3 Timberland REITs to Consider in 2025

Considering investing in timberland? These timberland REITs can give you the returns without the headache of self-management.

By Kristi Waterworth – Updated Sep 4, 2025 at 4:43 PM | Fact-checked by Frank Bass

Key Points

Timberland REITs manage land for timber, diverging from other REITs that focus on rented buildings.
Investing in these trusts can hedge inflation as rising timber and land prices boost REIT value.
Natural disasters and fluctuating lumber prices pose significant risks to timberland REIT stability.

Timberland real estate investment trusts (REITs) are real estate companies that focus on owning and managing land used to grow timber. That makes them different from other REITs, which mostly concentrate on owning buildings or other facilities rented out to tenants.

Given the difference, investors need to understand how timberland REITs work, the advantages of owning them, and their risks. Here's a closer look at those factors and some timberland REITs to consider.

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View upward at the sun partially hidden behind the tops of timberland trees. — Image source: Getty Images.

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Ticker Information Table
Name and ticker	Market cap	Dividend yield	Industry
Weyerhaeuser (NYSE:WY)	$17.1 billion	3.50%	Specialized REITs
Rayonier (NYSE:RYN)	$3.6 billion	4.67%	Specialized REITs
PotlatchDeltic (NASDAQ:PCH)	$3.3 billion	4.28%	Specialized REITs

Data as of Oct 29, 2025.

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Here's a closer look at these timberland REITs:

1. Weyerhaeuser

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NYSE: WY

Weyerhaeuser

Today's Change

(-1.20%) $-0.28

Current Price

$23.45

Key Data Points

Market Cap

$17B

Day's Range

$23.31 - $23.71

52wk Range

$23.23 - $32.70

Volume

1.8M

Avg Vol

4.2M

Gross Margin

17.25%

Dividend Yield

0.04%

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Weyerhaeuser (WY -1.20%) is, by far, the largest timberland REIT. It owns 10.4 million acres of timberland in the U.S. and manages land in Canada under long-term licenses, giving it access to another 14.1 million acres. The company also operates 34 wood product manufacturing facilities across North America. In addition, it has a real estate, energy, and natural resources business that aims to get the most value out of every acre of land it owns.

Aside from its scale and diversification, another factor that sets Weyerhaeuser apart from other timberland REITs is its dividend policy. The company implemented a new framework in late 2020 to pay a base quarterly dividend, plus a variable supplemental dividend. The company set the base payout to be sustainable at lower commodity prices. Meanwhile, the variable supplemental dividend would see Weyerhaeuser pay out additional cash to shareholders when lumber prices are higher. Overall, it aims to distribute 75% to 80% of its annual funds available for distribution via dividends.

2. Rayonier

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NYSE: RYN

Rayonier

Today's Change

(-1.80%) $-0.42

Current Price

$22.86

Key Data Points

Market Cap

$4B

Day's Range

$22.72 - $23.14

52wk Range

$21.53 - $32.41

Volume

550K

Avg Vol

1.1M

Gross Margin

41.22%

Dividend Yield

0.05%

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Rayonier (RYN -1.80%) operates two core businesses: forest resources and real estate. The company holds 2.5 million acres of timberland across the Pacific Northwest, the U.S. South, and New Zealand. In addition, it maximizes the value of its real estate by selling select timberlands for different uses.

Rayonier is the purest play on timber. The REIT generated approximately 77% of its earnings before interest, taxes, depreciation, and amortization (EBITDA) from its timber operations in 2024 and almost 79% in 2023. The remaining EBITDA comes from its real estate operations. Given its leverage to timber, Rayonier should benefit more from higher lumber prices.

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3. PotlatchDeltic Corporation

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NASDAQ: PCH

PotlatchDeltic

Today's Change

(-1.33%) $-0.56

Current Price

$41.50

Key Data Points

Market Cap

$3B

Day's Range

$41.15 - $41.88

52wk Range

$36.82 - $48.12

Volume

148K

Avg Vol

614K

Gross Margin

13.79%

Dividend Yield

0.04%

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PotlatchDeltic (PCH -1.33%) is a diversified timberland company. It holds 2.1 million acres of timberland across Alabama, Arkansas, Georgia, Idaho, Louisiana, Mississippi, and South Carolina. In addition, it operates six sawmills, an industrial-grade plywood mill, a residential and commercial real estate development business, and a rural timberland sales program.

PotlatchDeltic's diversified operations help generate a relatively stable cash flow, which has supported sustainable dividend growth over the years. Meanwhile, as the company generates incremental cash flow from higher lumber prices, it allocates that money toward higher shareholder returns (share repurchases and special dividends) and growth investments, such as acquisitions. For example, higher lumber prices in 2021 enabled the company to pay a significant special dividend.

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How to invest in timberland REITs

Open your brokerage app: Log in to your brokerage account where you handle your investments.
Search for the stock: Enter the ticker or company name into the search bar to bring up the stock's trading page.
Decide how many shares to buy: Consider your investment goals and how much of your portfolio you want to allocate to this stock.
Select order type: Choose between a market order to buy at the current price or a limit order to specify the maximum price you're willing to pay.
Submit your order: Confirm the details and submit your buy order.
Review your purchase: Check your portfolio to ensure your order was filled as expected and adjust your investment strategy accordingly.

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About the Author

Kristi Waterworth has been a contributing real estate and financial expert at The Motley Fool, covering real estate, investing, and personal finance topics, since 2020. Kristi has been interviewed by various TV media outlets and podcasts for her real estate investing expertise – from residential real estate to digital real estate and everything in between. Kristi’s journalist career spans over 25 years, and she has written about real estate investing, homeownership, and home construction specifically for the last decade. She was also previously a licensed Realtor and general building contractor before the Great Recession and housing market collapse. She holds a bachelor’s degree in American history from Columbia College in Missouri.

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Kristi Waterworth has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.