THE OPPORTUNITY

BP needed to divest all assets associated with the solar panel business but had a limited number of purchasers due to:

  • Location in Frederick, MD

  • Manufacturing facility

  • Difficult site access

  • Zoning category dictating industrial/office uses

  • Potential environmental issues

 

THE ASSETS

  • 23 acres of land

  • 60,000-square-foot high bay (empty) warehouse

  • 130,000-square-foot slab, 65,000-square-foot basement

  • Water rights: 

    • 180,000 gallons of water/day supply

    • 150,000 gallons of water/day discharge

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THE ACQUISITION

  • Purchased on June 30, 2012, for $3 million

  • Capitalized at $5.5 million:

    • $3 million mortgage

    • $2.5 million of equity

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SITE IMPROVEMENTS

  • Demolished existing factory

  • Created preliminary subdivision plan

  • Rebranded site as Vantage 70

THE SALE

AstraZeneca purchased the property for $13.8 million. BCC retired existing debt and returned 100% of equity investment, including an 8% preferred return.