PT  - JOURNAL ARTICLE
AU  - Bin Mei
TI  - Transaction-Based Timberland Investment Returns
AID  - 10.3368/le.92.1.187
DP  - 2016 Feb 01
TA  - Land Economics
PG  - 187--201
VI  - 92
IP  - 1
4099  - http://le.uwpress.org/content/92/1/187.short
4100  - http://le.uwpress.org/content/92/1/187.full
SO  - Land Econ2016 Feb 01; 92
AB  - Using property-level data of 1987 quarter 1–2014 quarter 2 provided by the National Council of Real Estate Investment Fiduciaries (NCREIF), transaction-based timberland indices are constructed via the Heckman procedure. Results show that liquidity of private-equity timberland assets varies with business cycles; variance of transaction-based timberland indices is twice as large as that of the appraisal-based NCREIF Timberland Index; the role of private-equity timberland in a mixed portfolio is overstated by using the appraisal-based index; and the average of estimated ask and bid prices well captures the mean price of identified timberland sales, although timberland sellers reserve higher prices than buyers. (JEL C34, Q23)