Timberland Investment Resources Europe (TIR) has announced that it is seeking to raise US$250 million (257 million EUR) for a sustainable forestry and natural capital fund which will investment in US assets.
TIR’s manager has said that the Sustainable Forestry & Natural Capital Fund, which has been launched for pension funds and institutional investors, will focus on investment mainly in the southern region of the US. The fund will target working forests that have the potential to generate “long-term asset appreciation and ongoing cashflow while also providing investors with tangible environmental returns.”
TIR said the fund, which targets an 8-9% per annum return and annual distributions in the range of 3%, will have an initial term of 10 years, and investors will have the option to remain invested for an additional 5-year period or to liquidate their positions in the fund.
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