I was approached a few weeks ago by a firm out of California who is offering turn-key placement in what is, apparently the largest cannabis manufacturing facility/compound to date.
The facility is 1.8 million square feet and has 7 million gallons of water allocated for use per day. They are looking for 4-6 talented extractors specializing in all areas of extraction and they also have an opening for a few talented cultivators.
I kept pushing for more details because obviously, we want the important info on the terms of the lease, % of sales, etc. They can not give me more information until they close on the building in the next 30 - 60 days. I did keep asking questioning and Iām pretty sure it looks like it will be rent, loan %, and % of sales per month but Iām not 100% on that.
What they told me is theyāre looking for folks who are looking to walk in and start working in a top of the line legal operation, with no money down. You will give them a shopping list of every piece of extraction & lab equipment that you will need to produce at your top-level and they will provide.
As for the agreement between them and myself, there is not one. There will be between me and who is placed in the facility. What do you think about that? I thought it was kinda strange they didnāt want a contract between us but he said if they added a contingency about a placement fee, the bank would not approve the 150M loan in underwriting.
A lot of info here, Iām interested to hear what you all think about this?
No, Each of them would be their own individual business. If you do not know the business side and only the extraction, they will set you up with an administration team.
You would own the business. They will own the facility and you wouldnāt pay anything until you started cash-flowing.
I am just repeating what I was told because I could not get ANY other information until it closes.
Nah they have everything planned out and it is going forward from what I have been told multiple times. They are placing every type of cannabis manufacturer they can that will be supplied by the cultivators and extractors on the premisses.
Their plan is this to be a massive hub for anything that can be produced and distributed, from candy and drinks, topicals and tinctures to shatter and THCa, even everything solventless.
They are placing the cultivators, extractors, and manufactures in the same 1.8M sq ft facility.
It wonāt be one company that has all of the 1.8M sq ft but many companies that will collaborate with each other and be like a self-sustaining cannabis manufacturing and distribution hub.
He straight up told me whoever signed on would be an instant millionaire and that there wasnāt another project like it. Not sure if thatās true or not.
Iām not trying to hype it up more than it is. I want more information myself but I am only presenting exactly what I was told because of the way he framed it seemed like an amazing opportunity for someone if it fit what they were doing.
Iām interested. I managed the project design and buildout for a 800-1000lb/day ethanol extraction system that could evap/condense recycle 75gal/hr back in 2017 before there were turnkey systems to do this! Itās all so much easier now, but I have lots of practical experience with the extracurriculars such as local permitting and the national fire code etc etc.
Are they looking for consultants for their giant project or business partners managing their own extraction company to share revenue with?
Wow that is a big project too, I will shoot you a DM here shortly.
They are basically looking for ātenantsā to fill all of the position of the facility.
It will be the same cannabis complex/facility but each of the companies will be individual businesses owned by their respected owner. Their idea is no one has to do much sourcing as everything needed is already there.
They want the talent and will handle as much or as little as needed from the producer. If they have their own business model then it can be plug and play or, they would be happy to help organize your admin team.
Multiple cultivators in the same location could be a pest disaster without strict rules in place.
I like the idea of distributed cultivation centers for disaster recovery reasons. I would prefer two facilities over one large facility. I look at it like data centers. If one burns down, I still want to be productive. All strains should kept at both facilities.
