Timber Investment

Mississippi, Alabama, Tennessee

At Mitchell Forestry & Wildlife Services, our extensive knowledge in timber market analysis, timber sales, timber harvesting, land management, and wildlife management helps you make the most of your investment. Unlike other areas of investing, forestry is a hard asset that is inherently valuable and will stay that way over time, making it a worthwhile opportunity for both private and commercial investors. No matter your interests or needs, we have a large variety of properties available ranging in acres, prices, and property type. We’ll also be able to help you with any of your needs as we handle all real estate, forestry, and wildlife services in house. 

Through our partnership with American Timber and Agriculture, LLC – an institutional investment management firm committed to servicing mid-size investors with timberland tracts in the Southeastern US – we create customized portfolios based on client objectives and constraints. 

Why ATAg Investment Services?  

  • Renewable resource
  •  May act as a hedge against inflation
  • May provide flexibility with respect to harvesting
  • Has a very low correlation to traditional asset classes
  •  Natural biological growth from 6% to 12% per annum
  • High risk-adjusted returns as measured by the Sharpe ratio
  •  Separately managed accounts are a “pure play” investment
  •  Low volatility of returns as measured by standard deviation
  •  Can be used for a variety of products which may add material value
  • The timing of thinnings and final harvest can be customized to create a cash flow ladder similar to a bond portfolio
  •  Ancillary income sources (e.g. recreational leases, pine straw sales, CRP payments, etc.) may offset property taxes and management fee expenses
Timber Investments: Alabama, Mississippi, Tennessee Land for Sale

Our Approach

American Timber and Agriculture believes in educating our clients about how timberland can be integrated into a macro investment portfolio. Our team of professional money managers listens to our clients and custom designs a portfolio strategy unique to their specific situations. We welcome clients who are comfortable in the boardroom as well as those who would rather put on a pair of boots and walk the land with our in-house staff of consulting foresters.

Before we purchase a piece of property, we carefully analyze it, looking at ten major characteristics and grading each one relative to our proprietary grading scale. We believe that timberland management has four key activities for alpha return enhancement: the land purchase analysis and execution, the planting process and the seedling survival rate, the timing and process for thinnings, and the final harvest process and pricing. We attempt to outperform the market throughout each of these critical periods.

While some clients want to hold their land in perpetuity, we are sensitive to those with a shorter time horizon. We believe that investment liquidity is defined by both the speed at which an asset can be sold and the pricing discount the seller must accept to clear the market. At American Timber and Agriculture, we utilize proprietary strategies to improve real estate liquidity, allowing our clients to sell their land holdings quicker and with a smaller price concession.