Expert Interview: How Forest Management Impacts Property Value

In this expert interview, Acres’ Rush Evans speaks with Michael Marter, Managing Appraisal Partner and Senior Forester at DDK Forestry & Real Estate, to explore the critical role forest management plays in property value.

With more than two decades of experience in consulting forestry, Michael offers valuable insights into how tools like Acres.com streamline operations and enhance client relationships.

6 Key Takeaways

1. Location is a Critical Factor in Forestry Property Valuation 

(02:32) - Michael: “Location, location, location, right? [...] Distance to mill is a huge factor in looking at a timber asset. In addition to that, historically, site index was the next thing– like how productive can the dirt be? How much wood can we grow? But because of constraints in the overall market, seasonality of marketing has become a big deal. It's important to have wood that you can access more months out of the year, increase loggability.”

Takeaway: Proximity to mills and seasonal accessibility now rival traditional metrics like soil productivity. The importance of location and seasonality of marketing is now a big influencer in timber assets and property values. 

2. Main Ecological Health Metrics in Property Valuations

(03:54) - Michael: “Site index is kind of a base. It’s kind of an industry standard as far as productivity […] a lot of other metrics are just visual things we see in the field, our goal is to keep the forest growing vigorously and that’s gonna help prevent it from being susceptible to pests and disease. Obviously, sound management is key in keeping the forest healthy.”

Takeaway: Site index, aesthetics, unique features, wildlife presence, and overall ecological health all play a major role in determining a forestry property's value. While technology can help, much of this requires field work to truly see and understand.

3. Recreational Influence on Valuation Factors

(06:30) - Michael: “You might have a 40 acre tract of woods in you know [in] north Arkansas, the Ozarks, that's wooded. But the fact is, that recreational value is probably worth more than the trees ever will be. That's something you have to kind of balance is hey, if we remove this wood from this property, what are we gonna be left with and are we gonna impact the value of the property negatively in the future?”

Takeaway: In scenic regions like the Ozarks, known for hiking and mountain biking, recreational value may outpace timber worth. Foresters must weigh the tradeoffs of harvesting timber versus preserving recreational appeal, which can yield greater returns through hunting, hiking, or ecotourism.

4. Carbon Sequestration

(07:00) - Michael: “I’m sure you’ve heard of carbon sequestration and all these large companies, whether it's Subaru or Netflix, saying they want to be carbon neutral at some point in the future. A lot of that's being done with carbon offsets and forestry is a big player in that. Currently, those revenue streams aren't on par with timber revenue yet, but they're certainly moving in that direction.”

Takeaway: As major companies commit to carbon neutral futures, forest-based carbon offsets are gaining economic momentum. Though they are not yet as profitable as timber, this signals a future where sustainability and financial returns increasingly go hand in hand.

5. Syncing Office Work With Field Work

(08:24) - Michael: “We have this very robust geospatial system and a very robust amount of data […] so  being able to turn on that sold layer and load my subject and then associate sales, use the filters to go in and refine those down to attributes that are similar to my subject, and then be able to create those reports, then use in the field for those property inspections. [...] So we can then take that into the field and make sure the data lines up.”

Takeaway: Acres empowers professionals to analyze land characteristics and create reports in the field. Its data filters, geospatial layers, and on-the-go tools help ensure decisions in the woods align with desktop research.

6. Leveraging Data for Client Confidence

(09:46) - Michael: “The sold land feature is probably the most used feature that I have. Being able to generate a report and pull, almost seamlessly, all the soils data, the site index, the historical imagery. That report, in the click of a button, I can pull a lot of data down really quickly. 

Say I get a call from a new landowner. I can pull that property up and within minutes know quite a bit about the property and be able to speak more intelligently about how we might be able to serve them and their forest going forward.”

Takeaway: Acres enables fast, informed responses to landowner inquiries. With just a few clicks, you can easily share data with clients via reports and direct links.

Final Thoughts

The land market is always changing, and the clearest way to stay ahead is with accurate, reliable data. With Acres, you can understand property values, spot new opportunities, and make confident decisions every step of the way.

Connect with our team to see how you can leverage land data more effectively, serve clients with greater confidence, and stay ahead in a fast-changing market.

Big thank you to Michael for joining the conversation!

Check out DDK Forestry & Real Estate for more information on managing forestland and recreational properties.