Origo investments has secured $52 million in construction financing to build an Mandel cold storage facility in Northern California, the Commercial Observer is able to report for the first time.
X-Caliber rural capital, a subsidiary of X Caliber Capital, provided a $35 million loan US Department of Agriculture‘s (USDA) food supply chain program for the planned Origo cold store Facility in Madera, California Castle Green Finance also provided $17 million in C-PACE (Commercial Property Assessed Clean Energy) funding for the project California Statewide Communities Development Authority PACE program.
“We are pleased to provide long-term funding for a much-needed facility for the robust almond growing industry,” Jordan BlanchardCo-Founder and Managing Director of X-Caliber Rural Capital, said in a statement. “The combination of this USDA food supply chain loan and C-PACE financing provides a competitive lending solution that supports energy efficiency, sustainable job creation and overall economic growth in the Madera community.”
Mike HammondExecutive Managing Director at X-Caliber Capital, initiated the USDA-backed loan. Sal TarsiaManaging Partner at CastleGreen Finance, led the C-PACE portion of the transaction.
Is located 2647 Kondorstrasse Located 25 miles from Fresno, the air-conditioned facility is designed to help California’s almond industry continue to grow. Almonds are harvested within three months and must be refrigerated until ready to be used by processors.
The new facility, scheduled for completion in April 2023, is expected to save Origo Investments a total of $3.7 million over the life of the improvements by reducing electricity, water, and carbon emissions. It is planned to create up to 10 new full-time positions.
“CastleGreen is excited to participate in this project, which will enable C-PACE to double the benefits to the community by helping promote environmental and food supply chain benefits,” Tarsia said in a statement. “The state-of-the-art facility will include features that significantly reduce greenhouse gas emissions, reduce water and energy consumption, and pass significant cost savings on to the borrower.”
Origo Investments declined to comment.
Andrew Coen can be reached at [email protected].