A14
CALENDAR Know something that’s going on? Send it to calendar@ coastnewsgroup.com
JULY 16
BELGIAN WAFFLE RIDE
The North City, San Marcos Belgian Waffle Ride will host a fair from noon to 6 p.m. July 16, 10 a.m. to 9 p.m. July 17 and the bicycle ride starts at 7 a.m. July 18. For more information, visit belgianwaffleride.bike/pages/california. SENIOR CENTER DANCE
Encinitas Senior Center will host an Independence Day Dance from 2 to 4 p.m. July 16, 1140 Oakcrest Park Drive, to the classic melodies of yesteryear. Couples and singles welcome. Admission is $5, payable at the door. call (760) 943-2250 or e-mail encinitasparksandrec@encinitasca.gov for additional information. MEMORIAL GOLF TOURNEY
The Andrew Salazar Memorial Golf Tournament will be held from 10 a.m. to 2 p.m. July 16 at the Lomas Santa Fe Executive Golf Course,1580 Sun Valley Road, Solana Beach. La Posada provides housing for migrant workers and the unsheltered in Carlsbad. Register at https://givebutter. com /stophomelessnesstournament.
JULY 17
GENEALOGY GROUP
The DNA Interest Group will present a free webinar from 1 to 2:30 p.m. July 17 with genetic genealogist Kathleen Fernandez on “Shared Matching Methodology.” Registration is required at nsdcgs.org/webinars/. For questions e-mail dig@nsdcgs.org.
T he C oast News
JULY 16, 2021
In Solana Beach, a global water giant emerges getting deals done patrick a. howell
I
n the 1980s, we took all of our water from faucets — washing vegetables, cleaning meat and fish, showering and bathing, boiling water for coffee and cooking, getting a tall glass of water on a hot summer day, watering the lawn and garden. The water was all the same source, twist the knob, turn the silver lever and let the water flow from municipal water. There were no bottled water empires, spring water industries or water filters. So the idea that bottled water or water for sale would become a multi-billion dollar industry in the United States was utterly fanciful. It was a mirage-like mist or clouds billowing in blue skies. In 2020, the global bottled water market size was valued at USD 217.66 billion and is expected to expand at a compound annual growth rate (CAGR) of 11.1% from 2021 to 2028. From pipe dreams to billion-dollar industries At least, that’s the sense I get talking to Brendon Marks, CEO of Capture H20 in Carlsbad. “Our Trilogy Investment Group has always been involved in commercial real estate and investments. Candidly, I didn't want to invest in single-digit cap rates investments for the rest of my life,” Marks said. “It was obvious that there was more opportunity in small market cap and below. Probably a lot more
BRENDON MARKS is the CEO of Capture H20 in Solana Beach. The company has a proprietary system “to provide commercial water systems for places like bottling plants, data centers, power plants ... anything that has cooling,” Marks says. Courtesy photo
opportunity in companies that make less than two million of EBITDA.” Capture H20s multipliers are significantly larger than the water bottling industry over a half-century ago — 10 to 100-times greater — as they are operating within the B2B industry of water treatment for cooling systems and industrial usage. Marks and Capture H20 have figured out a neat proprietary system for corporate businesses that use water tanks for cooling systems. They've got that new vision, investment bank bonafides and moxie to speak nothing of some pretty valuable partnerships, such as Westfield properties, Irvine Company, Pepsi Co., Gatorade and Callaway Golf. So, even as Capture H20 walks with its head
in the clouds, its feet are planted firmly with strategic partners in the business ecosystem. Cooling towers are amongst the largest consumption of water in the United States after agriculture and thermoelectric power. “We provide commercial water systems for places like bottling plants, data centers, power plants… anything that has cooling,” Marks said. “We are trying to solve for three issues: scale, corrosion and bacteria. The traditional method is to use chemicals and blow that water down the drain. Our cash ratio is founded on the concept that we are going to use innovation to preserve resources and save our customers money. That’s our mission and exactly what we are built for.” All of Capture H2O’s
cooling water consumption is replaced with wastewater and it is sustainable with virtually no chemicals. Capture H2O has creatively addressed the cooling water treatment needs of commercial office buildings for over a decade. Capture H2O operates in all industries that have an evaporative cooling component. Evaporative cooling systems are characterized by low energy use compared with refrigeration cooling. The total size of commercial real estate in the U.S. was estimated at $16 trillion in 2018. All of these new (and existing) buildings need cooling and air conditioning. Let’s drill down on that market a little more: the global industrial refrigeration system market is expected to grow from USD 19.3 billion in 2019 to USD
24.8 billion by 2025, at a CAGR of 4.3%. Capture H20, like Tesla in the auto industry, is also positioned as an essential fixed cost business in a billion-dollar industry within a trillion-dollar industry, mitigating the risk of speculation and strategically positioned for upside gains. Marks’ task is that of changing ideas and coming upon powerful interests in an existing billion commercial refrigeration industry. Marks, however, only notes the opportunity. “I think the natural progression of innovation is taking place in our industry as well,” Marks said. “Which is great!” So far, Capture H20 has managed to save 165 million gallons of water saved for clients annually. But the company’s ultimate goal is to save billions of gallons of water per year. The world’s most essential commodity is not oil and gas or American culture in the form of its films and music. It’s water (alongside ingenuity, passion and vision). Capture H20’s gambit is a clever one because it is built upon the guaranteed business in “build back better” America and the all-but-certain commercial real estate boom. At the helm of SoCal’s Capture H2O behemoth materializing is Marks, bushy-browed and brighteyed. Brilliant, in fact. But, then again, he is operating in Solana Beach, a city literally named for its sunlight. And, yes his hair is sunburnt auburn and his eyes, sky blue. Patrick A. Howell is an award-winning financier, tenured entrepreneur and author of “Dispatches from the Vanguard.”
GRANTS FOR CHARITIES
Cox Charities is accepting applications from nonprofit organizations through July 31. To apply for a Cox Charities community grant, visit coxcharitiesca.org/communitygrants.
JULY 18
VETS’ GOLF CHALLENGE
Operat ionGa meO n encourages you to register now for its 15th annual Cup Challenge on the driving range at Fairbanks Ranch Country Club from 1 to 4 p.m. Aug. 16, with plenty of chances to make a holein-one, food, beverages, live music and a chance to meet veterans. Register at https:// operationgameon.org /. OperationGameOn provides golf for veterans’ rehab. SUMMER LIBRARY FUN
The Escondido Public Library offers its Summer Virtual Activity Challenge 2021: “Tails & Tales” through Aug. 8 for TURN TO CALENDAR ON A15
GAINING GROUND
CONSTRUCTION CREWS reached a milestone in the Del Mar bluffs emergency repairs this past week after completing construction of a keyway, or concrete foundation, to strengthen the bluffs during the ongoing slope repairs. Later this summer, crews will install a new sea wall along the beach south of 4th Street. Courtesy photo