EIP Exceeds Fund Target – Closes on $180.7 Million

June 19, 2012

Firm Provides Attractive Investment Returns and Significant Conservation Outcomes

Baltimore, MD – June 19, 2012 – Ecosystem Investment Partners (“EIP”), a leading private equity firm focused on capitalizing on the Payments for Ecosystem Services (“PES”) markets surrounding wetland, stream and endangered species habitat mitigation throughout the U.S., today announced the final closing of its oversubscribed fund, Ecosystem Investment Partners II, L.P. (“EIP II”).  With $180.7 million of equity capital commitments, EIP II exceeded its initial $150 million target.  Monument Group, Inc. served as exclusive placement agent.

EIP II closed with a strong and diversified investor base, including foundations and endowments, significant family offices and high net worth individuals and several major U.S. and European pension plans.

“We are extremely pleased to be partnering with such an esteemed group of limited partners and are excited at the prospects of providing superior returns, while also being an integral part of restoring and conserving critical resources throughout the U.S.,” said Fred Danforth, Managing Partner of EIP.

Headquartered in Baltimore, Maryland, Ecosystem Investment Partners was established in 2006 to capitalize on the PES markets throughout the U.S. In addition to wetland, stream and endangered species habitat mitigation, additional future PES markets may include water quality trading, water quantity transactions and terrestrial carbon sequestration.

To implement its strategy, EIP acquires, restores, sustainably manages and ultimately divests large rural properties with significant conservation value.  EIP has long-standing relationships with the key government natural resource agencies and unique relationships with the major conservation Non-Governmental Organizations, which provide it with distinctive knowledge of the PES markets and access to some of the most desirable and ecologically significant properties in the U.S.

Nick Dilks, Managing Partner at EIP, noted, “strategic relationships have been critically important in successfully sourcing, acquiring and managing the properties we have acquired previously. With this fund, we look forward to expanding these relationships as we continue our investing activity across the country.”

EIP II expects to strategically acquire 10 to 15 rural properties across the U.S. that possess unique characteristics that allow for the generation of significant cash flow streams, predominately from the sale of mitigation credits. EIP targets properties between $5 and $20 million in acquisition price (no leverage utilized), 1,000 to 10,000 acres in size and deemed conservation priorities by major conservation organizations or state/federal natural resource agencies.

Alicia Cooney, Managing Director at Monument Group, remarked, “Monument Group was privileged to work on such an assignment based on EIP’s differentiated strategy and distinctive return attributes.” She further commented that, “the success of this fundraise is a testament to the experience of the management team, which has deep and broad experience in rural real estate investing, private equity fund management, conservation finance, environmental engineering, ecological restoration and environmental policy.”

Monument Group, Inc. served as placement agent for EIP II, while Choate Hall & Stewart LLP provided fund formation counsel.

For additional information on EIP, visit the firm’s website at www.ecosystempartners.com.

For Further Information:

Fred Danforth, Managing Partner (fred@ecosystempartners.com);
Nick Dilks, Managing Partner (nick@ecosystempartners.com)

Ecosystem Investment Partners
(443) 921-9441

Please click here for a downloadable PDF of this press release.

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