We sell a chemical that is manufactured here in Florida that is mixed with water depending on your water's mineral make up that when injected with a chemical feed pump will sequester the iron and make it fall off instead of staining.
Sequestration is reported to work at iron concentrations up to 3 mg/liter.
If you have a large area you could set up a settling tank (a pond), or an open-air sand filter to filter the water after it is oxidized. It would require re-pumping.