Cultivating Value
Dispositions
At FIA, we understand the importance of dispositions to enhance investment performance and “lock in” realized gains. Our disposition strategy is initially developed at the time a property is acquired and is continually updated as market conditions and client needs change. Over the years, we have executed billions of dollars of retail timberland sales as well as several full portfolio dispositions. Our philosophy of understanding market dynamics and unlocking a property’s full value potential is the same in either scenario. Learn more about our strategy below.
Dispositions Since Inception
Closed
Transactions
Total Acres
Sold
Total Value
Sold
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Recognizing Opportunities
Our portfolio managers and transaction specialists are constantly executing sales and Hold-Sell analyses that are a key component of our active portfolio management strategy. Timberland sales are executed if the return from selling becomes significantly higher than the projected, risk-adjusted return from holding the property for timber production. By leveraging our experience over the past 30 years and our network of brokers, active buyers, appraisers and other industry participants, we can maintain a constant feel for the market and know what buyers are out there for properties of all sizes. The knowledge and experience required to consistently make sound decisions on when, where and how to sell a property is a core competency of FIA.
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Seeing the Forest—and the Trees
While a primary focus is to return cash to clients through regular timber sales and other income generating activities, there is more to managing a working forest. FIA’s portfolio managers work with our foresters, analysts and other specialists to identify and create value-added opportunities related to natural resources, including recreational leases, conservation easements, mitigation banking, and carbon trading. In addition to working forest attributes, there are other complementary uses to generate cash from forestland, including telecommunication tower leases, wind farm leases, and road and utility easements.
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Delivering Maximum Value
FIA understands that when we acquire large timberland properties, some tracts or parcels may have a higher and better use than growing trees. Our experienced team works hard to identify these opportunities and prepare them for the market so future buyers will see their full value. These steps can involve anything from putting in roads on potential recreational properties to taking the first steps to obtaining entitlements on future development tracts.