Land Reclamation & Remediation (LRR) Strategy Memo
Yellowstone Regrowth following a Wildfire in 1988
This memo aims to distill our interest in and understanding of land reclamation and remediation.
Overview of Land Reclamation
Land reclamation and remediation (LRR) refers to any product or service that assists in returning land to its functional, sustainable, and natural pre-disturbed state. This often includes reshaping the land, improving soil quality, and reseeding vegetation to stabilize the area and prevent erosion.
Many rapidly evolving subsectors include stormwater management, wildfire management, conservation, and land restoration after ground disturbance or construction. Together, these efforts aim to mitigate the negative impact on communities and environmental damage, promote biodiversity, and create productive uses for previously disturbed land.
Here are a few real-world examples:
Post-Mining Restoration: Stabilizing terrain, rebuilding topsoil, and planting vegetation.
Erosion Control: Using engineered materials and vegetation to prevent soil loss.
Wildfire Remediation: Rehabilitating burned landscapes through reseeding and erosion management.
Land is the common factor in these real-world examples, so we are interested in the market and believe we are uniquely positioned to invest in it.
Market Segments
We have broken LRR into five categories, summing to an addressable market of $27.34 billion. They are as follows: Site Remediation, Wildfire Remediation, Stormwater Management, Environmental Emergency Response, and Erosion Control.
The table below details the relative market share, size, historical growth rate, and drivers.
LRR Industry Segments & Analysis, Jan 2025
Site Remediation services are the largest category and include removing harmful contaminants/pollutants from land and cleaning mediums such as water, soil, sediment, or air (IBIS). It does not address proactive land management practices, like erosion control and native revegetation, for adapting to environmental changes.
Site Remediation services have experienced consistent growth, driven by rising commodity prices, increased industrial production, and heightened public awareness of environmental issues. Government spending, which has recently supported the industry positively, can influence this segment. We view site remediation as a stable component of our LRR strategy.
Stormwater Management is a rapidly growing sector dedicated to effectively managing and controlling stormwater runoff. This market includes products and services to mitigate stormwater's negative environmental and infrastructure impacts.
Our focus is on essential stormwater management services, including planning, design, maintenance, and monitoring, to ensure the long-term effectiveness of these systems.
Various factors drive the market. Urbanization, stricter environmental regulations, and growing awareness of the importance of sustainable water management practices are some of the key drivers.
The market for Wildfire Remediation is expanding. Drought conditions and past land management practices have led to more frequent and severe wildfires, increasing the demand for effective wildfire protection systems that reduce risks to lives, property, and the environment.
Many governments are adopting stricter regulations related to land management, fire safety, and environmental protection. Increased funding for firefighting and fire prevention initiatives can increase demand for advanced wildfire protection systems. The federal government spends $3.2 billion yearly on fire suppression, and the insurance industry also supports investments in this area.
Environmental Emergency Response Services mainly includes cleanup services after a disaster, including emergency cleanup services like hurricanes, earthquakes, floods, and industrial accidents. (IBIS)
Other Services can include the cleanup of leaking underground storage tanks, hazardous waste collection, hazardous material transportation services, and containment and monitoring contamination (IBIS)
A significant part of the environmental remediation and cleanup industry is not particularly engaging. This less interesting portion of the industry involves projects related to chemical and oil spills, in-situ contamination remediation and monitoring, and the cleanup of other hazardous materials. Major public companies like Tetra Tech, AECOM, and Jacobs dominate this market and are expected to continue performing well.
As stated earlier, we are focused on land. The growing land remediation for energy development projects, economic development remediation, and pro/reactive land management practices are core to our strategy.
Supply Chain Overview
Land reclamation encompasses a broad range of water management, soil management, vegetation management, and land remediation products and services.
With help from the International Erosion Control Association (IECA), we understand that a land reclamation project, product, and service follows the lifecycle below:
Land Reclamation & Remediation Supply Chain
Assessment & Planning: Environmental consulting and GIS analytics.
Materials Supply and Preparation: Erosion control products, seeds, and soil suppliers.
Restoration Services: Contractors specializing in erosion control and reseeding.
Equipment Support: Providers of hydroseeding machines and monitoring software systems.
Monitoring: Inspect and check against compliance monitoring requirements and execute preventative maintenance projects.
After reviewing a reclamation project lifecycle, we are best suited to invest in the following areas:
Assessment and planning
Materials supply and preparation
Monitoring and long-term management
Investment Thesis
Investing in land reclamation is a bet on increased natural resource development, weather-related impacts on land, and growing housing development. Large-acreage land development projects related to energy, housing, and intensified weather disturbances will drive an increasing addressable market over the next 5 - 10 years.
We see significant opportunities in businesses that provide erosion control, wildfire remediation, reseeding, and other land management services. These services are critical for ensuring compliance, mitigating environmental damage, and restoring land for productive use.
Businesses in this space are growing and have defensible demand due to:
Continued development of land for energy, mining, and housing.
Rising severity of natural disasters.
Communities are placing greater emphasis on environmentally conscious development.
Compliance requirements like Storm-Water-Pollution-Prevention-Plans (SWPPPs) and other reporting requirements.
Further, we have observed businesses in our target market realize attractive earnings profiles likely due to the following:
Strong historical market growth and demand for product or service
Local expertise and certifications protecting against broad base competition
Regulatory requirements
The industry’s growth opportunities and alignment with our experiences make it a compelling sector.
Vision for the Future
We believe at LFC that Land Remediation aligns with our broader vision of doing business with companies that are both incredibly interesting and that align with our mission of investing in agribusiness, food supply, and environmental enterprises.
By supporting businesses in this sector, we aim to accomplish our mission while contributing to critical environmental objectives like soil conservation, biodiversity restoration, and climate resilience.
This aligns profitability with purpose, and we are excited to continue to meet forward-thinking businesses who are driving this purpose every day.
Conclusion
We’re excited about the opportunities in land reclamation and look forward to expanding our understanding of this dynamic industry. If you share our enthusiasm, have insights, or want to discuss further, please reach out to connect@leadfoodcapital.com —we’d love to hear your thoughts!
References
Environmental Remediation Market Size, Share Report, 2030. (2023). Grandviewresearch.com. https://www.grandviewresearch.com/industry-analysis/environmental-remediation-market-report
Global Wildfire Protection System Market Size By Component Type, By Technology, By Application, By Geographic Scope And Forecast. (2024, December 4). Verified Market Research. https://www.verifiedmarketresearch.com/product/wildfire-protection-system-market/
IBIS World. (2015a). Housing Developers in the US - Market Research Report (2015-2030). Ibisworld.com. https://www.ibisworld.com/united-states/industry/housing-developers/2014/
IBIS World. (2015b). Nondestructive Testing Services in the US - Market Research Report (2015-2030). Ibisworld.com. https://www.ibisworld.com/united-states/industry/nondestructive-testing-services/5540/
IBIS World. (2015c). Oil & Gas Field Services in the US - Market Research Report (2015-2030). Ibisworld.com. https://www.ibisworld.com/united-states/industry/oil-gas-field-services/141/
IBIS World. (2015d). Remediation & Environmental Cleanup Services in the US - Market Research Report (2015-2030). Ibisworld.com. https://www.ibisworld.com/united-states/industry/remediation-environmental-cleanup-services/1517/
IBIS World. (2015e). Solar Farm Developers in the US - Market Research Report (2015-2030). Ibisworld.com. https://www.ibisworld.com/united-states/industry/solar-farm-developers/4493/
IBISWorld. (2015). Natural Disaster & Emergency Relief Services in the US - Market Research Report (2015-2030). Ibisworld.com https://www.ibisworld.com/united-states/industry/natural-disaster-emergency-relief-services/1614/
Market. (2023). US Erosion Control Market Size, Share & Trends Report 2032. Marketresearchfuture.com. https://www.marketresearchfuture.com/reports/us-erosion-control-market-22236
North America Environmental Remediation Market Size & Outlook, 2030. (2025, January 28). https://www.grandviewresearch.com/horizon/outlook/environmental-remediation-market/north-america
US stormwater management market size, Share report 2024-2032. US Stormwater Management Market Size, Share Report 2024-2032. (2023, June). https://www.snsinsider.com/reports/stormwater-management-market-3051
USDA ERS - A Primer on Land Use in the United States. (2017, December 4). Www.ers.usda.gov. https://www.ers.usda.gov/amber-waves/2017/december/a-primer-on-land-use-in-the-united-states
