Project Overview

Louisiana Pepper Exchange (LPE) is a leading North American pepper mash and puree supplier to industrial food manufacturers, brands, and foodservice companies. To meet rising demand and strengthen its industrial platform, LPE developed a new tank farm on a 10-acre, rail-served site in the Ironhorse Industrial Park near the U.S./Mexico border.

Phase I includes 68 agitated mash storage tanks, supported by on-site rail and truck access. The facility focuses on large industrial customers and adds new food-manufacturing jobs in Doña Ana County.

Value-Driven Financing Solution

X-Caliber Rural Capital structured a $14.22MM USDA B&I Guaranteed Loan to refinance short-term bridge debt and convert the Santa Teresa project into long-term, permanent financing. The loan takes out the interim facility, funds remaining project costs, and shifts the capital stack to a stable, long-term with an initial interest-only period followed by long-term amortization.

This structure:

• Matches the loan term to the useful life of the tank farm and equipment.
• Reduces annual payment pressure versus shorter conventional terms.
• Removes near-term balloon risk and creates a single, predictable capital solution.
• Frees the working-capital line for inventory and seasonal needs instead of long-lived assets.

The result is a capital structure built for volume growth, margin improvement, and reliable supply to national food customers.