Forest & Investment Details
|Indicative initial offer||$43,700 -$45,200|
|Projected return at harvest||$126,242 before tax|
|Projected harvest date(s)||2023-2035|
|Projected future contributions (Calls)||$0 per annum|
|Location||55km north of Gisborne|
|Established net stock area||378.8 hectares|
|Investment structure||Limited Partnership (registered Managed Investment Scheme)|
|Balance date||31 March|
|Next forest visit||To be scheduled|
About Greenhills Forest (tender closed)
Indicative Initial OfferAn indicative valuation of $43,700 represents an 8% tax paid compounded return per annum while an indicative valuation of $45,200 represents a 7.5% tax paid compounded return per annum over the investment term. This indicative valuation is for a holding of 200 shares in Greenhills Forest and represents the net present value of the Cashflow Projection set out in the Investment Report, assuming a marginal tax rate of 33 cents in the dollar. This indicative value is updated either at balance date or when shares are listed for sale.
Projected Return at HarvestThe projected gross return for 200 shares at 4 October 2021 is $126,242 at log prices for the 31 August 2021. Note tax is payable on this amount, at the investors marginal tax rate. *Harvest should occur from 2023 through 2035, but please note that variations around this timing are likely. The projected gross return is updated either at balance date or when shares are listed for sale.
The LiDAR project has been used to assess treestock inventory. This technology has reflected different stocking levels than that estimated using traditional levels. The stumpage per hectare has been updated to reflect this change.
Investment StructureGreenhills Forest Investment is a registered Managed Investment Scheme (MIS) under the Financial Markets Conduct Act 2013. It is structured using our Limited Partnership (LP) investment structure.
LPs are a form of partnership involving General Partners (who are liable for all the debts and liabilities of the partnership) and Limited Partners. The liability of Limited Partners (investors) is limited and they are only liable to the extent of their capital contributions (funds invested), plus any other obligations expressed in the Limited Partnership Agreement.
Projected Future CallsEach annual Financial Statements contain details on Calls to be paid by investors for the next financial year together with the budget from which they are calculated. With annual income being received from New Zealand Carbon Leasing (No 1) Limited for carbon rental in Greenhills Forest, future annual Calls are expected to be $0. This may be subject to change.
TaxEach May, investors are sent a tax letter advising their tax position for the year, to be included in their annual tax return.
Annual ReportThe financial year for the Greenhills Forest Investment is to 31 March. The Annual Investment Reports comprising the requisite Annual Report plus Financial Statements are available 4 months from this balance date. These reports and the investment's governing documents are available from the Companies Office Disclose Register at www.companiesoffice.govt.nz/disclose.
Forest Visits and Informal MeetingsThe last Greenhills Forest Visit and Informal Meeting was held on 10 November 2019 . The next visit is yet to be scheduled. These visits enable investors to view their growing forest and to meet and ask questions of the Forest Enterprises management team.
Download Forest Location Map