Limoneira Company (NASDAQ: LMNR) is one of the world’s
premier integrated agribusinesses. Founded in Ventura County, California, in
1893, the company’s dedication to innovation in the agricultural industry has
helped it grow into a leading producer of lemons, avocados, oranges, specialty
citrus and other crops that are enjoyed around the planet. Limoneira currently
maintains just under 11,000 acres of agricultural production – including 3,010
acres of lemons, 1,169 acres of avocados and 1,654 acres of oranges in
California and Arizona. In September, the company announced plans to increase
its production capacity through the purchase of more than 750 acres of orchards
in California’s San Joaquin Valley.
According to a report by IBISWorld, the domestic orange and
citrus groves market is expected to experience steady growth in the years to
come. In particular, the report highlights government-sponsored programs as a
driver of increased fruit and vegetable consumption. Because of the capital
investment requirements and significant lead times for commercial harvesting,
the company’s established presence in the agricultural market places it into a
strong strategic position to benefit from this increased demand.
In addition to its agricultural investments, Limoneira has a
long history of community building through its real estate and community
development division. From sustainable, ‘live-walk-work’ communities to
commercial rental units, this division provides diversification to the
company’s agricultural operations. Last month, Limoneira announced a joint
venture with The Lewis Group of Companies, a leading residential real estate
investment firm, for the planned development of roughly 1,500 residential units
comprising a 500-acre community in Santa Paula, California. Limoneira expects
to receive approximately $100 million of net cash flow from the Santa Paula
Gateway project over its 10-year duration.
“The Gateway Project is a great example of Limoneira
unlocking the value of its extensive real estate assets,” Harold Edwards,
president and chief executive officer of Limoneira, stated in a news release.
“We believe that over time, this project this will result in significant cash
flows, which will allow us to significantly increase the operating results of
our global agribusiness. We are confident this will enhance the long-term value
of our company for our shareholders and deliver on our stated goal of becoming
one of the leading citrus agribusinesses in the world.”
In April, Limoniera’s innovative approach to the agribusiness
sector was recognized by Grocery Headquarters with the ‘Grocery Headquarters
Annual Produce Trailblazer Award’. Receiving this award underscored the
company’s commitment to best-in-class practices while serving as a testament to
the dedication of its employees. Through its recent efforts to build on this
success in both its agribusiness and real estate segments, Limoneira is
strategically positioned to promote sustainable growth and maximized
shareholder value for the foreseeable future.
For more information, visit www.limoneira.com
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