WHAT WE DO
R&A Investment Forestry, LLC is a portfolio developer and manager. We don’t sponsor commingled funds or promote the funds of others, nor do we assume discretionary control of the funds of our investors. We acquire timberland assets as direct investments for individual private and institutional investors, and self-organized co-ventures organized as single entities.
Direct Investments. Our investors own forest assets directly, with open ended investment terms. Assets can be held for periods defined by the investor…for the long term as a means of preserving wealth and generating moderate return, or for shorter periods, with opportunistic exit strategies that maximize return.
R&A currently manages a portfolio of forest properties in Florida and California on behalf of private investors. Expansion in the U.S. South and the Pacific Northwest is anticipated in coming months. We are in the sourcing stage of portfolio formation for several additional investors.
Transaction Size. R&A targets transactions of $10 Million to $50 Million, with a “sweet spot” of $30 million.
Investor Control. Because we only invest directly and never take discretionary control of investor capital, investors retain full control of their assets at all times. Investors’ needs determine management decisions and thus they decide when to acquire or decline a property, and when to sell. While any of these decisions may be delegated to R&A, investors are continuously informed as to the status, performance, and operating milieu of their properties.
R&A Fees. R&A retains minimum internal staff as employees, relying heavily on regional colleagues and operating partners to provide day to day management and to assist in managing investor portfolios. As a result of this ownership and governance structure, R&A is able to maintain a fee structure substantially lower than traditional investment managers. Fee structures are tailored to meet the needs of the investor and the assets in which they invest.
Putting Capital to Use. R&A’s job begins when investors with available capital make the decision to invest in timberland. Our role encompasses everything that happens beyond that point, including:
- Transaction sourcing.
- Property and market due diligence.
- Determination of investment value.
- Negotiation of Purchase and Sale Agreement.
- Selection of Counsel.
- Transaction closing.
- Management selection and hiring.
- Design and implementation of management systems.
- Ongoing supervision of property management.
- Operational and financial reporting
- Contract approval.
- Exit…..when the time comes.
