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S4E52: The Deal and PR Blueprint for Launching Successful Vertical Farm Projects with Michael Sichenzia
Episode 52 • 11th February 2022 • Vertical Farming Podcast: CEOs & Founders in AgTech and CEA • iGrowNews
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Episode Summary

Join Harry Duran, host of Vertical Farming Podcast, as he welcomes to the show Michael Sichenzia. Michael is the Managing Director at Go Global Advisors and today, he shares his passion for bringing food to communities and what led him to pursue work in the vertical farming industry.

Specifically, Michael speaks to the intricacies of developing container farms, everything from getting zoning approval from the local or city government to what he looks for when building a team. Michael is highly mission-focused and wants to leave a legacy of making the world a better place, or at the very least trying to. Michael touches on his involvement in the From Mary With Love project, his relationship with Freight Farms and his belief that education about the vertical farming industry comes through empowerment. 

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Key Takeaways

03:41 – Harry welcomes to the show Michael Sichenzia who talks about his background in real estate and how he made the connection between public storage facilities and modular hydroponic space  

08:46 – What Michael looks for when developing farms and when building a team 

12:01 – From Mary With Love 

15:09 – A budding relationship with Freight Farms 

16:38 – Zoning and effectively communicating with your local government and community 

19:39 – Empowerment through education 

26:34 – Michael speaks to an exciting new project he’s working on in Buffalo 

31:16 – Identifying the ideal investor 

34:36 – Why Michael is so passionate about bringing food to the community 

37:44 – Speculating on the future of vertical farming and why Marketing and PR are key 

44:52 – Harry thanks Michael for joining the show and lets listeners know where they can connect with Michael 

Tweetable Quotes

“Having owned and operated restaurants in my past, I saw that that was an area that I wanted to get back to. And I saw that my real estate experience would play into that because I knew how to put together deal structures. And I felt that farming, and urban farming in particular, had a tremendous opportunity with the right deal structure. And that’s how I got into it.” (05:51) (Michael) 

“I looked at the hydroponics space and saw it’s really a play on storage. Public storage facilities and the way those deals are structured are ideally suited for modular, containerized, hydroponic space in an urban setting. And that was the connection for me.” (07:32) (Michael) 

“Passion, sticktoitiveness, the idea that we’re gonna make this work no matter what the obstacle is, that’s very important in any entrepreneurial venture.” (13:32) (Michael) 

“Attacking that and making sure that the city has a variance process, whatever that process is, get it started sooner rather than later. That issue will affect everything. The last thing that you want to do is take delivery of your farm and deploy it and not be able to grow. To me, you need to understand the zoning, communicate with the city, and really work that process effectively.” (17:45) (Michael) 

“I’m a big believer in good PR and I’m a believer that you make things happen with good PR and good communications.” (22:28) (Michael) 

“We have to remember that social enterprise is still an enterprise. The key word there is ‘enterprise.’ We tend to forget that. These [containers] need to be self-sustaining otherwise they will fail.” (33:37) (Michael) 

“I’m not in this for the deal. I’m in this because I want to bring food to the community. And I think that there’s probably never been a better time to marry good deal structure with delivery and production of food. We need it now more than ever. It really is the time to own our own food again. I really believe that.” (34:36) (Michael) 

“I’ve always tried to be a year ahead of The New York Times. My whole career has been focused on if I can be a year ahead of The New York Times, I’m gonna be doing something.” (40:51) (Michael) 

“You have to self-promote. If you’re not gonna promote yourself, who is? So, you gotta get out there. You gotta talk about your things. You gotta fail. I fail all the time. There’s that saying, ‘If you want to succeed then double your failure rate.’ Well, I’ve probably quadrupled my failure rate, but that’s part of the process.” (44:20) (Michael) 

Resources Mentioned

Michael’s LinkedIn 

From Mary With Love

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Mentioned in this episode:

2025 Precision Ag Report by iGrowNews

2025 Precision Ag Report

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2025 Precision Ag Report

Transcripts

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that's spelled C-U-L-T-I-V-A-T-D.com,

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or click the link in the show notes. Attacking that and making

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sure that the city has— that there's a variance process, whatever

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that process is, get it started soon, sooner

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rather than later, and deal with that issue because that issue will

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affect everything. The last thing you want to do is take delivery of your farm

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and deploy it and not be able to grow. I mean, get a stop

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work order or have somebody come in and say, you can't occupy this space anymore.

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So to me, understanding the zoning, communicating with

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the city what you're trying to do. For instance, in the project in Oak Forest,

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we hired an architect to conceptualize what this would look like,

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draw it. We wrote a really good narrative to this, and we expressed

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that to the community development agency so that they would be our

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liaison to the different city commissions and boards. And

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really work that process effectively, do a really good job of

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communicating the benefits of this program to your

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municipal leaders.

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Welcome to the Vertical Farming Podcast, weekly conversations with

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fascinating CEOs, founders, and agtech visionaries.

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Join us every week as we dive deep into the world of vertical

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farming with your host, Harry Duran.

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Vertical Farming Podcast. Season 4, welcome back. We are

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wrapping up this season, so I'm so excited to have you all here. If this

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is your first time listening, well, welcome. You're in the right place if you're

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looking for a show where we interview fascinating CEOs and

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founders of the leading vertical farming companies from around the world

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and those doing super interesting things in this space.

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It just keeps getting more and more fun to have these conversations. I'm your host,

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Harry Duran. I've been podcasting since 2014. I hosted another

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show called Podcast Junkies, which is where this whole journey got

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started, so you might want to check that out. In case you missed last week's

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episode, I had a great conversation, long overdue, with Christina Zimmerman.

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She's the chairwoman at the Association for Vertical Farming. It's an internationally

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active nonprofit that focuses on leading and advancing

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sustainable growth and development of the vertical farming movement, doing such great

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things there. had Christine on my list of

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potential guests for a long time, and I'm so happy that we were able to

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make it happen. We had a really good conversation. Make sure you check that out.

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This week I speak to Michael Skenzia. He's the founder of Fat

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Village Enterprises, and in this episode, this fellow New

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York from Brooklyn native shares his passion for bringing food

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to communities and what led him to pursue work in the vertical farming industry.

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Michael speaks to the intricacies of developing container farms specifically

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Everything from getting zoning approval from the local or city government to what it

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looks like when he's building a team. What are the characteristics

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he's looking for? He's highly mission-focused and wants to leave a

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legacy of making the world a better place. And he talks about his involvement with

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his first project, From Mary with Love, his relationship with the Freight

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Farms team, and what he and the team are cooking up for

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their new project in Buffalo, New York. Michael has a belief that education

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about the industry comes through empowerment, and it's a belief that I share as well.

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Really engaging high vibe conversation with a fellow

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New Yorker. It's fun to have those chats, and I can't think of a better

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way to wrap up season 4. I'm so excited to be attending

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Indoor AgCon this year. They are the premier trade show and conference for

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vertical farming. It's going to be in Caesars Forum Las Vegas,

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and it's going to be the 28th of February through March 1st, and I

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plan on being there for both days. They're co-locating with the National

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Growers Association And you can expect an expo floor filled with new product

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resources and business solutions. Attend educational sessions led

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by top CEOs and thought leaders and connect with peers,

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grocers, and other potential new business partners at great networking events. Looking

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forward to meeting past guests there and making some new friends

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as well. There's still time. You can register at

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indoor.ag and use promo code

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VFPOD22 for 25%

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off your registration. Don't forget to check out and give us

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honest feedback on our latest offering,

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verticalfarmingjobs.com. I'd love some feedback from

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any of the listeners as well. My emails are open,

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[email protected]. But please check that out,

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verticalfarmingjobs.com. And if you haven't signed up yet, head on over to

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our Twitter account, Vertical Farm Pod. You'll see a link there for the newsletter, Vertical

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Farming Weekly, which we've picked up again Thanks to Noah,

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who's just joined our team and has been helping out with that as well. So

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it's a nice way to get a recap of the headlines from this week's

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activities in the space, an update on the latest

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episode, and any other new news we're looking forward to sharing.

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Happy to report that we've got a new review coming in from Canada. It's from

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Savage419, and Trevor

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writes, I have over the past 2 weeks binged every single episode.

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Whew! Let me just tell you, listener, as

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a podcaster for almost 8 years now, I

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never take for granted these reviews. I never take for granted

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you as a listener coming in week in, week out. And to hear that

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someone took the time to binge episodes— I've done it myself.

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I've listened to episodes or I've listened to podcasts where I'm like, wow, this content

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is so great, I want to learn so much. I go back and I binge

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the entire catalog. And it gets harder and harder to do with all these

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podcasts that I love. But one of my secrets is to listen at a higher

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speed. I can listen to shows at

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2x, which takes some getting used to. But

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one of the examples I like to use is that if you were driving on

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the Autobahn and you were going, you know, 120 or

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130 miles an hour, the only thing you can do is focus on the road

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at that point. And that's some of the effect that happens when I'm listening at

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2x. I can't do much else, but if I'm like Doing something

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like washing the dishes or going

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for a walk with my dog or my partner, then— oh, not with my partner,

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sorry— something where I'm not having to engage in

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another conversation. So the passive activities usually help.

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I find I can listen at that higher speed. So a little bit of

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podcasting tips that I've picked up over the years. So

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back to Trevor's post, I have over the past 2 weeks binged

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every single episode This is something I've been considering for some time but found it

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hard to find info. Thank you for all the great information and

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contacts. Keep up the great work, Trevor. Again, thanks

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so much, Trevor. I really appreciate it. If you would like your review read

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out on the air, as I do every single week when they come in,

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head on over to ratethispodcast.com/vfp.

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Nothing brightens my day more than reading these out. Okay. Let's get chatting

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with Michael, shall we? So Michael Sikenzia,

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founder and CEO of Fat Village Enterprises, thank you for joining me on the Vertical

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Farming Podcast. Thanks for having me, Harry. Where's home for

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you now as we, as we connect today? Home now is

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Fort Lauderdale, Florida. Okay, and were you born and raised there,

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moved there, relocated? No, I'm a country boy from Brooklyn, New

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York. Okay, what part of Brooklyn? Originally from the

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Red Hook section of Brooklyn. Okay. I grew up in Yonkers. So,

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and I've— okay. So you're— yeah, very familiar with New York. I've lived in, uh,

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East Village, Williamsburg, and Upper East Side. So

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very familiar with, uh, the city. All good neighborhoods,

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but they're completely different from when I was growing up. Yeah. What are some

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fond memories of growing up in Red Hook? My dad was a lifeguard and a

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competitive swimmer in the Red Hook pools. And, uh, My

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fondest memories are playing softball in

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Coffey Park off of Van Brunt Street in that area. And I still have

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family that live in the Hook, and I visit them occasionally when I'm in

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New York. Actually, I visited them last— I was there for the blizzard. Unfortunately,

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I didn't plan that to happen. But I go back

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to New York as often as I can. Obviously, I still have family there. But

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yeah, I try to get back. I don't want to lose my tan. So I

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get back as fast as I can. The whole point is to go— is to—

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you— I'm assuming you're in Florida to escape the winter. And so you actually managed

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to make it back for the winter there. So— I came to Florida 17

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years ago for a work opportunity and, uh, I

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loved it. And I— there's no getting me back, although I travel to the snow

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often. My projects take me to places generally where it's cold. So

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I try to go there the least amount of time as possible. And when you—

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can you talk a little bit for folks that may not be familiar with the

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projects that you're working on, a little bit of your background and we'll

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know need to do the long version, but we'll get caught up and as it

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relates to what we're talking about on this show. So I'm generally a person who

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had no experience in farming whatsoever 5 years ago, primarily

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a real estate background. And the pandemic— about 4

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years ago, I discovered that the food space was a space that needed

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a different approach. So having owned and operated

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restaurants in my past, I saw that that was an area that I wanted to

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get back to. And I saw that my real estate experience would play into

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that because I could— I knew how to put together deal structure.

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And I felt that farming and urban farming in particular had a

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tremendous opportunity with the right deal structure. And that's how I got into it.

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And I met a group of fellows who started Freight Farms out in

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Boston. And I visited there. And once I visited that and

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walked through a shipping container set up to do a

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farm, It was the ultimate science project for me and it had me

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hooked. And at that point I said, this is the space I want to be

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in. This is the future of farming. Mm-hmm. And that's been my primary

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focus since then. So the projects that I do are primarily

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based on really the hyper-localization of food

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and procurement, production, delivery, and on a

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hyper-local level, because I think that localization is the key

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to taking back our food system. What was it about the space

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that attracted you to it? And you mentioned you did have the real estate

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background, but was it something that you were looking into studying

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or just what you were seeing was happening around you at the time? Land is

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the biggest issue for food. And there's

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a lot of underutilized space in inner cities.

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And I saw inner city warehousing and industrial

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space as an opportunity if we could get into the right technology

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and we could get to commercialized production and commercialized

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yield, then that space would be ideally suited. And I

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also saw it from a capital perspective because the capital perspective is the

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key. You can do good work if you have a checkbook with money in it.

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And I looked at the hydroponic space and said, it's really a

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play on storage, public storage facilities

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and the way those deals are structured, are ideally suited

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for modular containerized hydroponic

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space in an urban setting. And that's how I— that was the connection for me.

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Did you start to connect with folks that were in the space or anyone

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in the industry at the time, or how were you educating yourself? I met a

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fellow up in Canada who had a company called Locally Grown

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Salads. And we started talking.

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I couldn't make a deal with him because his technology was just too expensive for

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me. But he had this modularized concept of

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hydroponics in grow units, much like Freight Farms had.

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Only his concept was to put them in, you know, 10 to 20 of them

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in a building, build a clean package room in the facility, and

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then go out and do this. What happened is back in

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2017 or '18, I'm not exactly sure the exact year,

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but when the Trump administration changed the tax code and brought in

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this whole concept of opportunity zones, for tax deferment.

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That changed the space dramatically. And I saw that as a way

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of attracting dollars into the space. And to me, that was

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critical to making this work. Given your background in real estate,

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how do you think about the viability? Do you think

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about what are the conditions you're looking for in a project when you decide to

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take something on like this? You know, being new in the space, do you look

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at things like long-term viability, profitability, you know, Implementation,

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you know, things about, you know, thoughts about building the team. Because I'm not a

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farmer, quote unquote, right? The first thing I'm looking

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for, my whole concept is there are many

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really well-run not-for-profits who have funding sources,

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who have boots on the ground, infrastructure in the community.

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And what they really lack is programming. So I look at hydroponic

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farming as a programming component. And I search for

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inner-city nonprofits who need programming, who

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don't have the ability to go out there and put all the necessary

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components together, don't have the expertise to put the deal

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structure together. And then I go out there and I try to team up with

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them. So the first thing I'm looking for is a nonprofit that has boots on

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the ground in a particular area. The second thing that I look for

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is, is it based in a designated opportunity zone? Because that's how I

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know we're going to get the money that we need. And then I start to

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look at the enterprise aspect of it. Is there a need? What's

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the demographic? Are we going to be able to get this out to, you know,

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X number of people and derive a return on that investment over a 5-year

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period of time? Because that's usually the criteria for an opportunity zone

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investment. So when we put all of those things together, there are tremendous

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opportunities. It's a wide open field. When you look at

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a not-for-profit team, I'm curious what specifically you're looking for in the

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team. Is it the makeup, their experience, Their success with previous

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projects? What's the criteria? Just dive in specifically in that

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aspect of it that you look for. I look primarily to operations

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that are small in nature because they tend to be less centralized.

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And I think centralization is the enemy of actually of all of the things that

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we're trying to do. I want a group of people that are more hands-on,

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small team that is really looking to get into a project

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and really make this their signature. project. And food

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today, because of the pandemic, has become, you know, a very

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important aspect of these discussions. And there

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isn't a community that I talked to that doesn't want a food-growing

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component to what they're trying to do. And that's what's going on here.

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So to me, I'm looking for a small team,

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a team that's— the decision-making process is more

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streamlined. and a team that needs what I offer. And what I'm

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essentially offering is, and I hate to use this, no pun intended,

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but a project in a box, a farm in a box, where

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we can deliver it, deploy it quickly, and get the crop growing.

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That's really what this is all about. How much of it is related to,

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for lack of a better term, personality of the founders or the founding

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team? Are there certain traits or characteristics when you start these

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initial discussions with some of these founders that you're looking for? You know,

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the BIPOC community has been particularly affected by food sovereignty

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issues and food injustice issues. And I'm looking for

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people who have a personal experience and have a long-term background in

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the neighborhood. So the reason I picked— the Wilson brothers are a perfect example who

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run the From Mary with Love organization in Chicago. Their

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brother was a, one of the top-rated basketball players in the country

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back in the '80s, a fellow by the name of Ben Wilson, Benji Wilson. This

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is— he was the Michael Jordan before there was a Michael Jordan, believe it or

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not. And he was tragically killed. He was tragically killed in

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a— from a gun incident. And when I started to talk to the Wilson brothers,

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I got a feeling that they really cared because their mother had instilled

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upon them— Mary Wilson, the late Mary Wilson. She became a community

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activist. She was very much involved in the community after the death of her son.

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And that was her legacy. And they wanted to continue that legacy. And

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the legacy revolved around food. Mary came

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from Mississippi. Her family, you know, picked cotton and food, and the

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Wilson brothers related to that. Tony Wilson, the director,

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had a background of urban farming and starting some urban farms in

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Chicago, and it was a natural fit. There was a passion there,

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and that shared passion was— enabled us to really pull off the, the

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first phase of the project. As you know, These things are not a straight line.

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There were ups and downs. You think you have enough money, then the money is

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not there. I can't tell you the number of false starts that we had with

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that project over the last year and a half. And finally, to be able to

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get our box delivered was a big, big moment. And I have to say,

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we would never have pulled that off if it wasn't for a benefactor that came

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to, you know, that made that happen, a company called Synergistic Solutions. They put up

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all of the money and they made it happen for us. So.

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Passion, stick-to-itiveness. We're going to make this work no matter

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what the obstacle is. That's very important in any entrepreneurial

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venture. Yeah, that's one of the projects that we first connected on, the From Mary

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with Love project. And so I'm wondering, now looking

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back, because that project, since it's been started and the work that you guys, your

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team has put in, it's completed. Have you moved on from that? Are you still

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working with them? It's— our role is finished. Our role was

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to Our role was essentially to put the deal structure together.

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In that particular location, we had to help rewrite the zoning code. And that's another

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issue that's a big issue when you're talking about these things, because the zoning doesn't

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allow for these permanent shipping containers to be deployed. We had to help

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draft— they rewrote the code, which is now working its way through that

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municipality's ordinance process. But our goal was to get the

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box delivered, get the infrastructure necessary so that they could plant

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the crop, train their boots-on-the-ground project manager,

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and then liaison between them and Freight Farms to get to where we are. So

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today they are in the process of planting their first crop. Looking back at

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that project, Michael, if you were to think about tackling

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something of that same size with that same type of team

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in that same— with the same type of zoning challenges, is there anything you would

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do differently? Absolutely. I would go public much

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sooner. get more community support much sooner in the

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process and line up the distribution of the end product much

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sooner in the process because you have to be able to sell this stuff as

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soon as it's ready to be harvested. So not having those things in

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place made it much more difficult to put the money in place to get the

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deal done. So it was a huge learning curve there. At what point did

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you start working with the team at Freight Farms? And I know they've

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got some, you know, they provide a lot of help with their projects as well.

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So what type of relationship are you building with them? Let me just say, the

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relationship with Freight Farms has been a blessing. They've been extremely

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helpful to me. Many times they should have pulled the plug and said, sorry, we're

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going to sell the box to somebody else. They didn't. They hung in with them

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in there with us. And they're still helping out in terms of technical

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expertise and whatnot. But I met Freight Farms about 3 years

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ago. And I originally signed the contract to buy these

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boxes with It's a 2-box deal, but we only took delivery of one. We just

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couldn't come up with enough money to do both of them. About 13 months ago,

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14 months ago. And so we— it was a long process

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and it took quite a bit of time. We lost our first location. We had

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to go find another location. Just the typical startup

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problems that one encounters. But they've been extremely

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helpful. They helped us in the process of the business plan all the way

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from beginning to where we sit today. Absolutely a pleasure to work

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with. It's interesting you talked about the zoning issues because I think a lot of

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first-time farmers, first-time container farmers, they may not

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think about those things because they think, well, if I have access to

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land or if I have someplace I can put the box on, then that's all

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I need and then I can figure out— there's a lot of moving parts, you

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know, planting the crop, harvesting it, and then the marketing and distributing it,

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which I think a lot of first-time founders may not be thinking of. But the

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zoning issues is interesting. I'm wondering how you think about

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those issues going forward and any advice for folks that are looking to

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work in this space specifically with container farms. Granted, the bigger

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box factories, they've got a whole team that

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handles all that zoning for them. But I think for the one-off

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folks, it'd be helpful to think about those things or maybe think about questions they

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should be asking themselves when it comes to zoning. Absolutely. Because it

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can be a very expensive proposition. if you don't have a person on your team

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that is used to doing zoning work. I happen to

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have that experience simply because of my real estate background. And I've, you know, I've

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been in front of city councils and planning boards and zoning commissions, and that's

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part of what I do. But it's an extremely important aspect.

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The benefit of a freight farm or a containerized farming scenario,

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modularized if you would, is that it's low-cost, quick

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deployment. But the thing that will stop deployment is if the zoning

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doesn't line up with where you're putting this farm. So if the site doesn't have

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an urban farming that, you know, in the zoning code, your box is

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only good for 30 days, and then the city's going to come and tell you

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to move that box. So what do you do then? Right? Yeah. So attacking

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that and making sure that the city has— that there's a variance

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process, whatever that process is, get it started soon,

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sooner rather than later, and deal with that issue because that issue will

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affect everything. The last thing you want to do is take delivery of your farm

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and deploy it and not be able to grow. I mean, get a stop

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work order or have somebody come in and say, you can't occupy this space

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anymore. So to me, understanding the zoning,

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communicating with the city what you're trying to do. For instance, in the project

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in Oak Forest, we hired an architect to conceptualize what this would

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look like, draw it. We wrote a really good narrative to this, and we

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expressed that to the community development agency so that they would be our

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liaison. to the different city commissions and boards and

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really work that process effectively. Do a really good job of

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communicating the benefits of this program to your

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municipal leaders. And then once they see those benefits,

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they jump on board. There isn't a community that doesn't want this,

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right? They all want this. And if you're a young person or

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a new entrepreneur in this space, you're going to get help,

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but you got to know how to ask for it. got to know what to

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do. You have to follow the rule. You can't just go in there and say,

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you know, we're just going to put it there and they're going to— it's not

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if we build it, they'll love it. It doesn't usually work that way, right?

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What's helpful guidance for first-time founders as they think

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through the community aspect of it? Because you did mention earlier this idea of community

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support, getting the buy-in from the community, probably some education, because

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if they've never had access to this sort of fresh, you

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know, produce locally, you know, they're I

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grew up in, like I mentioned earlier, in Yonkers. I've lived in New York City.

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So this idea of food deserts is something that's an idea that

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I'm very familiar with. And just people who associate

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or may not even have access to anything fresh growing up, they just have the

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bodega on the corner. So I'm

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curious how you think about the challenges of

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educating community on the benefits of something, of a project like this. I

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approach it from an empowerment perspective. I say, you know, you—

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many community leaders talk the talk Sunday morning,

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Monday morning, and then there's no further talk the rest of the week.

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So it's an empowerment play, and especially in inner city.

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There are 3 major components to inner city poverty: lack of affordable

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housing, lack of job opportunity, and then health,

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lack of quality health. Well, you can't have any of those things if you don't

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start with a good diet. So if you take a generation of people and continue

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to shove poor food product into them, you're going to

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get— the next reaction to that is lifelong disease, more

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ailment, more sickness, more of everything. It compounds everything.

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So we look at it from the perspective of empowerment. So when I talk to

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community leaders, I say, if you want to attack these problems, you have to

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start with a holistic mentality. And then you have to attack it at its

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core. You start with these 4 components, right, that I just mentioned.

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And food is one of them. So food is easy. Food is easy. You know,

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you get a person, get a young person in

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their 18, 19 years old and get them to grow, you know, a tomato,

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or get them to grow some lettuce, they're hooked. And the beautiful thing

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about hydroponics is really is the ultimate science project. You know, when

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you can do that, and it— and you see this thing growing and the Harry,

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the first time I walked into a box with the lights, you know, and I

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was— it was like, this is it for me. I was hooked. Yeah. So

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I try to show— and again, it's been very helpful

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because we have some great video that comes out of Freight Farms. We've been able,

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you know, there's good marketing material. They have a track record of working with

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nonprofits and others in the community. So we take all that,

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package it together, and when we make the presentation, there isn't a person in the

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room that isn't shaking their head saying, how do we get a You become a

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part of that. Yeah, so interesting, especially folks that have grown up in

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the city and, you know, their only interactions have— and

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thinking about farms has been the typical traditional, you know, head out

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upstate, you know, New York, or head out to, you know, somewhere outside

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of the city. And it's their first experience with

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dirt, with cows, with chickens. And it's a bit of a shock.

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And I think we're so disconnected from understanding where our food

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comes from. And to your point, that experience that you had

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is something that is— what's exciting for me is that that's a feeling that can

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be replicated. And I'm wondering, as, you know, the From Mary

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with Love project came online, if you started to see some of

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that from the community members, you know, as people were

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connecting with the project, and people that may not have had this

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type of experience before, if you got to see some of that. So the morning

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the box was delivered to the site You know, I'm a big believer in good

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PR, and I'm a believer that you make things happen with good public relations and

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good communications. So, you know, we had the video crew out there, and we had

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the crane come in because we had to do a crane placement of the box.

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And, uh, it was a showstopper. Everyone wanted to be

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out there. Everybody wanted to take a picture. We bought a used, uh, unit from

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Freight Farms, and it happened to have a logo on the side that said, this

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is a farm, and had a picture of that bucolic farm scene

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that you're describing. And people were just amazed. Everybody wanted to

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go in the box. At this— we delivered the box in early

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October. And for Thanksgiving, we did a turkey fun— a

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turkey giveaway. And we brought in a lot of the local food banks to

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basically introduce ourselves to what was going to go on there and the whole food

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concept. People just wanted to walk inside that thing.

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And that's the buy-in that you want. Because you'll get city

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governments to do pretty much anything you want them to do if there's buy-in from

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the community. If there's— if the community says, I don't want that ugly box

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sitting out in front of my, you know, in the parking lot, then no

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matter what you do, you're never going to get that buy-in. But community

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awareness, being a good neighbor, showing people that you're

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going to employ people in the community, especially

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disadvantaged people. Yeah. This is, this is, you know, what more

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could you ask for, really, at a grassroots level? There's nothing like

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growing food. There's nothing like helping someone eat. It's a beautiful

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thing. And I'm a big believer in the more local you can make

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that and maintain that, the better off you're, you're gonna be.

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Yeah, I wholeheartedly agree. So I'm wondering what connection you

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maintain with the From Mary with Love team now that the project is up and

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running. I imagine it presents a whole new set of challenges for them

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because, you know, you've obviously articulated what was needed to get to where they are

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now. And I'm just curious as they move forward, because as new farmers think about

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these, you know, there's phases as to how these things happen. So I'm wondering to

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what extent you've been in contact with them and how they think about what, what

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they should be focused on going forward. So I play more of a consulting role

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now, and I try to defer all the technical aspects of the

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farm to the tech team at Freight Farms. They're the ones that are best geared

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to deal with those issues. And there are many, because when you're starting these things

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up, you have connectivity issues, you have timing issues, there are all kinds of

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technical questions relative to the hydroponic process. which are unique

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to Freight Farms to a certain extent. I mean, Freight Farms has a, you know,

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Farmhand app, which allows for remote monitoring, which is a beautiful thing.

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So my role is more of helping them now to look

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at the bigger picture, interact with state and government

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agencies, talk about different other relationships

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with food banks that they might be able to deal— make arrangements with,

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opportunities with drug rehab centers and transitional

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programs for job training, which I think is a huge, huge component here

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that is yet untapped. And it's, it's those things, it's

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developing the big picture, the longer term, where are we going to be 3 or

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4 harvests later? This whole concept of

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pre-packaging, the concept of cuisine

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concepts. You know, we started a company down here with a

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young entrepreneur called Badass Cuisine. We help seed

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that with the idea of gourmet, wholesome gourmet,

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you know, that can be delivered using good fresh products. So

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these are all the offshoots that come with that empowerment

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process. And I always circle back to that. This is not only a

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food generation process and food production,

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production process, but it's also a job creation. It's a job training. It's an

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educational component. And these are all the things that we need to change

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the paradigm about food. And the sooner we start that, if we get

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that with younger people and younger people anticipate, you know, if a,

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if young people grow up with this education, they'll want that

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and they'll demand that from the business sector. We just haven't had that in my

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generation. We went to the store and we bought our food in the supermarket.

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That's all we knew about food. Yeah. Period. So

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having the experience with From Mary with Love and

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understanding what worked and what didn't, Where did you go next? And how did you

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think about, you know, what were the characteristics you're looking for in the next

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project? So the project in Buffalo is 10 acres in

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an opportunity zone with an existing facility that's

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underutilized. And what we're doing there is we're trying to

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acquire— it happened to be an entity that went through a bankruptcy. So we're dealing

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with the trustee and the bankruptcy process up there. In that

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situation, we are looking at it by a factor of

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10. So not 1 box, but 10 boxes.

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And it's a whole different return on investment. It's a whole different business model

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there. It's more of, all right, what are we going to grow?

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How can we get that out into the marketplace as a prepackaged salad,

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prepackaged whatever, and begin those distribution

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channels? It's also very close to several universities. So

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we're also looking at a company called Bike Technology. with their smart

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vending machines. And how do we service those in that

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whole Northwestern section of New York? And how do we deploy those machines?

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Because it's distribution, right? Growing is one aspect, but the business

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model has to bring that return. It has to bring the capital in.

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The way we do that is by getting the distribution channels established. So by

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owning your distribution, not being reliant upon

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restaurateurs or cafeteria food service people.

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By owning your distribution, now you're starting to get into the—

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how do we monetize? What's the revenue model here? And that's what I'm doing

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in Buffalo. It's a different play utilizing the opportunity zone

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enterprise aspect. That's an underutilized aspect

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of this whole conversation of capital. Many people who are in

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the opportunity zone space have— the low-lying fruit has been

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picked. You know, we do a hotel and we do multifamily, and that's where you've

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seen most of the investment. The enterprise aspect is

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where the future is. So, if you do— if you set up an entity

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that's going to do business in an opportunity zone, you get the same benefits as

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if you were doing the real estate. So, there's much more reach that way. And

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that's why we picked that site. It met all the criteria. We have an existing

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building. We don't— the retrofit costs are not as great as if we were building

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a new structure. And we can house 10 Freight Farm

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containerized units in the facility and then have room for a clean

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package room, a clean packaging facility. And that's, that's the goal

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there. Yeah, I was gonna ask you if you were working with Freight Farms, and

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I guess you're happy with the relationship that you built up with them.

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And so you like their model for especially going from 1 to 10? I'm wondering

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if there's any difference in that thinking process. There is. The biggest problem with

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Freight Farms is that they've— they're building— they're so busy that the time to get

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a box is lengthy. Yeah. That's the biggest issue.

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But when you look at the— I'm a big believer that, you know, in this

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space, go with the guys that have the proven track record and do what you

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do best and let the other people provide the hardware, which is what they do

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best. I've looked at a lot of different people, a lot of different

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manufacturing. I mean, someone would say, why can't you just re— you know, hire

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somebody to re-engineer or reverse engineer what they do? And I'm like, we don't have

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time for that. We have a house that's on fire. We need to put the

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fire out. So I'll go with the proven technology always. And then

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I'll figure out how to make that work. And that's why I liked that team

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there. And I have to tell you, this was not a, you know, a

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simple deployment with no issues. Having that

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relationship and having the feedback, that's what allows you to sleep at

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night. Is that a project that you can speak publicly about, or is that still

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in the beginning, early stages? It's very early. We're set to

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close on the property in the coming weeks. And then once that

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occurs, everybody there thinks we're doing some kind of cannabis play because

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New York just legalized cannabis. You have a

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lot of people in the cannabis industry making big moves and especially in a

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hydroponic space, but it's not. It's purely a foods play.

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But in the coming weeks, we'll go public about what we're going to do there.

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And we're just waiting for the transaction to close before we do that. And

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obviously when you're working at a project at that scale, Did you bring

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in additional partners to work with you on that as well? Yes.

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So the primary issue here is the initial capital raise. Yeah.

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So we're using skilled money people who know how to put opportunity zone

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money together, because that's a component. My job there is to be the, you know,

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the ringleader, again, the circus ringleader, just keeping all of the component

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parts moving in the right direction, deal structure. As far as the

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on-the-ground farmers, Okay. We're interviewing people and the

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response has been phenomenal. That I can tell you. I've got so many

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people that are interested in this project and wanting to be a part of this

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project that it's very exciting. So it's a good time. I'm

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curious, as you start that, there's again, so many moving parts and

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you've 10x the scale of what you did from Mary of Loveland. And

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obviously I imagine there was a lot of lessons learned in what you should do,

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what you could do better in different zoning challenges. And so I'm curious

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because of your background, when you start to structure these types of deals and

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you look for partners to work I imagine that these are investors that have

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done previous deals in other industries. How much of it is an

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education process into what's happening within vertical farming, the

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potential risks as well? How do you think about those

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things in terms of figuring out who would be a best fit for you to

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work with from an investment perspective? So early on, I saw that

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the public storage space type of investor would be

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ideal for this situation. And I'll give you the reasons why for that.

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Without getting too technical into the deal structure, you could

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theoretically make each individual container its own

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investment vehicle housed under one management structure in

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one centralized location. So from a deal structure perspective, it's

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beautiful. You can pretty much do a good pro forma on what the

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revenue model is from that one container, and you just multiply

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that out. So I visited a farm in

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Paraguay doing this on a regular

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farm. Yes. Typical farm situation. And I said, okay, that's the

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model. We have a better model because we don't have the environmental risk

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and the climate risk associated with growing. So, if you're an

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investor and you want to be in a non-sexy space,

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this is the ideal space. There's nothing sexy about this. It's just,

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we're going to grow lettuce. Lettuce sells for X dollars a pound.

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There's so many pounds of lettuce that are eaten every month. Got it?

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It's not sexy, but just the numbers work. So

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you can replicate. If you can do it once, you can do it 100 times.

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Then it's just a management issue. And my job is to

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find the right managers. I'm not that manager. My job is to find that right

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manager. My job is to build teams and give those teams what they need to

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succeed. And usually that means giving them a good deal structure,

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giving them enough working capital to get through the initial stages. And

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that's what makes any good enterprise work. And I think that's part of the

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problem with food in general is that when we start to move it into

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the nonprofit sector, and we have to remember that

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social enterprise is still an enterprise. You know, the key word there is

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enterprise. Yeah. And we seem— we tend to forget that these have to be

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self-sustaining, otherwise they will fail. And The cannabis industry is a good

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corollary because you look at the valuations that were given to cannabis companies

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5 years ago, especially in Canada, and look at the number of bankruptcies

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because the valuations and the performance, they just didn't have any

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sense of reality to them when you started to look at the operation.

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And we're seeing it now in the California market where we have a depressed market

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for pot, which is they used to own the industry. So then you look at

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what's going on in these industries, you can try to show the corollary to what

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goes on in food. And you pay attention to those things and you can track

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them and you can say, okay, these are the pitfalls we need to avoid here

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from a deal perspective. So I'm not in this for the deal.

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I'm in this because I want to bring food to the community. And

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I think that there's probably never been a better time to marry

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good deal structure with delivery of food

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and production of food. we need it now more than ever. It really is,

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you know, the time to own our own food again. I really believe that. What

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do you think, Michael, has changed in you in terms of

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like why you feel like this is something that's important? So that, you know,

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the short version of that question is why you and why now? I've been a

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guy that's been in my own business since I was 20 years old. I'm

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62 now. I have to tell you that I've done a lot of good things,

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a lot of bad things. I've been all around and up and down. And you'll

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hear this from grandparents all the time. I had grandkids. And I started to say,

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well, you know, what's— what kind of world? It sounds cliché, you know, but

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it really isn't. It rang home to me. And what do we do? What are

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we doing here? And then the pandemic came. And when the pandemic

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came, and I started to see food shortages, which have not gone away,

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probably will get worse, I really understood it to understand that, you know,

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eating is not— we can't take that for granted, can't take food for granted.

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And here we are now. So I feel an obligation to

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use whatever skill I have and use it to do something

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that's good instead of just to do make money, because

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making money is not— that's the other issue here, Harry. And that is that the

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whole concept of what is growth and what is capital is

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changing. And it's good. It's good that it's changing. This is a new

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kind of growth capital, pun intended. Right. How much

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of it has been an education process for you in

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terms of how you describe this to your, your colleagues,

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people you've grown up with, people you've done business with in the past? You know,

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are some of them like saying like, Michael, what are you doing now?

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Absolutely. Yeah. They think I'm crazy. So I didn't know that I

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could do this. I didn't know. I didn't, I wasn't a believer in this hydroponic

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thing. So I decided to start growing some hydroponic vegetables on my

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balcony in my apartment here in downtown Fort Lauderdale. just to see if it worked.

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Sure, sure. And then posting pictures on Facebook, and people would say, what are you

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doing? I'm like, well, I'm growing this stuff hydroponically. And I come—

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my family is a family of engineers, so they're, they're technical

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wonks, you know. And, uh, then they started to say,

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hey, what about this? And what about that? And what kind of— what's your nutrients?

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And I'm like, once I got that buy-in, I said, you know what, this thing

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is— this thing works. So yeah, it's been a big education process, but

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The more I talk to people about this, the more I hear

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them really understanding that we

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got to do something with our food system. It's not working. And that's

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a good thing. And I think, you know, educating people and pointing something out to

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people that should be obvious— it wasn't obvious for me. Once I got that, the

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light bulb went off and I said, hey, this is something good. Let's try to

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make a difference here. And that's what it comes down to. You're doing that with

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your show. You're educating people. Even people that are seasoned

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veterans in vertical farming, you know, this is a space that's changing. Look at light

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technology, how much that's changed in the last 3 years.

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The biggest thing that I would get from people, well, the electrical costs will be

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so high, it's not cost-effective. And look at how that's

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changed in 3 years' time. So this is an exciting time to

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be in this space. And I'm just, I'm thrilled to be a part of it,

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frankly. Have you had connections with other folks in the industry? And how do

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you think about, you know, Conferences, marketing,

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networking, as it relates to what you're working on? I have to be honest

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with you, my experience in that has been people are very close— not all,

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but the people that I have been talking to are very protective.

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Companies and entrepreneurs that I've been talking to are very protective of their space,

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and I can understand that being an entrepreneur in a competitive world. But

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this is about decent— if we're going to take this and make this work, as

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a country and as a world, frankly, we really have to be an

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open-source scenario. We have to get less— we have to be

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hyper-local. We have to educate people. We have to

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share and collaborate as much as possible. That teamwork

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really does work in this arena. And the more we do that

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and the more we talk about it and the more we find ways to get

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this out to people, the better we'll be in 3 or 4 years. But This

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has to happen now. We don't have 50 years to make this

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work. We have to do this in a hurry, and it can be done.

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Yeah, I agree. And how many parking garages are there that you go in that

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nobody ever parks their car on the top floor of a parking garage, right? Well,

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there's, you know, 100 acres. It's true.

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It's interesting because when you think about— I'm just educating myself,

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I'm bringing my listeners along the journey with me because there's a lot that I

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don't know, but I always know that I'm learning as

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my listeners are learning. And hopefully I'm asking the questions that my listeners would

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want to ask as they're discovering all the different ways you can get involved in

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this industry. What's funny is that I used to work at E-Trade and one of

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my coworkers there, a guy named Ben, he left and this was in

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2005, '06. He's like, I'm going to go start a rooftop

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farm in Brooklyn. And everybody was kind of laughing, just like, what are you

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doing? That's kind of weird. And he was a bit of an eclectic

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kind of guy. And then fast forward, he runs, I

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think it's, I forgot the name of the company, but it's Brooklyn Farms. It's a

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rooftop farm in Brooklyn. And I've been meaning to circle back with him, but

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sometimes some people are ahead of the curve and they're forward thinkers and

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they have to wait for everyone else to catch up with them. And this

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idea of available space in big cities, it's nothing

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new. And all this unused real estate, a lot of

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companies are in for a bit of a shock, you know, because workers have had

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a taste of remote working, you know, they're not really prepared to go back into

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offices. So now what do you do with all this space? And I think to

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your point, and especially for people that have grown up in and around big cities,

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I think we're going to have to rethink what can be done on from a

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small scale to a big scale to make the most of that for the benefit

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of the community. I agree with you 100%. I think it's the commercial— I listen

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to every commercial real estate seminar and webinar that's

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out there. And I can tell you that no one, top guys in the

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industry, have any idea what's going to happen in the commercial office space. It's

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totally in flux and it represents an opportunity. And,

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but what happens, Harry, is, you know, as you get older, you get

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lazier and you're not more, you're not as innovative as you used to be.

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That's the illness that takes over as you age, right? I've always tried to

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be a year ahead of the New York Times. And my whole career was always

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about, if I can be a year ahead of the New York Times, I'm going

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to be doing something, right? Well, the New York Times is writing stories all

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day long now about this. So— Yeah, yeah. And the people that move

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money need to find a return on that money.

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So I'm not a big believer in centralized movements. I think that's a

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problem, and we could just go from one centralized problem to another if we're not

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careful. But this role of smaller

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producers tying into a network is

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gives you that same kind of scalability. I got involved right around

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pandemic with a group called Co-op Gardens, and they've

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got, you know, 3,000 people, 157 seed

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hubs, you know, all decentralized, non-hierarchical,

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just a beautiful group of people doing good things. Well, that's how this works.

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And the managers that we are, the ones that have good managerial

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skills, we really want to make a difference. Our job is to help promote that.

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And that's really what this is for me. It's a mission. I'm on a mission.

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Okay. And that's how I describe it to my kids. You know, Dad, what are

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you doing? You should be thinking about retiring. And I'm like, you know, I don't

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want to retire. I want to keep going. Yeah. I

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think people have a new understanding of how

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we can take care of ourselves to live longer and healthier lives. And

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because we're doing that, you know, we're changing what we think is

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possible in our lifetimes. And, you know, I remember it's so funny

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because I'm a child of the '80s. I'm 51. I remember watching that show

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Thirtysomething in the— and I was like, well, those guys are old.

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Right. You think how funny that is. But now, I mean, I feel like,

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like a thirtysomething now. And I feel like I think about the potential of like

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living longer, healthier lives. And from a health perspective, that's

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great. But then from a, to your point, mission perspective, you know,

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you could typically get done. People were thinking 60s is like, okay, retirement

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age, find a good rocking chair and I think I'm good.

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Now, to what you're doing, you're just like, what's the next project? How can I

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leave an impact? And I'm wondering if you think about the term legacy at all.

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I do. I'm a lucky guy. I have parents who— my father was

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a world-renowned electrical engineer doing really great

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stuff. And he's still to this day, he's 83 and he's still working on

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state-of-the-art stuff that, you know, is just amazing at 83.

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So age is just a number. It's a state of mind. If your

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mind is— if you have the blessing of having a good mind and

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you're, you know, God gives you that, you know, you can do great things if

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you choose to do that. You can also do bad things. You know, I'm no

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saint. I've done a lot of bad things. I'd like to think that I've

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changed and I try to do— I try to make sure that I'm doing things

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from the right perspective. And that's how I start my day. I look at

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my day and I, I see my day as what's the highest and best vision

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of me. And then I try to put that out and that's how I start

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each day. Some days I win and I think I do a good job and

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some days I fail, but at least I'll try. That's helpful. Well, I'm

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glad we connected. I think it speaks to somewhat of your, your

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marketing chops. And you mentioned like with that first project,

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this always thinking from a PR perspective. I'm wondering if

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that's something you learned along the way as well. Like, you know, The squeaky

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wheel gets the oil, right? You got to talk about the projects if you want

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people to hear about them. You have to self-promote. So some people will say

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that's arrogance. Some people will say that's ego. Some people will say that's

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narcissism. I've never met a successful entrepreneur that

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wasn't a bit of a narcissist. You have to self-promote. If you're not going to

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promote yourself, who is? Right? So you got to get out there. You

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got to talk about your things. You got to— you're going to

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fail. You know, I fail all the time. There's, you know, that saying, if you

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want to succeed, double your failure rate. Well, I probably quadrupled my failure

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rate, but that's part of the process. And

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is there a legacy to that? I want my grandkids to say, my

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grandfather tried, he tried to make a difference. That's it. He may not have

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been successful, but at least he didn't sit around and complain about it. Makes sense.

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Well, I appreciate you taking that initiative and reaching out and, you know, we had

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some technical difficulties, so it feels like we got to work, work through those,

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but we made it happen. And that's what's important. We

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prevailed. Yeah. It wasn't a straight line. Yeah. So hopefully

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you'll stay in contact with us and keep us updated on the project and we'll

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let you know. And we want to share the news of what's been happening and

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how that's progressing. I certainly will. Thank you for the time. I appreciate the

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opportunity to speak with you today. Where's the best place for folks to get connected

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with you if they want to learn more about what you're working on, or maybe

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even like opportunities to partner with you on future projects? The best way to

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reach out to me is on LinkedIn, Michael Sikenzi, or just look me up. I

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mean, everybody finds me on LinkedIn. And, uh, you'll see all the

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projects that we're involved in. I always put posts up as much as I can.

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And Facebook, I do a lot on Facebook, @michaelsekenslia, so you

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can find me there. Okay. Yes. Make sure you get those links to us. We'll

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put them in the show notes. So if you're listening to this, you can take

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those, look for those in the show notes and connect with Michael. Again, Michael,

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appreciate connecting with a fellow New Yorker. It's always fun. And

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likewise, best of luck with your future projects. Thank you, Harry. Have a great day.

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Okay. Thanks again to Michael, my fellow New Yorker, for coming on the show,

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reaching out to me— we connected originally on Twitter—

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and sharing the exciting news of what he's working on.

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It's really fun for me to share these stories, and I'm always looking for

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new ones. So if you know of a CEO and a founder who

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has a great and inspiring story to tell, I'd love to

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share it with this audience, and so please get them connected to me. And

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you can do that usually through email is the best way,

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[email protected]. I've also

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gotten a couple of messages through Twitter DMs if that's your thing. You can read

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the full show notes of everything we covered at

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verticalfarmingpodcast.com. Special thanks to our

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title sponsor Cultivated. Super honored for the work we've been doing

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together and their commitment to supporting the show. If

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you're looking for a vertical farm and don't know where to start or which technology

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would suit your needs, reach out to them today. Can't wait to connect with them

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at indoor.ag. Their service is free. They work on behalf of their

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partners, and you can learn more at cultivated.com. And

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that's C-U-L-T-I-V-A-T-E-D.com, just leave out that last E.

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Still time to sign up for indoor.ag and attend,

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save an additional 25%. off registration with our personal promo

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code VFP0D22. And be

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sure to say hi, I'll be roaming the conference floor at some

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point. Podcast production and marketing provided by Fullcast, that's our

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agency, a done-for-you full-service podcast agency. You can learn

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more at fullcast.co. As a reminder, if you're enjoying this show,

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leave us a rating and a review at ratethispodcast.com/vfp.

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We'll be sure to read these out on future episodes. It's been so amazing to

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go on this journey with you for 4 seasons, cooking up some amazing

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interviews for season 5. And stay tuned because we might have a

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little something special for you guys next week. Still working on something to see if

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we can make that happen. But as always, if you're enjoying this

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content, one of the best things you could do is share it with a colleague

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in the space. Head on over to verticalfarmingpodcast.com, give them that

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link, and they can subscribe subscribe and follow the show. As

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always, until we meet again, and quite possibly in person in Las

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Vegas, here's to your health. Thanks for listening. To read the

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full show notes for this episode, which includes any links mentioned in

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the episode, as well as a full show transcription, visit

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