3 Marijuana Stocks To Watch Mid February
Many want to know what investing in marijuana stocks will mean in the future. To be more specific with no federal legislation in place some investors are finding trouble seeing a progressive trading path. Right now the many who are involved in the cannabis industry are waiting to see what 2022 will bring. Currently, a cannabis banking measure has passed the House and is awaiting its vote by the senate.
With cannabis banking legislation being passed it would allow for financial institutions to work MRB’s. With marijuana still federally illegal, it is tough for some companies to conduct certain businesses without fear of federal penalty. Now on the other hand Chuck Schumer has recently stated that he will be filing his reform bill in April.
His bill would eliminate cannabis prohibition once and for all. This is the big focus inside the cannabis industry. Many investors have been waiting for the eventual passing of the bill to do so. Plus many also feel this will be a big catalyst in seeing a possible recovery in the sector.
Marijuana Stocks And More Industry Growth
Yet beyond federal reform on a state level, a lot of growth has occurred. More states have votes to go legal and this year it’s possible to see even more. This would not only increase the number of legal states but will increase the number of legal markets. Which can lead to more revenue for each state. Not to mention most new markets are first approached by top MSO’s.
To which investors believe 2022 has the potential to be a strong year for some multi-state operators. So with more progress hopefully it will resonate well among cannabis stocks in the sector. This holds true to some pure-play companies as well. With much more to be seen this year this is only the start for marijuana stocks and the cannabis industry.
- Innovative Industrial Properties, Inc. (NYSE:IIPR)
- AFC Gamma, Inc. (NASDAQ:AFCG)
- NewLake Capital Partners, Inc. (OTC:NLCP)
Innovative Industrial Properties, Inc.
Innovative Industrial Properties, Inc. is a self-advised Maryland corporation focused on the acquisition, ownership, and management of specialized properties. Which are then leased to experienced, state-licensed operators for their regulated medical-use cannabis facilities. In recent news, the company announced it has acquired a New Jersey property and has expanded its Real Estate Partnership with AWH.
The purchase price for the property was $35.4 million (excluding transaction costs). AWH is expected to complete additional improvements for the approximately 114,000 square foot property as a regulated cannabis cultivation and processing facility, for which IIP has agreed to provide reimbursement of up to $4.6 million.
Assuming full reimbursement for the tenant improvements, IIP’s total investment in the property is expected to be $40.0 million. AWH is planning to build out its overall New Jersey cultivation footprint to include a lab, kitchen, and 150,000 square feet of canopy by the end of 2023. In addition to this New Jersey property, IIP owns and leases to AWH three other properties in Illinois, Massachusetts and Michigan, with IIP’s total investment in properties leased to AWH, including commitments to fund future tenant improvements, equaling approximately $179.75 million.
[Read More] 3 Marijuana Stocks For Your February Watchlist
AFC Gamma, Inc.
AFC Gamma, Inc. originates, structures, underwrites and manages senior secured loans and other types of loans. Which are for established companies operating in the cannabis industry. That is located in states that have legalized medicinal and/or adult-use cannabis.
In recent news the company announced the nomination and appointment of Marnie Sudnow to AFC Gamma’s Board of Directors. Mrs. Sudnow brings over 20 years of experience in executing digital advertising and e-commerce strategies for global retailers. In connection with the appointment of Mrs. Sudnow, the Board was expanded to eight directors, six of whom are independent.
Words From AFC Gamma, Inc.
“As a female leader in the cannabis industry, I am especially pleased that Marnie will increase the female representation on AFC Gamma’s Board. I believe that women business leaders bring a unique perspective, which can be additive in shaping Board discussions,” said Robyn Tannenbaum, Co-Founder and Head of Originations of AFC Gamma.
NewLake Capital Partners, Inc.
NewLake Capital Partners, Inc. is a leading provider of real estate capital to state-licensed cannabis operators. Founded in 2019, it is a triple-net lease REIT that acquires industrial and retail properties through sale-leaseback transactions, third-party purchases, and build-to-suit projects. Its tenants are some of the leading operators in the U.S. state-licensed cannabis industry and it is a trusted partner for their real estate needs.
Back in December, the company announced its partners acquired research, cultivation, and processing property in Missouri. NewLake’s total investment in the property will be $21.1 million. This includes $16 million at closing. As well as a commitment to fund $5.1 million of tenant improvement allowances to complete renovations of the building. Organic Remedies operates the property as a cultivation and processing facility.