Innovative Industrial Properties Inc, a San Diego-based real estate company focused on the legal cannabis industry, has acquired a 145,000 square foot property in Lansing, Michigan. According to a news release, the purchase price for the industrial space was approximately $4.8 million.
Concurrently, Innovative Industrial Properties entered a long-term agreement with Ascend Wellness Holdings LLC, which will operate the space as a licensed medical-use cannabis cultivation and processing facility. The Michigan property is the second time IIP works with AWH; in December 2018, IIP acquired a 75,000-square-foot location in Illinois and entered an agreement with AWH for use as a medical cannabis cultivation and processing business.
“We are excited to team up with AWH again as their long-term real estate partner in Michigan,” said Paul Smithers, president and chief executive officer of IIP, via a statement. “AWH is very well-positioned, with a strong management team and balance sheet, as it ramps up its operations in Massachusetts, Illinois, Michigan and Ohio…”
AWH partners with medical-use cannabis operators and “serves as a source of capital by acquiring and leasing back their real estate assets,” according to the press release. The company has raised over $100 million in capital to date and owns 23 properties in Arizona, California, Colorado, Illinois, Massachusetts and New York, to list a few.
Travel & Hospitality reporter Mariel Concepcion can be reached at mconcepcion@sdbj.com or 858-634-4625.
