In the dynamic landscape of land ownership, a new player has entered the field, bringing with it a wave of change and opportunity. Green investments are on the rise, transforming how we perceive the value of land.
As we navigate through 2023, significant purchases and commitments to environmental causes are reshaping the traditional metrics of land valuation.
In this article, we explore the growing trend of environmental consciousness and its impact on the worth of your land.
Notable purchases of green land ownership
In early February 2023, Oxygen Conservation made headlines by acquiring over 11,000 acres of the Buccleuch Estate Langholm Moor in Dumfries and Galloway. This acquisition marks a significant stride towards delivering positive environmental and social impacts.
The move reflects a broader trend wherein organisations are actively seeking land for purposes beyond conventional agricultural or commercial use.
Similarly, Heal, a rewilding charity, demonstrated its commitment to environmental causes by investing £5.25 million in purchasing land in Somerset for a new nature reserve. This reflects a growing recognition of the value that rewilding can bring, not just in terms of biodiversity but also as a potential asset for the community.
In another noteworthy development, Aviva, an insurer and pension provider, demonstrated its commitment to environmental conservation by donating a substantial £38 million to the Wildlife Trust.
This donation aimed at supporting the UK’s temperature rainforest expansion resulted in the re-establishment of 5,200 acres of critical habitat.
Such investments not only contribute to positive environmental chang, however, also highlight a shift in the perception of land as a tool for sustainable growth.
Land valuation beyond tradition
As the demand for land with potential for rewilding, carbon sequestration, biodiversity net gain, and other environmental and social purposes continues to grow, the valuation of such land is experiencing a significant shift.
Land that can contribute to positive environmental outcomes is now seen as a valuable asset, beyond the conventional metrics of productivity and location.
However, those seeking land for environmental purposes are becoming increasingly discerning. Complications, such as third-party-held shooting rights, can act as deterrents for potential purchasers.
The desire for seamless execution of environmental initiatives drives these stakeholders away from lands where conflicts and legal complexities may arise.
UK Government’s environmental improvement plan
The recent release of the Five Year Environmental Improvement Plan by the UK Government has introduced a new dimension to land ownership.
The plan, aiming for ambitious environmental targets, includes the creation of 25 new or expanded National Nature Reserves. This initiative is projected to contribute to half a million hectares of wildlife habitats, further increasing the demand for land with ecological potential.
Another significant aspect of the plan is the commitment to increasing the woodland share by 5% by 2050.
This pledge not only aligns with broader environmental goal, however, also presents an opportunity for landowners to contribute to the nation’s green agenda while potentially increasing the value of their land.
Conclusion
In conclusion, the landscape of land ownership is transforming, and the value of land is now sometimes intricately tied to its potential positive environmental impact.
The notable purchases, coupled with the UK Government’s Environmental Improvement Plan, underscore the increasing importance of environmental considerations in land valuation.
Landowners stand at the forefront of this change, with the potential to not only enhance the value of their land, however, also contribute meaningfully to environmental conservation.
As the green wave continues to rise, those who recognise and adapt to this shift may find themselves not only as stewards of the land but as contributors to a more sustainable and ecologically conscious future too.
This article is purely intended as a helpful guide and not professional advice. Potential buyers should consult an independent professional prior to purchasing any land, property, or investment vehicle.