Farming News - £12M Scottish Estate offers unparalleled opportunity for environmental restoration and carbon sequestration

£12M Scottish Estate offers unparalleled opportunity for environmental restoration and carbon sequestration

An extraordinary 3,668-acre estate in the Cairngorms National Park has come to market, presenting investors with a unique chance to take part in one of the largest restoration projects in the UK. Known as Far Ralia, the estate already has an approved and fully funded reforestation scheme underway that is estimated to sequester an estimated 346,000 tonnes of carbon dioxide over its lifetime.

 

 Global property consultancy Knight Frank has been appointed by abrdn Property Income Trust Limited, to market the £12 million estate, highlights Far Ralia as "a significant natural capital opportunity" that allows investors to make a major positive environmental impact while earning returns from the burgeoning carbon market and potential payments for ecosystem services.  The planned sale follows the decision by shareholders of abrdn Property Income Trust Limited to enter a managed wind-down of the trust and divest of all its assets, which includes Far Ralia.

 Spanning rugged mountains, peat bogs, and scenic glens, Far Ralia's current biodiversity levels sit just below 52% according to the Biodiversity Intactness Index. However, projections by the Natural History Museum indicate that the regeneration plan will allow biodiversity to recover to a robust 94% over approximately 75 years, surpassing the safe planetary boundary.

 Will Matthews, Head of Farms & Estates at Knight Frank said: "For investors seeking to align profits with sustainability, Far Ralia represents a rare and compelling opportunity for investors to acquire a vast natural asset that can deliver both environmental and financial prospects.

 "The estate offers a turnkey solution for any investor looking to establish a scalable carbon sequestration project. The projections that biodiversity can recover to 94%, highlights the tremendous potential for enhancing the resilience and ecosystem services provided by this landscape."

 The centrepiece is an extensive tree planting program that will see over 2,100 acres replanted with native Scots pine, birch, oak and other species to recreate the former Caledonian Pinewood ecosystem. There is potential to further restore the estate through peatland restoration across nearly 490 acres through drain blocking and revegetation efforts.

 In addition to helping mitigate climate change, the project will enhance wildlife habitats, improve water quality, reduce flood risk, and provide educational opportunities.

 Claire Whitfield, a Partner in Rural Consultancy team at Knight Frank added: "Nearly 1,000,000 trees have now been planted with the remaining planting and validation of the scheme for the Woodland Carbon Code due to be undertaken later this year. There are further prospects for carbon credit generation through the restoration of the peatland. As the trees mature and the biodiversity is restored, Far Ralia will allow its new owners to be part of a unique recovery project to enhance biodiversity, manage water catchments, rebalance ecosystems and sequester carbon and avoid future emissions to help tackle some of society's climate change issues."

 Whitfield concluded: "Increasingly, investors are seeking opportunities to back at-scale UK based climate solutions that can deliver measurable impact and Far Ralia checks all those boxes."

 Fraser Green, Head of Natural Capital Investment, abrdn added: "Over the last 3 years, we have taken an area of land that was previously predominantly used as a grouse moor and progressed a series of substantial environmentally beneficial activities. This includes restoration of native pine and birch woodland through planting and natural regeneration, with a further opportunity to restore degraded peatland, drawing input from the Natural History Museum."