Global Food Properties (GFP) gave a presentation last Thursday morning with leadership of one of the country’s leading construction companies. Of mutual interest is the viability of speculative construction geared towards food manufacturing, as well as the facilities that evolve the industry, its real estate, and factors of value.

GFP’s thought-leading thesis is that functional obsolescence, food-safety concerns, or both, are tilting occupiers away from second-generation food plants, and towards greenfield construction, speculative buildings, or non-food facilities compatible for food re-use.

Global Food Properties increasingly believes this trend will prevail in the years to come; the obvious and inevitable consequence for Sellers of “used” food production plants will be further price discounting, protracted marketing horizon, and the necessity of bundling equipment and other assets with the plant sale.