FINALIST — Best new development

When Missouri began soliciting license applications in 2018 to grow and manufacture cannabis, the budgets that applicants allocated for building production facilities were based on the best available information at that time.

Then the pandemic hit, quickly driving construction and material costs higher and making applicants’ financial estimates for buildings obsolete. Differences in state and federal cannabis banking laws also made traditional construction lending more difficult.

In early 2020, all these challenges were facing St. Louis-based Proper Brands, which had won state licenses to grow and manufacture cannabis.

While the owners needed a new facility to house operations, they realized they would have to work within their original construction budget. Kadean Construction utilized its in-house virtual design and construction (VDC) capabilities and a high-level of client collaboration to navigate the rising costs and schedule adjustments.

As a result, the new $20 million facility at 2609 Rock Hill Industrial Court was completed in January 2021 – within the original budget and timeline. It also created 80 full-time and 20 part-time positions.

The 58,000-square-foot cultivation space features a series of flower and vegetative rooms that maximize plant counts through vertical farming, which allows for a smaller footprint building. The manufacturing portion of the building features a full commercial kitchen with high-end equipment and finishes to deliver top-notch edibles to the medical marijuana industry.

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About this project

Owner/developer: New Growth Horizon

Project address: 2609 Rock Hill Industrial Court

Cost of project: $20 million

Financing: Private equity

General contractor: Kadean Construction

Engineers: Wiegmann & Associates, Guarantee Electric

Interior designer: Eddy Design Group

Architect: Kadean Construction

https://www.bizjournals.com/stlouis/news/2022/04/07/commercial-real-estate-awards-2022-proper-brands.html