Generally speaking, the larger a plantation is, the greater the risk. When afforestation is smaller and spread over several properties, the risk is mitigated – this especially holds true with regard to pests, forest fires or storms. In addition, smaller afforestation areas can be better integrated into preexisting local conditions; villages and local social life remain undamaged. Suppliers who rely on very large plantations often invest in monocultures with exotic species that are very vulnerable – as an investor, you should look for diversity and native species that minimize the risk of failure.
At BaumInvest, our properties are spread throughout northern Costa Rica and split into five main locations. All of our fincas are distributed throughout this region, blending in with local conditions. This distribution also provides protection from natural disasters, which makes our focus on native species in mixed stands an important contribution to risk management.