Innovative Industrial Properties Inc (NYSE:IIPR) has acquired 50,000 Sq. Ft. of industrial space in Ohio for $10.6 million. The company signed a triple net lease accord with Cresco Labs Inc’s subsidiary. Cresco will use the industrial space for regulated cannabis processing and cultivation. Innovative Industrial will also pay $1.9 million to Cresco for additional tenant improvements on the property. It is the third lease back accord with Cresco. Innovative Industrial already signed two licensed cannabis processing and cultivation purchase and leaseback accords with Cresco in Illinois.
Partners with medical use cannabis operators
Innovative Industrial partners with several experience medical cannabis partners. It acquires the properties and leaseback and serves as the source of capital. Chief Executive Officer and President of Innovative Industrial, Paul Smithers, said the company is pleased to enhance its relationship with Cresco and its talented management team.
Benefit for consumers and patients
Cresco will continue to execute its business plans. It is ensuring the nationwide reach of operations and benefitting consumers and patients across the US. The company is contributing to the local communities and creating more jobs. Paul said he is thrilled to partner with Cresco in Ohio. This partnership will help to ensure the availability of trusted and high-quality products to needy patients.
The vertically integrated cannabis company – Cresco operates twenty-one cannabis dispensaries in the US. It holds thirty-one retail cannabis licenses and eighteen licensed cannabis manufacturing facilities. Some of the trusted and recognized brands of Cresco include Remedi, Cresco, and Mindy’s.
Co-founder and president of Cresco, Joe Caltabiano, said partnering with Innovative Industrial will help to improve its balance sheet and invest accrued funds into higher-yielding opportunities. The company will look forward to deepening its presence in those states with Innovative Industrial is one of the trusted providers for capital.
The licensed medical program in Ohio is in its infant stage and expecting the first sales in early 2020. It has nearly 80,000 patients in less than one year of commencing sales. The program has registered caregivers of 8,000 as of December 2019.
Innovative Industrial owns 48 properties
Innovative Industrial owns forty-eight properties in Minnesota, Florida, Colorado, Arizona, Michigan, Ohio, North Dakota, Virginia, Pennsylvania, Nevada, New York, Massachusetts, Maryland, and California.