There are several reasons why a company opts to build its own new facility rather than purchase or lease an existing one. The primary reason is that a new facility offers the maximum design flexibility and efficiency to meet the project's needs. An existing facility forces the company to adjust based on the present design.
Additionally, all capital equipment needs to be maintained. New facilities are typically much less costly to maintain than used facilities. If the company wants to advertise its new operation or attract employees, new facilities also tend to be more favorable.
Read more: What is the difference between a green field and a brown field investment? | Investopedia http://www.investopedia.com/ask/answers/043015/what-difference-between-green-field-and-brown-field-investment.asp#ixzz4KIts1eYR
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