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NOTE: AS ALWAYS, WE INCLUDE THE CAVEAT
THAT THE PROJECTIONS IN THIS TABLE,
AND THE EXPLANATORY NOTES, ARE PROVIDED FOR YOU TO BETTER UNDERSTAND THE
PROCESS OF GROWING AND HARVESTING ELITE CLONE TEAK TREES. WHILE WE BELIEVE THESE ESTIMATES
OF GROWTH, COSTS AND YIELDS TO BE FAIR AND REASONABLE, WE CANNOT GUARANTEE
THE FUTURE VALUE OF YOUR TREES, NOR THE LUMBER OR PROCEEDS YOU WILL RECEIVE
FROM THEIR HARVEST. IF YOUR DECISION TO HAVE US PLANT TROPICAL HARDWOOD
TREES FOR YOU IS MOTIVATED BY THE EXPECTATION OF FUTURE PROFITS, WE ENCOURAGE
YOU TO SEEK THE COUNSEL OF AN INDEPENDENT PROFESSIONAL WHO CAN EVALUATE
THE REASONABLENESS AND ACCURACY OF THESE PROJECTIONS.
One of the wonderful benefits
of our excellent farms management team is that Pablo Chacon, one of our
lead forestry engineers, specializes in tree nursery techniques, tree genetics, and hardwood
species establishment.
We made a special request to
Pablo to please do all he could to locate a source of the extremely scarce and
very valuable Cuban Mahogany, one of the finest and most expensive furniture woods in the
world. After a concerted search Pablo was
successful in locating a high quality seed source and we now have a limited
quantity of Cuban Mahogany trees field-planted in our Tropical American Tree Farms
plantations.
For centuries Cuban Mahogany, the "Wood of
Kings", was the premier cabinet wood in the world, sought after by the
royalty of the world and the
wood of choice for such renowned furniture makers of that era as
Chippendale, Hepplewhite and Duncan Phyfe.
Because of its great beauty, Cuban Mahogany
was harvested
nearly out of existence by the beginning of the 20th century, and by the late 1940's
had become essentially
commercially extinct.

Cuban Mahogany
Much more beautiful and 50%
more dense than the common Honduran mahogany, Cuban Mahogany wood today
can be found only in limited quantities and is by far the most expensive
of the tropical hardwoods that we are growing, selling at retail for prices
ranging from $20 to $75 per board foot, and sometimes even sold by the
pound. Teak by comparison, also a precious tropical hardwood, retails for $12 to $20
per board foot.
We are very proud to now grow Cuban Mahogany for discerning tree owners.
An Example of Raleo's Work
In our
Summer 2007 Tree
Owners News we wrote that Raleo had just completed beautiful
products for two luxury yachts, all crafted from the young tropical
hardwoods from our tree farms.
We can now disclose that one of
the two yachts is the 161 foot Lady Michele, currently featured in the
September 2007 issue of Boat International USA.
Boat International writes that
“One of the most eye catching elements on board is the spiral central
stairway that connects the three decks” and acknowledges that the Pillow
wall of three storey stair barrel is by Raleo.

Raleo teak Pillow panels of Lady Michele spiral stair
barrel

Looking down three decks showing Raleo teak Pillow panels
Raleo was also commissioned to
craft the panels and doors of the Sky Lounge in this magnificent yacht.

Lady Michele Sky Lounge with panels and doors by Raleo
Young tropical hardwoods from
our farms are truly beautiful.
Article about Tropical American Tree Farms
A very kind article about
Tropical American Tree Farms has recently been published in the on-line
Woodworkers Journal at
http://www.woodworkersjournal.com/wwj/index.cfm/free.viewArticle/article/1956/sectionId/5..
The best published independent authority
we have found for international large-scale wholesale tropical lumber prices
is the ITTO, or International Tropical Timber Organization, which publishes
frequent Tropical Timber Market Reports with, in their words, “the
aim of improving transparency in the international tropical timber market.”
The January 15, 2008 ITTO Tropical Timber
Market Report shows that the average US Imported Sawnwood Prices
for rough sawn teak lumber is $2,125 per cubic meter, or $5.01 per board foot.
In the same Market
Report, the price reported for first quality teak lumber in the
U.K. market is $4,160 to $4,804 per cubic meter, or $9.81 to $11.33 per board
foot.
Clearly our trees are still
young and their lumber is not yet at its prime, and not every log will yield
first quality lumber, but it is exciting that the actual prices
independently reported for adult teak are significantly higher than
the conservative $3.00 per board foot beginning price for adult teak in
our projections.
Note: To calculate the per board foot
price, divide the cubic meter prices by 424, the number of board feet in
a cubic meter.
Trees as a Tangible Investment
You may enjoy reading in
Trees as a Tangible Investment the
positive observations by top investment professionals in The Economist, Smart Money Magazine,
and the Bloomberg Wealth Manager about
investing in trees for harvest. A few excerpts:
- ". . . timber is a near perfect asset"
- ". . . real prices for timber have steadily risen
for more than 100 years - better performance than any other commodity
. . ."
- "clients inclined toward socially responsible
investing will find even more to like in timber . . .."
We thank you very much for your
interest in Tropical American Tree Farms™.
next page
- Why Plant Tropical Hardwood Trees?
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