe, could no longer be characterised as "under offer".
"It's not finalised," Mr Garland said.
"Negotiations are continuing with [Mr Crouch] but it's fair to say Devereaux may not end up as Graham's."
Devereaux Farm, at Bullsbrook in Perth's outer metropolitan area, is one of the country's biggest urban estates.
It boasts five residences, a polo field, two helipads, a private airfield, river, dam, and large agricultural grounds.
Financiers seized the property in early 2010 during the process of recovering tens of millions of dollars of loans tied to Mr Stowe and his collapsed Griffin Coal empire.
The owner of the estate, the Commonwealth Bank of Australia, valued the property at $68 million that year.
In April this year, The Australian Financial Review reported that the estate was subject to a "conditional sale" to Mr Crouch for $25 million, representing a $43 million reduction on the 2010 valuation.
Mr Crouch did not return calls.
It is not known why the sale may fall over, other than that an issue arose during due diligence.
Rival bidders are now being openly invited into the sales process. One person with knowledge of the sale said $25 million had become a new ceiling should another buyer emerge.
Mr Crouch is known to be mainly interested in the agricultural assets, and was planning to spin off the three-level, 20-room mansion, the polo field and other assets on the property.
The Commonwealth Bank and receivers PPB Advisory have been trying to sell the famous estate for more than three years. Devereaux Farm is the bank's last major Stowe asset. It is expected to suffer a small loss on its overall exposure.
