Hackman JV Scoops Up 1.6 MSF Campbell’s Soup Manufacturing Facility in Sacramento
- Dec 12, 2013
Hackman Capital Partners L.L.C., in a joint venture with Rabin Worldwide and Capital Recovery Group, has acquired the 1.6 million-square-foot industrial building in Sacramento that had served as Campbell Soup Co.’s manufacturing facility until last summer. Hackman and partners purchased the highly-improved property and equipment assets from Campbell’s in what one can only hope was a tasty deal for all involved.
Hackman Capital and partners’ goals are clear. “We look forward to transforming this from a 1940s-era, single-tenant industrial building to a viable multi-tenant facility over the next 18 to 24 months,” Ryan Smith, vice president of asset management, Hackman Capital, told Commercial Property Executive.
The Campbell’s asset has ample space, plenty of land, 129 acres to be exact, and it already has a tenant. Silgan Can Manufacturing, a tenant at the property for a decade, entered into a new lease with Hackman for 200,000 square feet in the nerve center of the sprawling site. The Campbell’s property is also permitted and licensed for air permits, a solar farm and it has its own water wells with the ability to process a tremendous amount of water annually. “We have the permits to dispose of 2 billion gallons of water in the form of sewer credits with the county; that cannot be replicated in the current market place,” Smith added.
It’s not just the big-water users that will be targeted for occupancy. The site offers roughly 400,000 square feet of plug-and-play manufacturing and distribution space. The property has already garnered interest from numerous potential users and Hackman is presently in talks with a couple of them. Additionally, build-to-suit options are not out of the question.
However, from Hackman’s perspective and that of Sacramento County officials’, there’s more to this sizeable real estate transaction, orchestrated by commercial real estate services firm CBRE Group on behalf of the seller, than meets the eye. “One of the nice spinoffs of our ability to lease the property is to bring jobs to the area,” said Smith. “With nearly 2 million square feet and 130 acres of industrial land and manufacturing facilities, we have the ability to bring in a lot of jobs. So our goal is to bring people to the site and lease and sale certain portions of the land at prices that are competitive relative to the rest of the market. And we hope that this will not be known as the former Campbell’s Soup facility for long.”