Tables for poles, biomass and land

Your projected Robinia Poles return after 10 years:

Plot Size	Number of Trees	Total Investment	Price increase 2% per year	Price increase 4% per year	Price increase 6% per year
½ Hectare¹	3,000	€ 14,000	€ 29,159	€ 35,407	€ 42,837
1 Hectare¹	6,000	€ 27,000	€ 58,318	€ 70,814	€ 85,674
2 Hectare	12,000	€ 54,000	€ 116,636	€ 141,628	€ 171,348

1) The ½ and 1 hectares are leased, not owned.

Over the last eight years, the prices of Robinia poles, have steadily increased about 12% per year.

Since you can only use the lower four to six metres of your trees to make poles, the remainder of your trees can be processed and sold as biomass (renewable energy). Current price is about € 88 per ton. Harvesting costs for biomass are € 400 per hectare, these costs have already been deducted from the returns.

Your projected Robinia biomass return after 10 years:

Plot Size

Biomass Tons

Price increase 4% per year

Price increase 6% per year

Price increase 10% per year

½ Hectare¹ 12,5 € 1,528 € 1,862 € 2,650

1 Hectare¹ 25 € 3,056 € 3,725 € 5,300

2 Hectare 50 € 6,113 € 7,450 €10,600

1) The ½ and 1 hectares are leased, not owned

The price of biomass (renewable energy) has increased 50% over the last five years. (source: EnergieAgentur.NRW)

Additional revenue comes from the sale of your land. Current price is € 7,500 per hectare, for land that is suitable to grow Robinia.

Your projected return for your land after 10 years:

Plot Size	Purchase Price	Price increase 4% per year	Price increase 6% per year	Price increase 8% per year
2 Hectare	€ 15,000	€ 22,204	€ 26,863	€ 32,384

The prices of land in eastern Germany have increased 50 to 100% over the last 10 years. The prices of forest land have increased 100% over the last 10 years. (source: BVVG)