Trees - A safe haven for investors?

4 December 2008

Forest owners in the UK have made shrewd investments in land and trees. The 2008/09 Forest Market Report from UPM Tilhill and Savills, reveal that plantation prices have on average more than doubled in the last five years.

The report, an aid to buyers and sellers involved in the commercial forestry market, provides an annual snapshot of the UK commercial forestry market on properties larger than 25 hectares.

This year's publication reveals:

*Investors owning woodland over the last five years will be enjoying capital growth of 125-150%.
*Average plantation prices have risen more than 100% in the last five years with headline growth at 52% since 2006
*Like for like prices have increased 10-20% in 2008 compared to 2007