Coho Kitchens (COHO.V) snaps up another expansive facility in British Columbia

Coho Kitchens (COHO.V), a Canadian-based company focused on providing private and shared kitchen and food production space, announced today that it had finalized a lease agreement for a new 26,000 square foot facility in Richmond, British Columbia.

The lease agreement between Crestwood Limited Partnership and Coho Collective Kitchens, a wholly owned subsidiary of Coho, will commence immediately following the expiration of a standard fixturing period.

Coho Collective Kitchen’s agreement is for 15 years, and the commissary/grocery/food hall is expected to open by spring 2023.

The Coho Crestwood facility is comprised of:

19,000 square feet of commissary space at 130-13711 International Place, Richmond, BC.
1,500 square feet of grocery space at 120A-13711 International Place, Richmond, BC.
5,500 square feet of food hall space at 120-13711 International Place, Richmond, BC.

Andrew Barnes, CEO of Coho, commented, “We are excited to work with Peterson on this extraordinary project. Our focus continues to be managing capital wisely, while growing smartly. Despite uncertainty and volatility in the broader economy, proceeds from our recent initial public offering have allowed us to continue to pursue our previously disclosed growth strategy.”

This agreement is on top of Coho’s recent announcement of the imminent opening of its maiden facility on Vancouver Island. Coho Victoria is located at 1701 Douglas Street, Victoria and will be open for business by August 2022.

Barnes summarized his thoughts on the Crestwood lease, “Coho Crestwood is a significant achievement, particularly in light of the current market climate. Richmond is a diverse and fast-growing city. Coho Crestwood will be centrally located – just five minutes from urban Vancouver and 30 minutes from Vancouver city centre. Coho Crestwood will be one of the largest facilities of its kind in Canada, featuring an expansive commissary space, food hall, and grocery concept. It’s something new to the industry, and we look forward to getting started.”

The global cloud kitchen market was estimated at $56.71 billion USD in 2021 and is expected to reach $112.53 billion by 2027 at a CAGR of 11.50%.

Coho currently operates four facilities in Metro Vancouver: Strathcona (Class 1 kitchen) at 1370 East Georgia Street, Vancouver; Powell (Class 2 kitchen) at 1507 Powell Street, Vancouver; Creekside (Class 2 kitchen) at 375 Lynn Avenue, North Vancouver and Gibsons (Class 1 kitchen) at 292 Gower Point Road, Gibsons.

In other news, Coho announced the appointment of Carla Matheson on July 18, 2022, replacing prior CFO, Ravinder King, after his resignation.

Coho announced closing its IPO on TSX Venture Exchange on June 9, 2022.

The growth-stage, community-driven, commercial real estate and food technology company currently trades at $0.22 CAD per share for a market cap of $20.68 million.