Nexus Real Estate Group

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Optimizing For Cold Storage And Food Manufacturing

Efficiency is often what industrial real estate users seek out in their facilities. However, efficiency isn't something that happens by chance. Instead, it's often the result of careful planning and collaboration.

You need to consider special considerations if your cold storage or food/beverage production requirements. Your space will require you to think strategically and plan with more intent than other businesses. For example, you might need to plan for more workers per shift and higher energy consumption.

Your requirements may be so complex that not all buildings will be able to accommodate them. For example, is it possible to transform a pretzel factory into a cold storage warehouse? Possibly. We'll explore the unique challenges you might face when optimizing your cold storage or food/beverage business operations.

When leasing or buying a new facility, there are some critical questions that cold storage and food production companies must consider:

  • What is building programming?

  • Is it possible to convert an existing property into a condominium?

  • How can you account for an increase in worker density?

  • What can you do to plan for an increase in energy supply and distribution?

  • What are the outdoor storage considerations

  • Is your budget sufficient to cover a mezzanine

  • Are you looking for water supply, clarifiers, or water discharge requirements?

  • What are the advantages of cross-dock orientation?

What Is Building Programming?

Building/Space programming is the process of determining your company's specific space requirements in a warehouse setting. This can be a complicated process for any company and usually requires the involvement of an architect.

The programming process in the cold storage and food/beverage industry is more complex. It can take many years for a project, from vision to active construction.

There are two options for programming in the cold storage and food/beverage industry. One option is the "box-in-box" system. This is where an internal climate-controlled system can be installed in a smaller building shell. You can also use the existing walls and roof of the warehouse to insulate, thus transforming it into a part of the refrigeration system.

Working closely with an architect will allow you to choose the best building programming option for your company.

Can You Convert An Existing Property?

It can be difficult to convert an industrial structure that one food producer previously used into a facility for another food producer. This is because each company has its own manufacturing methods and processes. For example, making pretzels is very different from manufacturing Greek yogurt.

Finding an existing building with the right amount of space, cooler temperatures, freezer spaces, floor drains,, or clarifiers can be difficult. Common conversion problems include the height of ceilings, room adjacencies, and flow rates, as well as thermal or refrigerator efficiency. In addition, it can be costly to take out all existing improvements and build a new one.

In many U.S. markets, adaptive reuse is not a cost-efficient option. This is often true for higher-priced areas, as more expenses are associated with developing in Los Angeles and New York City. However, it is easier to buy land and construct a custom facility in many other areas than to adapt an existing property.

What Can You Do To Account For The Increased Worker Density?

An increase in the number and quality of food production workers and the number of shifts they work in can create additional warehouse restrooms. As a result, these restrooms will have higher stall counts and require other parking spaces.

To balance air pressures between production areas, special air supply requirements may be required.

What Can You Do To Plan For Increased Energy Supply And Distribution?

Food production requires energy availability and utilities. These plants often require machines to mix, transport, package, and convey their products. In addition, food and beverage production requires coolers and freezer space, conveyors, blast freezers, and spiral freezers. These elements require more energy than traditional dry systems. This energy must be distributed throughout the warehouse through additional subpanels and transformers, switches, and backup generators.

Additional refrigeration units are required for cold storage. There are many types of systems that you should consider. For a long time, ammonia systems were standard. However, freon systems are more prevalent in smaller facilities of less than 125,000 square feet.

Check whether utilities are regulated and if so, consult a qualified consultant for advice on the best system to use for your new warehouse.

What Are The Outdoor Storage Considerations

Food production companies often need to store ingredients like sugar, oil, and flour outside their buildings. These silos and tanks require concrete footings.

Although these silos do not require screening or enclosures, they will need to be coring through the tilt-wall panel to allow pipes to connect to the building. All of these installations must be removed and replaced when the lease ends.

Does Your Budget Allow For A Mezzanine?

Some food production warehouses use steel platforms or mezzanines to create a second floor. This second story can be used as office space or welfare space above low ceiling process areas.

It is important to remember that mezzanines are expensive to set up and to remove. Although they can add value to warehouses, it is essential to understand the potential impact on your lease and your restoration responsibilities after the lease ends.

Are You Looking for Water Supply, Clarifiers, And Water Discharge Needs Checks?

Water pressure and the size or distribution of the municipal water line will affect the warehouse's water supply. In addition, you might require more water depending on what type of food production facility your are operating.

Also, liquid waste may require different types and sizes of clarifiers or separators. These are basically screens with different sizes that remove waste particles from the water supply. Some cities might need to approve clarifiers and credit them. Only a limited amount of waste can be processed at once.

Water discharge will be an important issue before you sign any agreement to lease, purchase, or lease a new industrial property for food/beverage production/cold storage. Therefore, your current and future wastewater requirements should be considered in order to ensure your business grows in an area that can handle them.

Many large corporations have spent significant resources on industrial property development, only to find out late in negotiations that the location is not suitable for their discharge requirements.

What Are The Benefits Of Cross-Dock Orientation

Many food/beverage and cold storage operations require temperature-controlled dock areas. To keep pests and dust out, docks must be sealed off from the outside world with motorized roll-up or screen doors, shelters, screens, and seals.

A cross-dock orientation allows raw materials to enter the building while finished goods can leave from the dock. This is a benefit for most food producers. This orientation is common in older buildings.