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Timber sees best third quarter since 2007
Timberland experienced the best third quarter since 2007 in 2014 — and the second-best third quarter in the past 10 years — as the NCREIF Timberland Index returned 1.47 percent in the quarter, up from the second quarter’s 1.08 percent and third quarter 2013’s 1.05 percent return.
Third quarter 2014’s return was evenly split between 0.74 percent appreciation and 0.73 percent income. The rolling four-quarter return of 10.38 percent was not as evenly split, with 2.71 percent of the return coming from income and 7.51 percent coming from appreciation. The Northeast was the strongest performing region in the quarter with a 1.69 percent return, marking the first time the region has topped the index in more than three years. The Northwest had been the strongest region for most of the past year and still has a 17.55 percent rolling four-quarter return that is nearly double the next closest region.
A few institutional investors have taken a