Timbervest on the road for $400m – exclusive

Timbervest, the institutional investment management firm, has launched a new forestry fund and is currently on the road targeting $200 million.

The Targeted Opportunities Fund will pursue a similar structure to Timbervest’s three previous funds but will invest more quickly and into previously-identified forestry assets, hence its name. “We transact a lot and investors are very receptive to that,” said Bill Boden, chief investment officer.

Timbervest’s last timber fund, Timbervest Partners III (TVP III), raised $410 million between 2012 and 2013; its largest fund yet. TVP I is currently divesting assets and recently sold nearly 20,000 acres for $33.9 million.

Timbervest is also on the road raising $200 million for its fourth environment and conservation fund, Timbervest Crossover Partners IV. The fund will invest into assets such as habitat conservation, wetland mitigation, stream mitigation, ecosystem restoration and fish conservation. Investments will range in size from between $2 million to $30 million.

The 10-year fund is targeting a net internal rate of return of 15 percent.  Timbervest will commit between $3 million and $5 million as the GP.

Timbervest expects existing investors to return and invest into the latest funds. TVP III had a majority of overseas investors.