The US timberland investment management organisation (TIMO), Molpus Woodlands Group, has purchased 26,786 acres of timberland spread across nine counties in northern Idaho and eastern Washington.
The acquisition was not made through the group’s $662.5 million Fund IV, but on behalf of an outside client, a person with knowledge of the deal told Agri Investor. The company did not disclose the name of the client, or the seller of the property.
Molpus representatives cited the close proximity of the roughly 70 land parcels to developed sawmill markets and growing population centres as a reason for the purchase. Tree species grown on the property include conifer sawtimber, Douglas fir, western larch, grand fir, alpine fir, western hemlock, western red cedar and ponderosa pine.
“We are pleased about this opportunity to expand our existing operational presence and established relationships in this region. We look forward to managing this high quality asset and intend to build on the property’s solid history of forest sustainability and stewardship,” said Ken Sewell, chief operating officer, in a statement.
The fund closed in October 2014, exceeding its $500 million target by more than $150 million. The fund has made just one acquisition since, in November 2015.
Molpus will manage the properties, bringing its acreage under management up to 1.9 million acres, valued at more than $2 billion according to company representatives.