Benzinga | Jul 14, 2020 04:31PM EDT

Innovative Industrial Properties Acquires New Jersey Property And Enters Into Long-Term Lease With Curaleaf

IIP Expands Portfolio to 4.5 Million Square Feet in 16 States

SAN DIEGO--(BUSINESS WIRE)-- 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 closed on the acquisition of a property in Blue Anchor, New Jersey, which comprises approximately 111,000 square feet of industrial space.

The purchase price for the property was $5.5 million (excluding transaction costs). Concurrent with the closing of the purchase, IIP entered into a long-term, triple-net lease agreement for the property with a subsidiary of Curaleaf Holdings, Inc. (Curaleaf), which intends to operate the property as a regulated medical cannabis cultivation and processing facility. Curaleaf is expected to complete additional tenant improvements for the property, for which IIP has agreed to provide reimbursement of up to $29.5 million. Assuming full reimbursement for the tenant improvements, IIP's total investment in the property will be $35.0 million.