News | August 17, 2006

Rayonier Agrees To Purchase 176,000 Acres Of Timberland

Jacksonville, FL - Rayonier, Jacksonville, FL, USA has entered into agreements to purchase approximately 176,000 acres of timberland in six states for $160M from funds managed by GMO Renewable Resources, LLC. The transaction is expected to close in the fourth quarter.

According to Rayonier, the largest single block of fee timberland (75,000 acres), located in upstate New York, contains high-value hardwoods, including black cherry, sugar maple and yellow birch, and is near very strong hardwood and veneer markets in the U.S. and Canada. The remaining timberlands, which include 40,000 acres of timber deeds and leases, are in five Southern states with well-established sawtimber and pulpwood markets: Texas (31,000 acres), Oklahoma (30,000 acres), Arkansas (27,000 acres), Alabama (11,000 acres) and Louisiana (2,000 acres). The Southern properties are stocked primarily with loblolly pine.

Rayonier also added that another significant attribute of these transactions is the tax benefits they provide.

SOURCE: Rayonier