Is Timber the Highest and Best Economic Use of Vermont Forest Properties?

Abstract

Abstract The Vermont land boom of 1965-1973 saw buyers viewing forest properties as having a higher economic use than timber production. A series of developments after 1973 caused a shifting to the lower valued use of timber production. These included high interest rates, sky-rocketing property taxes, and Internal Revenue Service regulations that made depreciable real estate a far more attractive investment. This resulted in a large volume of Vermont timberland being on the market at reduced prices, producing capital losses for some earlier buyers, but creating investment opportunities today. North. J. Appl. For. 4:186-189, Dec. 1987.