Yulong expands Australian footprint with latest property purchase

Yulong Investments has increased its Australian property portfolio with the thoroughbred powerhouse adding a luxury rural estate to its extensive acquisitions in the heartland of Victoria’s breeding industry.

Islay Vale, a 175-hectare farm located about 10km south of Nagambie in the Goulburn Valley, will reportedly operate under the Yulong banner.

It was listed for sale in November with offers of more than $9 million forecast.

Real estate agents described Islay Vale as a “magnificent waterfront holding boasting a stunning two-level, five-bedroom home”.

While the terms of the deal remain undisclosed, the private sale is understood to have gone through in line with market expectations.

Backed by Chinese mining magnate Yuesheng Zhang, Yulong’s breeding operation is recognised as the largest in Victoria.

And as Zhang’s spectacular push into the Australian thoroughbred scene shows no sign of abating, it’s no surprise that Yulong’s real estate investment has also taken off in the past decade.

Since purchasing Yulong Park at Bayles, east of Melbourne in 2015, Zhang has turned his focus to the Goulburn Valley buying four other properties – mostly with strong historical links to Australian racing – to accommodate a growing stallion roster and one of the best broodmare bands in the southern hemisphere.

Yulong Stud, formerly known as Limerick Lane and purchased from high-profile owner Gerry Ryan for $6.6 million in 2017, stood seven stallions last season, including the champion sire Written Tycoon.

The stud welcomed Pierata to its ranks in 2023 in a move that has coincided with the emergence of the sire’s boom two-year-old Coleman, the favourite to win the Blue Diamond Stakes at Caulfield on Saturday.

In March 2018, Yulong purchased neighbouring Hillside from Mike Becker’s Independent Stallion station for $2.3 million.

It also acquired two more holdings in 2021, including the Bayles family’s Chatsworth Park for $9 million.

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There has been extensive redevelopment of the properties with Yulong Stud now boasting a state-of-the-art yearling preparation complex and more than 200 stables.

Zhang likes to keep a low profile when it comes to his bloodstock business but it has been hard to ignore his buying frenzy around the world.

He has invested an estimated $200 million in bloodstock since 2017, including more than $10 million to buy Alcohol Free, a four-time Group 1-winning mare sent to Australia for a spring racing campaign.

Alcohol Free has subsequently been retired, returning to the UK to be covered by Frankel this northern hemisphere breeding season.

Thirty per cent of Zhang’s outlay has been dedicated towards buying the best broodmares available at auction in Australia with the billionaire forking out $60 million alone in 2023.

Yulong, now helmed by former Godolphin boss Vin Cox, also signed for seven yearlings worth more than $4.7 million under the ‘Highway Farm’ banner at this year’s Magic Millions sale on the Gold Coast.

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