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Cold Storage Facility

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kzouchio

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Freshman Member
Joined
May 7, 2008
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Appraiser Trainee
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New Jersey
I am appraising a Cold Storage operation in Southern NJ. Does anyone have recent sales of similar properties? There is about 30,000 sq feet of cooler space and it was constructed within the past 10 years. Any sales in the Northeast would help. Thanks.
 

CBBoston

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Jan 27, 2008
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State
Massachusetts
We've done a few of these over the years. I've got some somewhat recent comps but they are mostly over 100,000 sf high bay facilities used for regional distribution. I'm not sure they'd be good comps for one as small as the one you looking at. All cold storage is not all created equal. You say "cold storage" does that include any freezer space? How much is actual cooler space? What temps and is it humidified? Went into a vegtable cooler space once and wished I had a raincoat. Even freezer space often has different temps in different section. Clearance is very important these days like 40 or 50 feet. How many dock high doors? Is it a public storage facilty or a user's space? CoStar is pretty good when it comes to refrigerated space leads. I certainly hope your just the gopher for a GC on this one. These are very specialized properties.
 

kzouchio

Thread Starter
Freshman Member
Joined
May 7, 2008
Professional Status
Appraiser Trainee
State
New Jersey
I am working with a GC and gathering information on this one. It is a user's space. There is 29,750 sf of flex space of which 8000 is in two separate box coolers. There is a 6,750 sf of pressure coolers and 12,750 controlled atmosphere packing area which stays at 50 degrees and meets USDA food safety standards. The rest of the space is office and warehouse space. I don't have the height right now but I will get that information next time I speak with the owner. My guess is its about 30 feet. I'm looking into costar and loopnet and will talk to my GC about them. Any other input, advice or guidance is appreciated.
 

PL1957

Senior Member
Joined
Jul 19, 2004
Professional Status
Certified General Appraiser
State
Illinois
I am working with a GC and gathering information on this one. It is a user's space. There is 29,750 sf of flex space of which 8000 is in two separate box coolers. There is a 6,750 sf of pressure coolers and 12,750 controlled atmosphere packing area which stays at 50 degrees and meets USDA food safety standards. The rest of the space is office and warehouse space. I don't have the height right now but I will get that information next time I speak with the owner. My guess is its about 30 feet. I'm looking into costar and loopnet and will talk to my GC about them. Any other input, advice or guidance is appreciated.
It sounds like what you may have is a "food" building instead of a cold storage building. Is there any processing that occurs in the building? 30,000 sf seems awfully small to be really used for any kind of distribution uses.
 

kzouchio

Thread Starter
Freshman Member
Joined
May 7, 2008
Professional Status
Appraiser Trainee
State
New Jersey
There is vegetable packing and distribution. The owners farm around 1000 acres and use the building for packing and distribution of their produce.
 

CBBoston

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Joined
Jan 27, 2008
Professional Status
General Public
State
Massachusetts
I agree with PL that this sounds more like a food processing facility than cold storage. Buildings that meet USDA food processing standards are pretty much a seperate type. You say "box coolers." What temp can they maintain? Are these free standing coolers. If they are, they're just personal property. Pressure cooler? Do you mean positive pressure for maintaining a "clean" room? 50 degree space is typical for produce storage and handling but not in the realm of cold storage. Thirty foot clearence you guess? That's a pretty basic question that would be asked up front for any type industrial building . Did you inspect this yet?
 

kzouchio

Thread Starter
Freshman Member
Joined
May 7, 2008
Professional Status
Appraiser Trainee
State
New Jersey
I haven't inspected or really started work on this yet. I don't have specifics on the temperatures yet. I only have an old appraisal for lending purposes that didn't do a very good job of laying out the building or the specifics. I'll have to get some more information. Thanks for the suggestions.
 
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