J.P. Morgan's Campbell Global Acquires over 40,000 acres of Timberland in the US Pacific Northwest

Rhea-AI Summary

J.P. Morgan Asset Management announced that institutional investors advised by its timber investment manager, Campbell Global, have acquired 40,800 acres of commercial timberland on the Olympic Peninsula in Washington state. The property, named Tyee, will be managed for both carbon capture and timber production.

The property features 100% Sustainable Forestry Initiative certification, over 360 miles of streams, 6,500 acres of riparian areas, diverse wildlife habitats, and approximately 20 million standing trees including Western Hemlock, Douglas Fir, and Sitka Spruce. The acquisition expands Campbell Global's presence in the Pacific Northwest, where they have over 40 years of experience.

Positive

• Acquisition of 40,800 acres of high-quality commercial timberland
• Dual revenue potential from carbon capture and timber production
• 100% certified sustainable forestry operations
• Strategic expansion in Pacific Northwest market

Negative

• None.

Insights

Financial Analyst

This 40,800 acre timberland acquisition strengthens JPM's position in alternative investments and ESG-focused assets. The Olympic Peninsula location is strategically valuable, known for high-quality timber production and strong price appreciation potential. The dual-purpose management approach for carbon capture and timber production creates multiple revenue streams while aligning with growing institutional investor demand for sustainable investments. Campbell Global's extensive experience in the Pacific Northwest region (>40 years) suggests efficient operational integration and established market relationships. The property's diverse tree species portfolio, including high-value Douglas Fir and Western Hemlock, provides natural hedging against species-specific market fluctuations.

Environmental Research Analyst

The Tyee property represents a significant environmental asset with its 20 million standing trees and extensive water resources including 360 miles of streams. The Sustainable Forestry Initiative certification and dedicated riparian management areas demonstrate strong environmental governance. The property's diverse wildlife habitat, supporting endangered species like the northern spotted owl, adds conservation value. The dual carbon capture and timber production strategy positions the asset to potentially benefit from both traditional timber markets and emerging carbon credit markets, which are experiencing growing demand from corporations seeking to offset emissions.

Assets to be managed for both carbon capture and timber products

NEW YORK, Dec. 5, 2024 /PRNewswire/ -- J.P. Morgan Asset Management today announced that institutional investors advised by the firm's wholly-owned timber investment manager, Campbell Global, have led the acquisition of 40,800 productive acres of high-quality, commercial timberland located on the Olympic Peninsula in northwest Washington state. The firm has named the property Tyee to acknowledge the Cascadia region's indigenous Native American history.

Campbell Global was acquired by J.P. Morgan Asset Management in 2021 and is recognized as a pioneer in timberland management, having managed more than five million acres worldwide for pension funds, foundations and other institutional investors since inception.

Tyee will be continuously managed for both carbon capture and timber production to meet growing demand for sustainable building products and other uses. Some details of the property include:

• 100% certified in accordance with Sustainable Forestry Initiative standards.
• Over 360 miles of streams – 165 miles with fish presence.
• Approximately 6,500 acres of streamside riparian areas managed to preserve water quality.
• Mosaic of diverse wildlife habitats for northern spotted owl, bald eagles, osprey, deer, elk, bear and numerous species of salmon.
• Approximately 20 million standing trees of different ages and a wide variety of species including Western Hemlock, Douglas Fir, Sitka Spruce, cedar and alder.
• Future Operations will provide living wage employment opportunities for residents in rural communities on the peninsula.

"We are pleased to add Tyee to our timberland portfolio, expanding our footprint in the PNW where we have more than 40 years of experience. The acquisition of Tyee helps us provide new investments in sustainable forestry to our clients," said Angie Davis, President of Campbell Global.

About Campbell Global
Acquired by J.P. Morgan Asset Management in 2021, Campbell Global, LLC is a worldwide investment manager focused on timberland. Based in Portland, Oregon Campbell Global is recognized as an authority on both forest management and timberland investing, with over three decades of experience in timberland management and value creation. A pioneer in the field, they manage more than 1.4 million acres worldwide for pension funds, foundations and other institutional investors since inception.

For more information, visit www.jpmorgan.com/am

About J.P. Morgan Asset Management
J.P. Morgan Asset Management is a global leader in alternatives, with over 60 years of experience managing alternative investments, including real estate, private equity, private credit, liquid alternative products, infrastructure, transport, hedge funds, and forestry. As of September 30, 2024, J.P. Morgan oversees more than $400 billion in alternative assets.

With $3.5 trillion in assets under management as of September 30, 2024, J.P. Morgan Asset Management serves institutions, retail investors, and high-net-worth individuals across every major market globally. The firm offers comprehensive investment management services in equities, fixed income, alternatives, and liquidity.

For more information, visit www.jpmorgan.com/am

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SOURCE J.P. Morgan Asset Management

FAQ

What is the size of JPM's recent timberland acquisition in Washington state?

J.P. Morgan's Campbell Global acquired 40,800 acres of commercial timberland on the Olympic Peninsula in Washington state.

How will JPM manage the Tyee timberland property?

The property will be managed for both carbon capture and timber production, meeting demand for sustainable building products.

What environmental certifications does JPM's new Tyee property have?

The Tyee property is 100% certified in accordance with Sustainable Forestry Initiative standards.

How many trees are on JPM's newly acquired Tyee property?

The property contains approximately 20 million standing trees of various species including Western Hemlock, Douglas Fir, Sitka Spruce, cedar and alder.