Marzetti Foods/ Lacaster Colony

In 2004, when the T. Marzetti Company, a division of Lancaster Colony, decided it had outgrown its existing offices, they came to Capitol Equities for guidance. Their corporate offices were dated, and no longer met the company’s needs. Understanding the complexity of this deal, Capitol Equities immediately began an in-depth analysis of their requirements. First, the team interviewed many of the Marzetti team leaders to learn what about their existing environment was inadequate and how their surroundings could be improved to increase Marzetti's efficiency and performance.

With this extensive list of requirements, Capitol Equities began a two-part investigation. We searched the marketplace for a suitable 30,000 – 35,000 square foot facility based upon geographic requirements provided by the management team. At the same time, we discussed the possibility of expanding Marzetti’s offices at their current building. Two major concerns presented themselves in this discussion. One - what was the forecast for future growth and expansion within the company? Two – what are the ownership’s long-term financial plans for the company?

Once these questions were carefully analyzed and answered, a plan was compiled outlining the most effective configuration for Marzetti’s expansion within the building. We contemplated efficiency issues such as the interaction between the different teams and their relative location to one another, in conjunction with assembling our own detailed list of required improvements to the building for each division. These requirements were based upon not only the team interviews but also our knowledge of what concessions would be expected in a normal lease renewal for an office user in central Ohio.

After presenting our client with both the best options for a new facility, and a detailed proposal to renew and expand their existing offices, it was decided to open a dialogue with the building ownership to extend their current lease agreement. Capitol Equities then diligently negotiated an aggressive lease amendment for a suitable term at desirable rates, with a first right of refusal being granted to our client for any available space on contiguous floors in order to allow for future expansion requirements. The agreed upon amendment also had the landlord provide a turn-keyed environment, completely redesigned and appropriate for both our client’s current and future needs.