SatisPie Facility in Rochester, New York.
NEW YORK CITY- Mag Capital Partners has acquired a pie manufacturing facility in Rochester, New York. The transaction includes a 20-year leaseback of the 42,700-square-foot facility located at 155 Balta Dr. to current tenant SatisPie.
MAGCP had in-house representation in the transaction, and the seller was represented on behalf of Marcus & Millichap and a third party. The proceeds from the sale will act as excess capital for tenant SatisPie's expansion during the coronavirus pandemic, where some businesses have shuttered altogether.
SatisPie manufactures and distributes private label frozen pie products to national and international retailers. In 2007, the company's founder Michael Pinkowski formed SatisPie after he purchased the Rochester facility from food giant General Mills after it closed its pie operation.
"In the midst of this unprecedented crisis, we believe the sale-leaseback structure will continue to provide a low cost of capital unencumbered by traditional, restrictive lending covenants for companies to weather the current storm and decisively carve a path forward for both organic growth and acquisition," said Andrew Gi, principal of MAGCP, in a prepared statement. "We are grateful to all of our vendors and partners who worked especially hard to bring the transaction to a successful close during such complicated times."
Since Pinkowski's purchase, the plant has undergone upgrades to its facilities, a 35 percent space expansion and a multimillion dollar investment in state-of-the-art manufacturing equipment.
"SatisPie has been operating from its Rochester location for over a decade and continues to reinvest in new equipment and products, and continues to expand to meet demand by some of the largest retailers in the U.S.," said Dax T.S. Mitchell, principal of MAGCP, in a prepared statement.
Want to continue reading?
Become a Free ALM Digital Reader.
Once you are an ALM Digital Member, you’ll receive:
- Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
*May exclude premium content© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
Mariah Brown
Mariah Brown is the New York Bureau Chief and Real Estate Reporter for GlobeSt.com, covering the New York Metro area, Northeast region and national real estate trends. She is responsible for producing multi-media content, including articles, podcasts and video. Before joining the GlobeSt team, she served as a New York Times fellow, reported for the Associated Press in New York and Philadelphia and several other New York City-based outlets.
