The Vertical Farm

To begin, what is Vertical Farm?

Feeding the world in the 21st Century:

We now have the tools and the technology to change the way we feed first our fellow Americans, and eventually the world. It can be done in a way that is first and foremost healthy, second delicious, third in a manner that produces no waste or carbon emissions, in fact is carbon negative, produces no spoilage, disease, and pests.

It’s all been thought up. We only now lack the will to move against the inertia of the big food companies, including the subsidies all in place for the unhealthiest of all food and most energy intensive. Something has to give. Now is the time.

A vertical farm is just as the name would suggest. Picture roughly an acre of farm land but stacked on each other. Why do this? If the worlds population continues to increase aren’t we going to need to cut down more oxygen producing forests? Won’t we be shipping foods over a larger and larger distance? The vertical farm solves this.

For the first time ever cities could be farm sites. In other words, for the first time cities could begin to mimic natural ecosystems that you find on Earth outside of cities and heavy human manipulation. By ecosystem I mean a self sustaining system without waste! Something that gives back to itself. There is no garbage, no trash in nature. Everything is there for a purpose. Life feeds on life. This is the natural order and that order can return with the introduction of the Vertical Farm.

Repairing the environment, and having a healthy and plentiful way of feeding our citizens may seem like goals that are at odds with each other. But remember in an ecosystem nothing is at odds, it is in complete line with the facts of nature.

These farms could raise produce in special soil less constructed buildings. The concept of vertical farming is dead simple. But the execution and the political will it will take is almost a bigger challenge than not knowing the solution. It is certainly more frustrating. Vertical farming is not a technological challenge like brain surgery or rocket science. Despite humans being pretty good at rocket science and brain surgery, my point is if we should not shy away from vertical farming because it is something new to us.

We have the technology in soil organization, hydroponics, and aeroponic growing techniques to grow crops used to growing in different temperate and humidity zones in multi-story buildings. Unlike their outdoor counterparts Vertical Farm Crops can be grown all year round unlike traditional farms. They will not require pesticides, fertilizers, or other harmful chemicals to speed growth or keep pests from destroying crops. In short there are no seasons in a vertical farm. No variables, no droughts, no unknowns. Everything can be carefully controlled for optimal growth of every plant species selected. It has been estimated that one acre of vertical farm foot print could equal as much output as a 28 acre traditional outdoor farm (Dr. Dickson Despommier).

Environmental Benefits

First Vertical Farms eliminate the use of fossil fuels used to first plant and harvest crops. But then also to ship them to the areas where they will ultimately be consumed. This is no small matter and perhaps why so many vertical farms have had difficulty really getting a foothold. This will be the VERY FIRST, Vertical Farm in a city setting. All crops will be sold on the ground floor in a grocery store retail store similar to what one might remember from the old vegetable and fruit stands on New York City.

The ingredients for the dinner you just ate today. Likely came from areas as far as 1,500 miles away, in every direction. Think of all the fuel and waste involved in such a process. The pollution and contribution to global warming in the shipping alone. All now eliminated for the first time. If you had a vertical farm in your city like I’m proposing in Los Angeles, all of your food could come from down the block. And not just your home groceries but what you find when you go out to eat. As our biggest customer is estimated to be the chef’s of the top local restaurants looking to gain an edge in cost, in flavor, and in the “halo effect” they get by advertising the locality and “green” factor they will get from their decision to buy locally. A win for the restaurant, the consumer, and the planet.

But let’s not stop talking about the advantages of having chef’s as a primary client. Think of the left overs on your plate at the end of your dinner. Where do you think that waste goes? Currently it is unrecoverable food for vermin. Roaches, and the Rats that feed on the roaches. With a vertical farm that waste can finally be recoverable from the restaurant and reused as energy, compost, and natural fertilizer. This waste would be so valuable to the Vertical Farm restaurant buyers could be offered compensation for their trash in the form of discounts on future purchases. Now a business with a historically awful profit margin and high failure rate could find a new profit center without raising any prices on it’s menu. Thus keeping inflation down, and restaurateur’s dreams alive a little easier.

Water

Under environmental I’m putting in a separate section to discuss water and why I have chosen Santa Monica / Venice Beach in Los Angeles California as the site of our first urban Vertical Farm. Before you say well isn’t water super scarce in Southern California? To the extent they sometimes can’t water their lawns and suffer terrible damage from wild fires?

Yes, but that’s the point.

By setting up a Vertical Farm in Venice Beach we would work with the city to build a solar power plant to convert Ocean Water (of which we have an unlimited supply) to clean drinking water safe for humans and crops. But isn’t solar intermittent and unreliable?

Yes again.

But isn’t the rain intermittent and unpredictable?

For sure!

Solar has had trouble supplanting the electric grid due to it’s intermittent nature in both providing power at all, like at night, but also the intensity of that power in the day. As opposed to the need for the absolute perfect 120 volts at 25 amps that is pumped into our homes and must be 100% reliable all the time. A solar power plant that is converting Ocean water to clean drinking water and pumped into a water tower for water pressure is totally "Ok" with being intermittent.

The water tower could also open up to catch rain water when it is raining in Venice (although that is so rare it is not necessary). We anticipate having a large surplus of water which we could give to the municipality of Los Angeles County but that we can also keep in reserve to start watering forest areas that have become dry and brittle. A tinder box for the next wildfire. By watering these areas of forest identified as dying due to drought and in the “wildfire zone,” we can prevent wildfires in southern CA. You read that right. Wildfires in Southern CA will become a thing of the past. A tragedy that we all just read about like the terrible fires caused from our dependency on Kerosene for light before electricity.

Finally, the fact that a Vertical Farm is in of itself a closed loop ecosystem, much of the water used to grow the crops could also be recaptured, purified, and used again. For the first time a city could become its own functioning and self-sustaining ecosystem. In comparison, New York City discards a billion gallons of “gray water” (waste water treated for deadly diseases but not drinkable), into the Hudson river every day. The reclamation of water, and the ability to have water to prevent wildfires in Southern California alone could be worth 30 billion dollars alone to construct even if we decided not to sell crops! Orange County installed a state of the art system to construct a facility to take “gray water” and turn it into drinking water costing $500 million dollars. It was worth every penny!

The end of pollution:

The most pressing case for urban vertical farming lies in our inability to handle waste. In particular agricultural runoff. This is the waste water ladened with pesticides, herbicides, and fertilizers and soot. Agriculture is responsible for more ecosystem disruption than any other form of pollution. Even nuclear waste (Dr. Dickson Despommier).

What’s more, today’s farmers can’t do much about it. Floods and severe weather dictate the moments of the highest volumes of runoff. Some 70% of all fresh water used on Earth is used for irrigation. And the unused portion of now gray water is returned to countless rivers, streams, and the water table itself. Moreover run off that goes into the Ocean causes even more havoc to the ecosystem. The Nitrogen rich fertilizer contaminated water is destroying our coral reefs. When those go scientists are not in consensus of what will happen just as they are not in consensus on what will happen if we continue to warm the globle, melting the polar ice caps and raising the sea level some meters. But the consensus is whatever happens it won’t be good.

There is a general feeling I get from the citizens of the United States that they want things to be clean. They want a healthy planet. But not at the cost of changing one luxury in their lifestyle. The Vertical Farm doesn’t quite meet this requirement, it exceeds it. By being carbon negative and increasing the luxury of their lifestyle. Being environmentally friendly could be the next big economic boon!

Deforestation for freeing up farm land reinforces this negative cycle of destruction to the ecosystem by adding more nitrogen to the mix that does not belong and by further hampering the planets own natural ability to sequestered carbon and make oxygen. In nature before humans there was no such thing as waste or garbage. With the Urban Vertical Farm we can start to get back to that.

Health Benefits / Backwards Subsidies / Health Outcomes that are tied to these Subsidies

Health Benefits: Fruits & Vegetables vs. Fast Food

1. Nutritional Value

Fruits and Vegetables:
- Rich in vitamins, minerals, antioxidants, and fiber.
- Help reduce risk of chronic diseases like heart disease, diabetes, and certain cancers.
- Low in calories, fat, and sodium.
Fast Food (e.g., McDonald's, Burger King):
- High in saturated fats, sodium, and added sugars.
- Often low in essential nutrients like fiber, vitamins A, C, and K, magnesium, and potassium.
- Can lead to weight gain, high blood pressure, and insulin resistance if consumed frequently.

2. Long-Term Health Effects

Fruits and Vegetables:
- Associated with longer life expectancy and improved mental health.
- Support digestive health and stable energy levels.
Fast Food:
- Increased risk of obesity, type 2 diabetes, cardiovascular diseases, and depression.
- Addictive flavors and oversized portions can encourage overeating.

Government Subsidies: Fast Food vs. Produce

1. Fast Food Industry (Indirect Subsidies)

Fast food companies do not receive direct subsidies, but:
- They benefit indirectly through subsidies to commodity crops used in processed foods (e.g., corn, soy, wheat, which are turned into high-fructose corn syrup, soybean oil, animal feed).
- These subsidies make ingredients in fast food cheaper, lowering costs for companies like McDonald’s and Burger King.
- Additionally, the livestock and dairy industries—heavily used by fast food chains—also benefit from subsidies.

2. Fruits and Vegetables (Specialty Crops)

Fruits and vegetables are categorized as "specialty crops" and receive far fewer subsidies.
- U.S. farm policy has historically prioritized commodity crops, not fresh produce.
- There are some programs to support fruit/veg (e.g., SNAP benefits for produce, USDA fruit/veg incentive programs), but the funding is relatively small.

Subsidy Comparison Summary

Category Level of Subsidy Type of Support

Corn, Soy, Wheat High Direct payments, crop insurance

Meat/Dairy Moderate to High Price supports, marketing orders

Fruits/Vegetables Low Limited grants and incentives

Fast Food Chains Indirectly High Benefit from cheap commodity inputs

Conclusion

Health: Fruits and vegetables are clearly the better choice for long-term health and wellness. This is pretty much common sense at this point but still deserves a mention.
Policy: The current U.S. subsidy system indirectly supports the fast food industry far more than fresh produce, making unhealthy options cheaper and more accessible.

Cost Competitive Advantage:

When it comes to cost at the local grocery store vs. Pape Fam Farms Vertical Farm, the cost/profit margin advantage is astounding. Let’s take a look at just a few examples as to not belabor the point.

Apples and Avacados for example at your local Whole Foods or grocery store vs. Pape Fam Farms (who will have a hands down quality advantage if anyone has eaten a home grown Tomato vs. a grocery store Tomato can attest to).

Product Method Growing Cost Harvesting Cost Transport & Storage Retail Overhead Total Cost Profit

Apple Traditional $ 0.20 $ 0.10 $ 0.15 $ 0.10 $ 0.55 $ 0.45

Apple Vertical $ 0.20 $ 0.05 $ N/A $ 0.05 $ 0.30 $ 0.70

Avocado Traditional $ 0.30 $ 0.15 $ 0.20 $ 0.10 $ 0.75 $ 0.25

Avocado Vertical $ 0.30 $ 0.08 $ N/A $ 0.05 $ 0.43 $ 0.57

Conclusion:

Although Pape Fam Farms will be a Non Profit, it will only be a non profit because it is late in the hour and we must act now if we are going to save the planet and ourselves. In the future this model can be used all across the country for anyone who wishes to better their city and they can get rich doing it. I don not intend for all of my business to be Non Profit. But with the stakes as high as they are this late in the game I want to get something out there right now and getting government grants and charitable donations will be the fastest. Because from a profitability standpoint you can quickly see that The Vertical Farm will have nearly a 100% higher profit margin on most goods.

Here are simply two as examples.

Strengthening the Community

Pape Fam Farm’s Vertical Farm will strengthen the Venice Beach CA community in a number of ways:

The Beauty of the building and plants themselves along with the outdoor display of fresh fruits and vegetables is clear. It will no doubt be an LA tourist attraction and must see.

I plan on hiring primarily straight from the County Jail for many of our Harvesters and Farmers. The Vertical Farm goes with The Continental Hotel. The Farm is one of the many jobs that Americans that have found themselves in a rough spot will be able to get some assistance on the rehabilitation side vs. the punishment side. We have all heard the term “Repay your debt to society” used to refer to the prison sentence someone might receive for a given crime. I don’t know about you, but I have a hard time seeing how paying to house, feed, and medically care for a man for years does anything to repay society.

Legendary Cop, Frank Pape (Chicago PD 1933-1965 no known relation), had a saying I couldn’t agree with more: “THE POLICE ARE ONLY AS EFFECTIVE AS THE CITIZENS THEY HAVE BEEN SWORN TO PROTECT AND SERVE.”

I believe what he meant by that quote is that having a safe and crime free community is a team effort. You don’t just hire some cops to do your dirty work and then thank them for their service. Pape Family Enterprises recognizes this and plans to incorporate its nonprofit organizations in with the local county sheriff as a place that inmates can get real rehabilitation from. A place where they won’t get just job training, but on the job training. And it won’t be at some fast food joint, it will be with one of our businesses that offers the opportunity for a long term lucrative career.

Everyone benefits from a healthier and slimmer population. By making healthy food more affordable we can start to level the playing field. We would plan on offering a 50% Discount to anyone using the SNAP or CalFresh program in this case (food stamps).

The Link between Nutrition, Income, and Health Outcomes is well documented in the United States.

According to the CDC:

Life Expectancy by Income Level

Men:
- Top 1% income earners: Approximately 87.3 years
- Bottom 1% income earners: Approximately 72.7 years
- Difference: 14.6 years
Women:
- Top 1% income earners: Approximately 88.9 years
- Bottom 1% income earners: Approximately 78.8 years
- Difference: 10.1 years

Poor Nutrition Increases Risk of:

Obesity
Type 2 diabetes
Heart disease and hypertension
Certain cancers
Cognitive decline and mental health issues

Adequate Nutrition Promotes:

Healthy development in children (especially brain development)
Strong immune function
Longer life expectancy
Better mental health and mood stability
Improved productivity and academic performance

2. Income Determines Access to Nutritious Food

Lower-Income Households Often:

Live in food deserts (areas with limited access to affordable fresh food)
Rely more on processed, calorie-dense foods that are cheaper but nutrient-poor
Spend a higher percentage of their income on food, leaving little flexibility for healthy options
Experience food insecurity — not always knowing where their next meal will come from

High-Income Households More Likely to:

Shop at stores with wide selections of fresh produce and health foods
Afford organic or specialty diets (e.g., gluten-free, keto, etc.)
Have better access to dietary education and meal planning resources
Live in neighborhoods with higher food quality standards and more healthy food outlets

Health Outcomes Disparities by Income

Studies Show:

Low-income adults are more likely to suffer from diet-related diseases.
Children in food-insecure homes are at higher risk for developmental delays and behavioral issues.
Life expectancy can vary by more than a decade between the richest and poorest Americans, in part due to diet-related health disparities.

Real-World Examples

A 2015 USDA study found that a healthy diet cost about $1.50 more per day per person than an unhealthy one. Over time, this becomes a substantial burden for low-income families.
The Nurses' Health Study and the Health Professionals Follow-Up Study consistently link healthy eating patterns with lower mortality—but also show those patterns are followed more by high-income, highly educated individuals.

Interventions That Help

SNAP/CalFresh (food stamps): Offers purchasing power, but limitations exist (e.g., less is spent on fruits and vegetables).
Double Up Food Bucks and Healthy Incentives Programs: Match SNAP spending on produce.
School meal programs: Critical for ensuring children in low-income families receive at least one or two nutritious meals daily.
Urban farming and community gardens: Improve local access to fresh food. Pape Family Farms!!

The Specifics of Pape Family Farms

Now that we have established what a Vertical Farm is. The benefits of such a farm on Human Health, Happiness, the Environment, and how it can uplift the entire community for which it serves, lets get into the specifics of how the farm would function. What would be our product offerings. How would we be different from other Vertical Farms and competitors, and how would this difference lead to a competitive advantage and success.

Aside from the aesthetic visual you get from the farm sitting right on top of the grocery store, we are still a retail grocery store at heart.

Meaning like any business we are subject to the same inputs that lead to the success of any business:

Great Products / Great Customer Service / A Loyal and Enthusiastic Workforce to ensure they put their all into the products they produce and the customers they serve.

Great Products:

Pape Fam Farms of Venice will offer the following products (in alphabetic order)

1. Almonds

2. Apples (Honey Crisp)

3. Artichoke

4. Arugula

5. Avocados (Haas)

6. Banana Peppers

7. Basil

8. Beans - Kidney, Cannelli, White Northern, Black, Pinto, Black Eyed Pees, Green, String

9. Beets

10. Bell Peppers

11. Blueberries

12. Boston Lettuce

13. Cantaloupe

14. Carrots

15. Celery

16. Cilantro

17. Clementines

18. Corn

19. Cherrys

20. Cucumbers

21. Limes

22. Grapes

23. Potatos (Yukon Gold, Sweet & Brown Idaho)

24. Iceberg Lettuce

25. Kale

26. Lemons

27. Mangos

28. Mandarin Oranges

29. Marijuanna Flower and Spliffs (Tobacco Mixed In)

30. Melons

31. Oranges

32. Parsley

33. Peaches

34. Peas

35. Pineapple

36. Plums & Apricot Plums

37. Radishes

38. Rasberries

39. Romaine Lettuce

40. Spinach

41. Strawberries

42. Tobacco, pouch, chewing, cigar, cigarette, spliffs

43. Tomatoes (Vine & Heirloom)

44. Watermelon

45. White Nectarines

46. Yellow Squash

47. Zucchini

You may have noticed Marijuana and Tobacco on our list. These are two very controversial product offerings, one of which is well known to be the root cause of more death’s than any single thing we have been able to link to date.

Pape Fam Farms, and myself, Anthony Pape in particular pride myself in having a strong understanding of human nature. If there is demand for a product you can make it illegal all you want, supply will find a way. Pape Fam Farms will offer these products as they have been deemed legal by the State of California. But unlike anywhere else in the USA all of our Marijuana and Tobacco product offerings will come with a true and accurate description of the risks associated with the products. If there is not enough room on the package itself then a small pamphlet will be placed inside. Finally all of these products will be labeled with a “Red Skull and Cross Bones.” A universally known symbol to any language which means this is not good for you!

One final thought on the Environment before Financial Addendums

“Interstellar”

I was watching the movie “Interstellar” the other day with Matthew McConaughey. The premise of the movie is that McConaughey was an Astronaut and pilot for NASA. As the movie begins, however, he is a farmer. Why the big career change?

In the movie McConaughey is summoned to his children’s school for parent / teacher conferences. First, he meets regarding his son in which he is informed that this 14-year-old is going to make a great farmer. Dismayed McConaughey’s character says: “no college? You’re going to decide right now for this boy because of one aptitude test that he can’t be an engineer, a doctor, but just a farmer? They teachers quickly respond that the world doesn’t need more engineers and gadgets, the world needs food!

The conversation then turns to the daughter, Murphy. The teachers state that Murphy is bright but she has been fighting. “Fighting? Exclaims McConaughey’s character. “About what?” “Well, the teacher explains, she has been showing off this book she brought in.” McConaughey smiles and says: “Oh this is one of my old science text books from college. How could kids fight over this?” “This is not an approved text book by the states school curriculum,” replies the teacher. “The state science books have been updated to reflect that fact that the moon landings were faked.” Obviously a contentious argument ensues, but the clear reason why the states school system altered the books with that we as humans have destroyed planet Earth. Through bad farming practices we have destroyed the soil. It’s dead. All we can grow now is corn.

During the moving they have brief interludes of older people talking about what it was like to live in that time. Because during this time in the movie they are in the middle of a miniature dust bowel. So it’s clips from people discussing how when they opened the door how fast they would have to shut it so there wasn’t too much dirt to sweep out. When they set the dinner table, everything was set upside down. This was when it was time for dinner you flip your plate over and it’s clean, your drinking glass too.

And then it hit me like a bucket of ice water in the face. First there’s the shock of it. Then the realization. These clips are all real people, actual real interviews describing their childhood experience when living in Oklahoma, Texas, Colorado, during Ken Burns documentary: “The Dust Bowel.” A doccumentar about perhaps the largest man made disaster in history and here is a movie discussing how it could happen again.

But that’s just a movie. And a very good one by the way. But since it is just a movie I went looking a the odds of this happening again. And although not inevitable, it is probable:

For Further Reading on Dust‑Storm Risks

AP News

A highway pileup in western Kansas shows how dust storms can turn deadly

Mar 17, 2025

Jacksonville Journal-Courier

State moves to slash cover crop funds despite rising demand

Apr 2, 2025

Article Highlights

A highway pileup in western Kansas shows how dust storms can turn deadly

This March 18, 2025 AP News report covers a catastrophic dust storm on Interstate 70 near Goodland, Kansas, that resulted in a massive 71-vehicle pileup and eight fatalities. The storm, powered by high winds sweeping up dust from bare farmland, led to near-zero visibility—recalling 1930s Dust Bowl imagery and underscoring how exposed soils, even today, pose serious hazards -AP News.

State moves to slash cover crop funds despite rising demand

A more recent investigation reports that Illinois Governor JB Pritzker proposed cutting funding to the state’s “Fall Cover for Spring Savings” program by 31%—reducing it from $960,000 to $660,000. Despite growing demand for cover cropping—a proven method to reduce dust and soil erosion—these cuts diminish farmers' ability to adopt long-term conservation practices. The program, which offers a $5-per-acre crop insurance discount, now severely lacks capacity, undermining statewide resilience against dust events Jacksonville Journal-Courier.

Why These Matter for Investors

Real & Present Risk: The Kansas incident demonstrates how exposed agricultural lands can trigger sudden, dangerous dust events—even in modern times.
Policy-Driven Vulnerability: Reduced support for practices like cover cropping may weaken the resilience of nearby operations to dust storms and degraded soil health.
Conservation as Opportunity: Your vertical farming initiatives can be framed not just as climate-smart, but as disaster-mitigating. Emphasizing their ability to shield supply chains from these environmental threats strengthens the investment narrative.

The Vertical Farm

​