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The point has come in this series where we are finally getting into the meat and potatoes of what “Farm to Frozen” is all about. In the first two articles of the series, we established why cold storage is important and why it is hard to come by. Now we’ll begin exploring different methodologies for food manufacturers, processors and distributors (“occupiers”) to use in securing the much needed refrigerated and cold storage space their businesses need.
At the most basic level, occupiers can own or lease a building. From there, we can expand into further options. On the ownership side, an occupier can own an existing building or can finance and construct a new building through development. On the leasing side, occupiers can lease someone else’s existing building or lease a developer’s new building. One further step away from leasing is that an occupier has the added advantage of having the option to be a customer of a public refrigerated warehouse (PRW). That PRW can either be a tenant in a landlord’s building, or can be the landlord/owner themselves. Each option has its own set of advantages and challenges.