Price per Unit splits - Western NC

westernnc · August 14, 2011, 02:06:38 PM

We are landowners Western NC and are working with a logger to log a 100+ arce. We are looking at doing a price per unit contract with the logger. From our research this percentage varies alot. What is fair to expect for both the logger and landowner if done by percentage?
Both for sawlogs and chipperwood/pulp? Sawmill that is being used is under 45minutes round trip from site. From cruise inventory will be around 1/2 sawlogs oak/poplar etc and 1/2 volume chipperwood.
What is fair for hardwood price per unit? % for logger and landowner
Price per Chipperwood/pulp per ton? % /$$ I believe logger is receiving $30 ton for chipper wood.
Any help would be appreciated.

beenthere · August 14, 2011, 03:36:10 PM

Welcome to the forum.

I take it you have a forester involved, in that you have cruise volumes. Does this forester have any suggestions along the lines of your questions? He/she would be closer to knowing your local situation, regards volumes and markets.

westernnc · August 14, 2011, 05:40:56 PM

Our forestery service has not done an offical inventory - just a general cruise as yet. They are not willing to give advise regarding financials. We are hearing 40-50% for hardwood as a base line, and less than $ 5 TON on the chipper wood. We are just trying to find out what is reasonable?

beenthere · August 14, 2011, 06:07:41 PM

I'd suggest hiring a forester to help you out. I think you would be much better in the end, knowing more about the logs leaving your land. Finding things out after the logging is done and the logger is leaving, isn't a good time by many who have had bad experiences going it alone.