New Forests is selling four of its New Zealand forestry assets as it approaches the completion of the term for its second round Australia and New Zealand Forestry Fund (ANZFF2). Source: Timberbiz
The four estates are located across New Zealand’s North and South Islands in established forestry regions of Blenheim, Southland, Taupo and Wairarapa.
With a combined gross area of almost 16,000 hectares, the estates consist of radiata pine plantations which produce wood for end uses such as housing, fencing and furniture for domestic and international markets. All the estates apart from Taupo, are freehold.
The forestry assets also present future carbon market opportunities with around one quarter of the plantations established on post 1989 land which is registered in New Zealand’s Emissions Trading Scheme (ETS). All four forestry assets have been third-party certified for sustainable forest management.
“We have managed these assets on behalf of investors for 10 years, and over this time, working closely with the on the ground property managers, have increased production, improved efficiencies, and added sustainability metrics to improve the overall health of the assets,” David Shelton, Managing Director, Australia & New Zealand for New Forests said.
“Forestry is an important industry for New Zealand, contributing to the economy, mitigating against climate change, and playing a role in the circular bioeconomy.”
This announcement follows the successful sale of Forico and Tasmania’s largest hardwood estate to a consortium of investors UniSuper, Pension Protection Fund and APG Asset Management, on behalf of its pension fund client ABP.
New Forests has engaged UBS New Zealand Limited as financial adviser to assist with the potential sale process.
