NATEL Energy

Alameda, CA 70,000 sqft www.natelenergy.com

Services Provided: Asset Management Tenant Services Site Selection Services

Natel Energy is a respected player in clean, renewable energy and hydropower generation technology.

Overview

Natel Energy is a respected player in clean, renewable energy and hydropower generation technology. Already a leaseholder at Alameda Point, their innovations have resulted in scale and commercialization of their product, prompting a need for expansion. Additionally, their lease was coming up, so they needed to make a move quickly.

Alameda Point is already a hub for clean energy and green technology, so it was a move that the City of Alameda, who owns the property, was keen to explore. We were able to take their plans a step further, negotiating a purchase option based on Natel’s intention to invest $10 million into the development of Building 23 – as well as the 150 jobs they intended to create.

The Assignment

IPG was contracted to represent Natel Energy’s interests in acquiring the lease rights to a historic airplane hangar, Building 23, located on the former Navy Base at Alameda Point.

IPG Services Provided

Tenant Brokerage
Strategic Planning
Contract Negotiation
Development Advisory
Financing Support

Our Approach

The IPG team created a scope of services that was in-line with Natel’s vision for Building 23. The process involved working with the city, to obtain both the necessary approvals for the lease as well as an option to purchase.

During the process, we provided Natal with ongoing sublease services with the intent of lowering Natel’s expense where the building was concerned. IPG was successful in securing several generations of subtenants for the client, 100 percent free of charge.

The Challenges

Historic Building

City Approvals

Incentive Financing Requirements

Historic Building. The City of Alameda has very specific mandates for the buildings on
the base, primarily based on its Community Reuse Plan, established in 1996.
City Approvals. Natel’s plans satisfied the city’s planning mandates, delivering a promise of high-paid job creation and strengthening of their growing clean-tech sector.
Incentive Financing Requirements. Natel received incentive funding from the United States Department of Energy as well as the Small Business Innovation Research Program, funding that requires an above-code green building approach.
Startup Company with Limited Financials. A credit enhancement vehicle was secured to improve Natel’s financing and repayment options.

In addition, working with Natel’s High-Profile board and obtaining their approvals was a challenge in itself, but our team liaised between all stakeholders with ease. In the end, we facilitated a successful transaction that both the buyer and the seller was very pleased with.