Marijuana REIT seeks to raise $100 million in public offering

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Innovative Industrial Properties (IIP), a real estate investment trust based in San Diego that specializes in sale-leaseback deals in the marijuana industry, plans to raise $100 million by selling more than 1 million shares.

The underwritten public offering of 1,348,389 shares of IIP’s common stock is expected to close May 29.

Proceeds from the offering will be used “to invest in real estate assets for cannabis cultivation and processing and general corporate purposes,” according to an IIP news release.

IIP recently agreed to a $17.5 million sale-leaseback deal with Kings Garden, a cannabis company based in California’s Coachella Valley. The transaction involved a 70,000-square-foot facility.

Innovative Industrial Properties, which trades on the New York Stock Exchange as IIPR, has seen its stock fall 2.6% this year.