The areas harvested will be replanted the following winter, so that at the conclusion of harvest, most (if not all) of the land will have been replanted.
When the harvest is complete, the investment must be brought to a conclusion. Towards the end of the harvest programme, a decision is made whether or not to offer a new investment for the next rotation. If a new investment is not offered, the land and replanted trees are independently valued* and listed for sale, with the resultant net proceeds paid to investors. If it’s decided that a new investment will be offered, then the new investment becomes the purchaser of the land and trees.
The original investors (or their family) will have the choice of:
a) reinvesting (in part or in full) using their share of the proceeds from the sale of the land and the replanted trees,
b) transferring the shares to another entity like to a family member or family trust, or
c) receiving their share of the value of the land and replanted trees and exiting.
(* The valuer will include a contingency for roading to help offset any unclaimed depreciation. The land value does not include the cost of roading because investors have already claimed the majority of this expense through the depreciation in the financial statements.)