I was advised on Discord to bring this question here.
I am involved in a vertical farm in Norway. We have a small facility set up, and are looking to finance a larger facility. For all practical purposes we are talking about a factory. Or, more interestingly I believe in the context of Centrifuge, a series of small factories.
The central point is that this facility generates a cash flow that can viably, with good margin, finance a loan that carries 10-15% intrest. (the range depends on size)
The classic choice here is to go for equity. I do however find it much more interesting to see if we can connect this investment opportunity to the defi ecosystem. I am personally invested in both real estate and crypto, and see it as a significant opportunity for both markets to connect. So, I found centrifuge. I have read up on a fraction of the available material, so this might have been addressed earlier w/o me seeing it.
I believe this particular case is not as mature as requested in the guidelines for creating pools. On the other hand, I’m not sure if we should be an asset originator in some pool (not sure which) or if we should set up a “vertical farming pool” - or if the first is a POC and the latter is a longer term opportunity.
We currently believe the optimal facility size and corresponding investment is around 2 mEUR.
In general, in terms of risk, what I can say that can be independently verified, is that Norway imports 50%+ of salads and greens consumed. That market / demand is increasing. The macro / political environment suggest less international trade in this area. And the product is superior, if not for other reasons, at lest because time and transport degrades it.
In short. These factories will be selling all they produce at rates we are already selling for (market price, really)
To me, it would be fantastic if we could finance and scale this business as a DeFi project. Do you see this as an opportunity here?
Also, are there any advice on how to proceed and what direction to take in the question of asset vs pool?