PARIS, Ky. — A bidder has entered into an asset purchase agreement of $22.5 million for the 1.87 million s.f. greenhouse and agriculture warehouse complex in Paris, Ky., that was formerly used by AgTech Scientific, according to a press release from A&G Real Estate Partners and Murray Wise Associates.
Competing bids, which must meet or exceed $22.85 million, are due by the close of business on Jan. 31, said the joint venture partners, who also are accepting bids on a nearby 50,587-s.f. manufacturing and warehouse facility. Sealed bids are due before the close of business on Feb. 1.
AgTech Scientific used the facilities for its large-scale hemp-growing and CBD-production operations in Kentucky.
The sale is being conducted on behalf of Aurora Management Partners, the receiver for AgTech Scientific Group, Color Point and other affiliates, as part of a federal receivership case pending in the United States District Court for the Eastern District of Kentucky, Lexington Division. The ultimate sales will be subject to approval by the federal receivership court.
“With the oversupply of hemp in the United States, many CBD producers continue to face challenges in today’s marketplace,” said Emilio Amendola, co-president of A&G. “Nonetheless, other agricultural companies, as well as healthy hemp and CBD producers, now have the opportunity to acquire high-quality growing and production assets such as these at significantly below replacement value.”
The 151-acre parcel includes multiple greenhouse ranges totaling 1.57 million s.f., along with 155,000-s.f. of warehouse and office space and 150,000 s.f. of polytunnels. The complex includes a main office/production barn, a shipping building, two storage buildings, and six greenhouse ranges, each of which totals approximately 270,000 to 280,000 s.f. The site’s 13 Gothic-style Quonset buildings each total 11,520 s.f.
With an irrigation system sourced by a large lake on the property, the Bourbon County complex was built in 2001 to grow ornamental flowers and was expanded multiple times through 2018. It was converted to the cultivation of hemp for CBD use in 2019. The east side of the greenhouse range features two separate water tank rooms housing a total of three 20,000-gallon tanks and one 100,000-gallon tank.
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