Treasury buys Daou

And that also assumes a total sell through as well.

I know they have quite a bit of upscale production, and not just the grocery store Cab we all know.

A $200 bottle of Paso Cabernet is not at the same cost of production of a $200 Napa Cab :wink:

(Not sure if you saw, my reply was to Todd, who said they were making $15-$30 million a year).

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Not our favorite wine but the location is stunning. We always visit when in Paso.

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This was 2012. The tasting room was somewhat new.
It was the only time we tasted there, but we’ve returned once or twice over the years to check out the view. The wine did not impress us. This photo cracks me up.

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I’m sorry to disappoint you, but not a single wine tasting has been arranged at our condo. :stuck_out_tongue_winking_eye:

But yeah, sure, I guess we could still have such a tasting - just in the name of science and academic curiosity!

The folks at Daou sold a lot of wine and then sold the winery for $1B.
I think these guys “get” sales.

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What great vineyard are they going to buy to rip out to plant Cab?

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Paso has been exemplary in their wine maketing. They’ve gone from a place nobody had heard of, to a wine destination in less than 20 years. Santa Barbara and certainly Lodi should employ those marketing guys. They killed it.

But for my palate and taste, I think SB has much more potential as a growing region than Paso and I think this will show with time. They just need to build the destination and buzz part of it.

Congratulations to the Daou’s. That’s a staggering deal.

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Here is an article about their intentions.

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It’s on almost 10 acres. CA real estate is all about land value. You know that

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If Paso is anything like Napa County, there is a 0.001% chance the planning commission lets them pull out vineyard to do that.

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Lodi is working it better than SBC is unfortunately - and yep, folks pass us by every day to go to Paso instead . . .

Cheers

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Nearly 10 acre lot, with a 1.5 acre vineyard and winemaking shed + equipment. Neat!

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I think it has to do a little bit with it not being very centralized. Los Olivos certainly wall to wall tasting rooms, but in SB proper, it becomes a bit of an urban experience where they’re spread out. Then you got Santa Ynez and quite a few in Los Alamos, Buellton, Santa Maria etc. I think it’s hard for visitors to get an overview. But that’s certainly what a wine board or growers association should promote and help simplify.

There’s a lot of money in the region. Why can’t they get a marketing consensus going?

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Okay. You say that as though I knew it but obviously I did not.

My point was that land and housing are pretty expensive in Paso. A lot more than you would imagine looking at it on a map. Do with that as you will.

I said that because you live in CA (OC) where a 5000 sq ft lot is $1m ish. This is about 10 acres plus a nice home albeit not in SoCal but still in a fairly well developed area in CA. Put in any western state coastal state in a fairly well developed area and it’s gonna be in that same realm price wise

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Current vintage of their flagship wine is a bit out of tune.

Their other wines have improved from previous years (they all tasted like high octane grain alcohol to me). I’m not sure if this was intentional or accidental, but drinkable this year. I will say hospitality wise… they host pretty nice events. I found it weird they hosted us at a famous Chinese restaurant. Didn’t pair with the wines in the least… several people at the table were also like ???

Their Cabernet Reserve is a better alternative to Austin Hope. The last time I had Austin Hope it was fine, but it mostly tasted like spiced vanilla latte.

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Austin Hope is next on the auction block.

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I was thinking Larkmead. Big DTC business, huge amount of acreage. They’ve streamlined the production a bit too.

I’ve also had this funny feeling that Duckhorn was building up to sell too. They’ve become a huge player.

Duckhorn is already owned by a PE firm if that counts as being sold.

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I knew they were, but since it is PE, you have to figure they are growing it to sell it, right?

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