Innovative Industrial Properties Expands Real Estate Partnership with Green Thumb Industries at Ohio Property
Innovative Industrial Properties, Inc. (IIP), the first and only real estate company on the New York Stock Exchange (NYSE: IIPR) focused on the regulated U.S. cannabis industry, announced today that it entered into an amendment of the lease with a subsidiary of Green Thumb Industries Inc. (Green Thumb) (CSE: GTII; OTCQX: GTBIF) in Toledo, Ohio, making available an additional $25.0 million in funding for the construction of a cannabis cultivation facility, which is in addition to the existing medical cannabis processing facility on the property. The lease amendment also adjusted the base rent under the lease to take into account the additional available funding and extended the term of the lease agreement. Assuming full payment of the additional funding, IIP’s total investment in the property will be $32.2 million.
In addition to this facility in Toledo, Ohio, IIP owns and leases to Green Thumb’s regulated cannabis cultivation and processing facilities in Oglesby, Illinois and Danville, Pennsylvania. Assuming full reimbursement of tenant improvements under the leases, IIP’s total investment in properties leased to Green Thumb is expected to be $121.8 million.
As the pioneering real estate investment trust (REIT) for the medical-use cannabis industry, IIP partners with experienced medical-use cannabis operators and serves as a source of capital by acquiring and leasing back their real estate assets, in addition to offering other creative real estate-based capital solutions.
Green Thumb is a leading national cannabis consumer packaged goods company and owner of Rise and Essence retail stores. Green Thumb has 13 manufacturing facilities, licenses for 96 retail locations and operations across twelve U.S. markets. In addition to the Toledo facility, which commenced production and distribution of Green Thumb’s brand portfolio in early July, Green Thumb currently operates five licensed dispensaries in Ohio.
“Green Thumb is a best-in-class operator with a dedication to providing the highest quality cannabis products to its patients and customers, while being an impactful contributor to the communities where it operates,” said Paul Smithers, President and Chief Executive Officer of IIP. “We are proud to be Green Thumb’s long-term real estate partner, and to support them with the real estate capital in this next phase of development of their presence in Ohio to effectively serve the demand of medical cannabis patients throughout the state.”