Producers Coop

[Pete]

6 SE 4th
status= for sale
owner= Producers Coop
cost= $105 million sales price
acreage= 37.75
other= currently operating plant



Information & Latest News

1/31/09: Cotton seed mill mulls moving
10/24/08: Mill expands
Links

Official Website
Gallery

[Pete]

Even though there are posts scattered all over the site about this property, I created a new thread/article to consolidate the most relevant information, especially because there are always lots of questions about it.

[Pete]

BTW, I don't see any signs of the cooperative moving to the old Firestone plant and suspect they are waiting to sell this property first.

There has been no activity at the old tire plant and I couldn't find any building permits.

[Bellaboo]

From a Case Study about the Co-op - Interesting

The Relocation Decision

The Producers Cooperative purchased the former Bridgestone/ Firestone Dayton Tire
factory near SW 25th Street and Council Road in 2009 for $14M. The facility which was located
on the outskirts of Oklahoma City included more than 1 million square feet under roof and 170
acres of land. PCOM CEO Gary Conkling described the rationale in a January 31, 2009 press
release.
We considered moving to southwest Oklahoma, the heart of Oklahoma cotton-growing
country. Access to rail service and interstate highways tipped the decision to move to the
industrial sector of southwest Oklahoma City…It could take four or five years for
Producers Cooperative to relocate. All we're really doing is planning for the future.
We've kind of looked for land for several years”
In February 2010, PCOM officially put their 43 acre downtown facility up for sale at an
asking price of $120M.

[AP]

I thought they hadn't moved anything yet. Are they still asking $120M for it?

[Pete]

$105 million is the latest I have seen.

That is still well over $2 million an acre, which is more than Rainey Willaims paid for the Stage Center parcel.

And of course, this property is likely to need all types of toxic cleanup.

[catch22]

There is simply too much land there at too high of a price. It's a snowball effect to get a return on investment. In order to justify the enormous land and site prep costs, you have to have a huge development, which is vastly more expensive, which creates a harder to achieve ROI. Downtown land is not that valuable yet. Especially in that area.

[Pete]

It's really not that great of property... None of it fronts on the new boulevard, you've got railroad tracks to the east, the interstate to the south and industrial properties that are under separate ownership to the north.

And access isn't that great via car.

I don't think they could sell for 1/3 what they are asking.

[CaptDave]

It's really not that great of property... None of it fronts on the new boulevard, you've got railroad tracks to the east, the interstate to the south and industrial properties that are under separate ownership to the north.

And access isn't that great via car.

I don't think they could sell for 1/3 what they are asking.

An eminent domain process certainly would be interesting over this property not that it is likely. The brownfield clean up costs are potentially very large and would significantly impact that value.

[Jake]

It would be cool to develop it and extend the canal into it. Wishful thinking, but a guy can dream can't he?

[bchris02]

It's probably much more likely for the property to be sold and then divided up and then sold off in pieces for development. A huge development like a casino/resort could take up the entire thing but more practical stuff would take up much less.

[onthestrip]

Gary Gregory just threw out that giant asking price because he hoped the city would select it for the convention center. I doubt the Co-op people came up with that number. And if he asked for $120mil, he probably figured he could maybe get $60mil for it. He is just a broker and a salesman hoping for a big pay day. The city obviously went with another location for convention center and the co-op needs to price it no more than $30mil if they want a realistic chance of selling. Even then Im not sure there would be any buyers.

[bchris02]

I don't get why people think that is such a horrible location. It's pretty much fronting the new boulevard, directly across from Lower Bricktown. This is a prime location that could be put to good use.

[Pete]

I don't get why people think that is such a horrible location. It's pretty much fronting the new boulevard, directly across from Lower Bricktown. This is a prime location that could be put to good use.

It's NOT fronting the boulevard.

[BrettM2]

It's NOT fronting the boulevard.

It would be in Tulsa.

[catch22]

It would be in Tulsa.

[David]

It would be in Tulsa.

Full on, laugh out loud hilarious.

[bchris02]

It would be in Tulsa.

I don't get it.

[PhiAlpha]

It would be in Tulsa.

Lol, what about in Charlotte or Austin?

[BrettM2]

Lol, what about in Charlotte or Austin?

High rise, pushed to the street, with an address in Heaven! /swoons

[bchris02]

Lol, what about in Charlotte or Austin?

Well Charlotte or Austin wouldn't have something that ugly and smelly right in the middle of their downtown. If the Co-op were in downtown Austin or Charlotte it would have been partitioned and sold to developers years ago. From what I've read here selling the property is the primary roadblock. It's harsh and you can bash me all you want for saying it but it's the truth. I am all for preserving stuff that is unique to OKC in a positive way, but the Co-op downtown is a negative. It's ugly, confirms the perception most Americans have of this city, and it will likely prevent quality development around it as long as it remains.

There really is. For comparison, here is what San Antonio did with a similar industrial space, the Pearl Brewery: Abandoned Pearl Brewery Adapted Into Vibrant Mixed-Use Project in San Antonio | Inhabitat - Sustainable Design Innovation, Eco Architecture, Green Building

There are offices, condos, apartments, live-work units, restaurants and bars, weekend farmers markets -- it's just an outstanding reworking of the area.

Cool concept, but I don't think it would work with the Co-op. The brewery has better bones. Something like that would have been perfect for the Belle Isle power plant rather than demolishing it to build a Wal-Mart. The Co-op is primarily steel buildings that would be difficult to repurpose for anything other than dirty industry.

[Spartan]

I don't get why people think that is such a horrible location. It's pretty much fronting the new boulevard, directly across from Lower Bricktown. This is a prime location that could be put to good use.

Have you seen the design for said new boulevard?

You can pretty much wipe off billions of dollars in real estate valuations...

[BoulderSooner]

Have you seen the design for said new boulevard?

You can pretty much wipe off billions of dollars in real estate valuations...

Pure comedy

[CaptDave]

Pure comedy

ODOT's blvd design? Comedic only in the sense they think it is good......

[BoulderSooner]

ODOT's blvd design? Comedic only in the sense they think it is good......

That is wipes out billions of dollars in real estate value