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  • 2 days ago
Institutional investors are buying more timberland as interest in alternative assets grows. Weak housing demand, excess supply and ownership costs remain challenges for short-term returns.

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00:00It's Benzinga bringing Wall Street to Main Street.
00:02Institutional investors are buying timberland at a rate of 1 million acres annually as interest
00:08grows in alternative assets beyond stocks and bonds, according to CNBC. Bank of America expects
00:15the trend to continue, although some investors warn that timber offers limited short-term returns.
00:21The National Council of Real Estate Investment Fiduciaries' Timberland Property Index posted
00:27a 0.95% return in the second quarter of 2026. Meanwhile, South Carolina pine pulpwood prices
00:34fell about 33% year-over-year in the third quarter. Weak housing demand and excess timber supply
00:41continue to weigh on prices. Some younger investors priced out of homeownership are also exploring
00:48timberland. However, direct ownership comes with management costs, property taxes, and risks,
00:54including wildfires and disease. For all things money, visit Benzinga.com.

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