Sunday, November 21, 2010

Amendment 4's Defeat was all about big Business Bucks

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Independent analysis of wood markets, bioenergy projects and timberland investment vehicles

Timber REITs: RYN and PCL Benefit from Rejection of Florida’s Amendment 4

Earlier this month, Florida voters rejected a constitutional amendment that would have changed the state’s development approval process. “Amendment 4” – sponsored by the non-partisan Florida Hometown Democracy – would have required a voter referendum whenever a local government amended its comprehensive plan. The amendment would have made the entitlement process in the state more complicated.

The rejection of the amendment favors Rayonier (RYN) and Plum Creek (PCL), which have HBU (“higher-and-better-use”) lands with development potential in the state. This is especially true for Rayonier, which currently has three major projects in Florida. The company seeks entitlements for 24,000 acres in Nassau County and 6,300 acres in Palm Coast, Florida. Rayonier expects to complete the entitlement process for these lands in the next 2-3 years. In all, Rayonier has identified about 200,000 acres of HBU property in the I-95 coastal corridor between Georgia and Daytona Beach

Marginally, Plum Creek also benefits from the Amendment 4 rejection. The company owns about 590,000 acres in Florida. However, most of these acres are strategic timberlands and not HBU development properties. In all, Plum Creek has identified 150,000 acres nation-wide (of ~6.9 million acres owned) as having HBU development potential.

Timber REITs: RYN and PCL Benefit from Rejection of Florida’s Amendment 4.


Source: Forisk's Blog
Check out the credentials of those at Forisk.

Amendment 4's defeat was all about big business bucks.

1 comment:

  1. Wow! This is great ! We need more potential empty storefronts and subdivisions in the middle of nowhere!Publix will be right there in the middle of the new wave ghost towns to serve them!We don't need to protect our agricultural land! Those farmers DESERVE to cash out on property that we taxpayers have been subsidizing for years! I look forward to eating the nutritional people chow from China !!!

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