Jackson, Mississippi - The Molpus Woodlands Group, LLC (Molpus), a timberland investment management organization headquartered in Jackson, Mississippi, has, on behalf of a client, entered into an agreement to purchase approximately 90,000 acres of timberland located in northern Michigan. The close of the purchase is set to occur at the end of August 2011.
The timberland, located in Baraga, Houghton, Iron, and Ontonagon Counties, Michigan, consists mainly of northern hardwoods such as maple, yellow birch, white spruce, and white pine. Molpus currently maintains an office in Houghton, Michigan to oversee the management of approximately 67,000 acres in the Upper Peninsula of Michigan.
"Timberlands have historically provided respectable returns and acted as a strong inflation hedge," says Molpus Woodlands Group President, Dick Molpus. "On average, 60% of the returns are derived from biological growth, which helps to protect the corpus of the investment and make it less vulnerable to market fluctuations."
This acquisition will increase Molpus's current acreage under management to over one million acres located in fifteen states.
The Molpus Woodlands Group, LLC, a Registered Investment Advisor, was founded in 1996 as a Timber Investment Management Organization (TIMO) and has a company legacy dating back to 1905. With its sister operating company, Molpus Timberlands Management, LLC (collectively, Molpus), Molpus is one of the oldest timber-related companies in the nation, with experience in all facets of timber management, manufacturing, and marketing. Molpus is one of the few TIMOs that have all of their core businesses and forestry functions handled or supervised by in-house experts.
Molpus employs seventy-three people in its fifteen offices located in Alabama, Arkansas, Kentucky, Louisiana, Michigan, Mississippi, New York, and Oklahoma. Molpus acquires, manages, and sells timberland as an investment vehicle for pension funds, college endowments, foundations, insurance companies, and high net-worth individual investors. The company focuses on ensuring long-term optimum cash returns on investments while practicing responsible forest stewardship. For more information, visit http://www.molpus.com/.