Standing Timber Investment Opportunities
Global Timber Products has developed standing timber investment programs for private individuals as well as industry associates. Both programs offer a fixed return on capital invested and the industry associates program provides the additional option to purchase logs harvested from the specific timber tract(s) acquired through use of the investor’s funds.
In-House Forestry Staff Coupled With Established Foreign Trade Partners Creates Strong Marketing Advantage
GTP procures the large majority of its annual log inventory for re-sale to customers around the world through successful bidding on tracts of standing timber. These timbers are offered for sale through a competitive bidding process and GTP utilizes an in-house group of foresters to evaluate the viability of each of these potential tracts before an actual purchase bid is submitted. GTP foresters evaluate approximately 1,000 potential timber tracts each year and as a result, have a comprehensive understanding of what tracts, concentrated in which geographical regions and species, are currently available at what prices throughout the northeastern United States.
Paralleling its log procurement operations, GTP management has worked for decades to develop an extensive overseas sales network consisting of more than 300 customers in 28 countries around the world. Accordingly, GTP has a comprehensive view of optimum worldwide market prices for virtually all species and grades of hardwood timber at any given time as well as established accounts to whom GTP can readily market whatever timber it harvests. By coupling forestry expertise with a broad base of established overseas customers, GTP is able to maximize not only product procurement, but the successful marketing of that product as well.
Private Individual or Group Investments May Be Made
GTP seeks private investors to secure the purchase and harvest of successful timber bids. Investment required varies according to size of tract and species bid upon, however, the usual range is between $50,000 and $250,000. Should the investment required to secure the harvest rights for a successful bid exceed the capacity of a single investor, GTP will attempt to bring several individuals together to consummate the harvest contract. The term of contracts usually ranges from nine months to one year.
Industry Associates Program Offers Access to Logs Plus Attractive Return on Capital Invested
GTP has recognized that some of its current customers have specific hardwood log procurement needs which can be dovetailed with GTP’s standing timber operations to provide the customer with both access to needed logs plus an attractive, short-term investment opportunity with a fixed return on capital invested as well. This program has been designed specifically for GTP’s industry associates and can be tailored to meet the needs of veneer mill owners as well as sawmills. The harvesting of timber from most tracts is completed within one year of contract signing.
Fixed Rate of Return
In both the private investment program and the industry associates program, GTP offers a guaranteed flat rate return on funds invested, with a per month premium paid on investments outstanding after six months. A limited liability company is created through which investor-financed timber purchases are consummated. The investor becomes a “Member” of the LLC and GTP functions as its “Member Manager.” GTP’s responsibility is to harvest these timbers once a contract between the LLC and the landowner has been signed. The Member’s interest in the assets of the LLC remains in tact until the LLC’s repayment obligation to the Member, including accrued interest, has been fulfilled and the LLC dissolved.
You may request further information and an investment packet by clicking here and giving us your contact information: investment@globaltimber.net
From the Northern Hardwood Forests of America to You
