Alternative investment specialist Conservation Resources (CR) has acquired its first investment for its Farmland II fund (CRF II), a 155-acre permanent crop property in California producing kiwi and citrus.
The acquisition strengthens CR’s position as one of the largest institutional investor owners of bearing kiwi acreage in the US, the manager said.
CRF II’s investment strategy focuses on acquiring institutional-quality permanent crop farmland in supply-constrained markets in the US where active asset management can generate returns above passive ownership, the company stated.
The investment manager added that the newly acquired farm will be managed regeneratively “to what CR believes to be the most stringent regenerative agriculture standards in the industry”.
“This acquisition reflects exactly the type of differentiated opportunity we built CRF II to pursue,” said Stavros Koutsantonis, CR’s chief operating officer and head of the firm’s agricultural investment strategies.
“Bearing kiwi acreage in California is scarce, difficult to develop, and increasingly sought after as domestic demand for kiwi grows. Pairing that with citrus gives us multiple value streams within a single asset – and positions Conservation Resources as a meaningful institutional presence in a crop category where we see compelling long-term fundamentals.”
CRF II raised $54m at its first close, supported by existing Conservation Resources investors and new anchor investor Achmea Investment Management, which will act as investment advisor to European institutional investors and other clients investing in the fund. CRF II has been approved by Achmea IM for inclusion on its multi-asset impact platform, Conservation Resources added.
The California kiwi and citrus acquisition follows the final close of the firm’s inaugural fund in August 2024 and builds on the strong deal flow and asset management platform established through that vehicle, CR stated.
CR’s agriculture platform has raised over $275m since 2022 and has been actively investing across its core geographies and commodity markets.
Recent investments include a $20m regenerative-organic integrated farmland investment in the Pacific Northwest, as well as $9m in investments under a partnership with one of the largest cattle producers in the US to implement a regenerative pasture and native grassland programme in the High Plains.
CRF II remains open to qualified investors and expects to make capital calls in 2026 and 2027.
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