NewLake Capital Partners Strikes $20.5 Million Deal with Arizona Cannabis Company

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Cannabis real estate company NewLake Capital has struck a $20.5 million sale-leaseback agreement with Arizona-based multistate operator The Mint.

Under the terms of the deal, NewLake has agreed to purchase land in Phoenix for $2.4 million and provide $18.1 million for the construction of a 130,757 sq. ft. cultivation and processing facility.

In April, the Connecticut-based real estate company struck a similar but smaller deal with The Mint that includes a 40,000 sq. ft. property in Palmer, Massachusetts.

Earlier this year, NewLake merged with GreenAcreage, another real estate investment trust (REIT).

Additional information is available in the news releases below.

NewLake Capital Partners Expands Real Estate Partnership and Closes on Cultivation and Processing Facility with The Mint in Arizona

Total investment of up to $20.5 million including an $18.1 million Tenant Improvement Allowance

NEW CANAAN, Conn., July 07, 2021 (GLOBE NEWSWIRE) -- NewLake Capital Partners, Inc. (“NewLake”), a leading provider of real estate capital to state-licensed cannabis operators, today announced the acquisition of a parcel of land for the construction of a 130,757-square-foot cultivation and processing facility in Phoenix, Arizona. Concurrent with the closing of the acquisition, NewLake entered into a long-term, triple-net lease agreement with The Mint, a vertically integrated multi-state cannabis operator based in Tempe, Arizona, which intends to operate the property as a licensed cultivation and processing facility.

The total investment of up to $20.5 million includes a purchase price for the property of $2.4 million and a commitment of $18.1 million in Tenant Improvement Allowance for construction.

Prior to this closing, in April 2021, NewLake completed the acquisition of an approximately 40,000-square-foot industrial property in Palmer, Massachusetts for $1.6 million and committed $3.0 million in Tenant Improvement Allowance with The Mint.

About The Mint

The Mint operates state-of-the-art cannabis facilities across the country. With a reputation for providing a wide variety of high-quality products and personalized service, The Mint offers the most diverse selection of flower/buds, edibles, and concentrates. The Mint was named “Most Innovative Medical Cannabis Dispensary” by the international Commercial Cannabis Awards in 2020, after having worked diligently to create advancements in the industry. The Mint introduced the nation’s first cannabis kitchen of its kind in 2018; added a large on-site grow to its flagship location in 2019; implemented a drive-thru at its Tempe, Arizona dispensary location in 2020; and introduced a curbside pickup option for cardholders at its Mesa, Arizona dispensary. For more information, visit themintdispensary.com.

About NewLake Capital Partners, Inc.

NewLake is a leading provider of real estate capital to state-licensed cannabis operators through sale-leaseback transactions and third-party purchases, as well as funding for build-to-suit projects. NewLake owns a geographically diversified portfolio consisting of 27 properties across 10 states with 8 tenants, comprised of 17 dispensaries and 10 cultivation facilities. NewLake has elected to be taxed as a real estate investment trust for U.S. federal income tax purposes. For more information please visit www.newlake.com.

Forward-Looking Statements

This press release contains “forward-looking statements.” Forward-looking statements can be identified by words like “may,” “will,” “likely,” “should,” “expect,” “anticipate,” “future,” “plan,” “believe,” “intend,” “goal,” “project,” “continue” and similar expressions. Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on our current beliefs and expectations. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of our control. Our actual results and financial condition may differ materially from those indicated in the forward-looking statements. Therefore, you should not rely on any of these forward- looking statements. Important factors that could cause our actual results and financial condition to differ materially from those indicated in the forward-looking statements include, among others, changes in the condition of the U.S. economy and, in particular, the U.S. real estate market.

The forward-looking statements in this press release are made only as of the date of this press release, and except as otherwise required by federal securities law, we do not have any obligation to publicly update or revise any forward-looking statements to reflect subsequent events or circumstances.

NewLake Capital Partners Announces Acquisition in Massachusetts and Definitive Purchase Agreement in Arizona for Cultivation and Processing Properties with The Mint

NEW CANAAN, Conn., April 12, 2021 (GLOBE NEWSWIRE) — NewLake Capital Partners, Inc. (“NewLake”), a leading provider of real estate capital to state-licensed cannabis operators, today announced the acquisition of an approximately 40,000-square-foot industrial property in Palmer, Massachusetts. Concurrent with the closing of the acquisition, NewLake entered into a long-term, triple-net lease agreement with The Mint, a multi-state cannabis operator based in Tempe, Arizona, which intends to operate the property as a licensed cultivation and processing facility.

NewLake and The Mint have also entered into a definitive agreement to purchase a property in Phoenix, Arizona for the build-out of a 125,000-square-foot cultivation and processing facility. The definitive agreement is subject to final municipal approvals and is expected to close within the next 90 days.

The total investment of up to $25.1 million includes a purchase price for the two properties of $4 million and a commitment of $15.1 million in Tenant Improvement Allowances for construction, with the potential for $6 million in additional allowances for expansion in the future.

David Weinstein, NewLake Chief Executive Officer, said, “As operators of Arizona’s largest retail dispensary, The Mint has established itself as a unique brand that has built unwavering patient and customer loyalty, which has resulted in it seizing tremendous market share. As the state prepares for significant expansion fueled by the launch of its adult-use cannabis program, we are excited to help The Mint accelerate its growth in Arizona, while also supporting its expansion into Massachusetts, a state within which NewLake already owns five properties.”

Eivan Shahara, Co-Founder and CEO of The Mint, said, “Through strategic vision and smart operations, The Mint has established itself as a market leader in Arizona and an innovator in the industry. As we look to the future, NewLake presents the opportunity to align with a like-minded partner that supports our long-term expansion plans into other strategic high-growth states, including Massachusetts, while also cementing our footprint within our home state. We look forward to closing Phoenix and continuing to build our partnership with the NewLake team.”

About The Mint

The Mint operates state-of-the-art cannabis facilities across the country. With a reputation for providing a wide variety of high-quality products and personalized service, The Mint offers the most diverse selection of flower/buds, edibles, and concentrates. The Mint was named “Most Innovative Medical Cannabis Dispensary” by the international Commercial Cannabis Awards in 2020, after having worked diligently to create advancements in the industry. The Mint introduced the nation’s first cannabis kitchen of its kind in 2018; added a large on-site grow to its flagship location in 2019; implemented a drive-thru at its Tempe, Arizona dispensary location in 2020; and introduced a curbside pickup option for cardholders at its Mesa, Arizona dispensary. For more information, visit themintdispensary.com.

About NewLake Capital Partners, Inc.

NewLake is a leading provider of real estate capital to state-licensed cannabis operators through sale-leaseback transactions and third-party purchases, as well as funding for build-to-suit projects. NewLake owns a geographically diversified portfolio consisting of 24 properties across 9 states with 6 tenants, comprised of 17 dispensaries and 7 cultivation facilities. NewLake has elected to be taxed as a real estate investment trust for U.S. federal income tax purposes. For more information please visit www.newlake.com.

NewLake Capital Partners and GreenAcreage Real Estate Corp. Announce Closing of Merger, Creating One of the Largest Cannabis Real Estate Companies in the Industry

  • Combined Company, to be branded NewLake Capital Partners, owns a diversified portfolio of 24 properties across 9 states with $325 million of combined assets
  • Tenants include many of the highest credit-quality companies in the cannabis industry, such as Curaleaf, Cresco, Columbia Care and Trulieve
  • Combined company has over $110 million in cash
  • Combined management team of David Weinstein as CEO, Anthony Coniglio as President and Chief Investment Officer and Gordon DuGan as Chairman of the Board

CHICAGO, March 18, 2021 (GLOBE NEWSWIRE) -- NewLake Capital Partners, Inc. (“NewLake”), and GreenAcreage Real Estate Corp. (“GreenAcreage”), both investment vehicles focused on acquiring a diversified real estate portfolio of industrial and retail properties leased to high-quality companies in the cannabis industry, today are announcing the completion of their merger and rebranding of the combined company as NewLake Capital Partners, Inc. (the “combined company”).

With the closing of this merger, the combined company is one of the largest cannabis real estate companies in the industry. The combined company owns a diversified portfolio of 24 properties across 9 states with some of the highest credit-quality tenants in the cannabis industry including Curaleaf, Cresco, Columbia Care and Trulieve. The combined company has over $325 million in assets and over $110 million in cash to pursue further investments and diversification of its real estate portfolio.

David Weinstein, Chief Executive Officer and a member of the board of directors of the combined company is the former CEO of MPG Office Trust, a NYSE-listed office REIT. Mr. Weinstein also spent nine years at Belvedere Capital, a real estate investment firm, and ten years at Goldman Sachs in the real estate investment banking and special situations groups. Additionally, he has been a member of the board of directors of three public companies.

David Weinstein commented, “Both of our respective teams are excited to have completed this merger. Strategically, through this combination, the combined company has emerged as one of the largest real estate companies in the cannabis industry. Not only do we expect our merger to accelerate growth through scale, but our combined team, including myself and Anthony Coniglio, and our board of directors, including Gordon DuGan, have the experience and proven track record in the capital markets and in real estate investment to effectively execute on our strategy of growth through investment in high-quality cannabis properties strategically located throughout the United States.”

Anthony Coniglio, founder and Chief Executive Officer of NewLake, has been appointed as the combined company’s President and Chief Investment Officer and a member of its board of directors. Mr. Coniglio led the creation of NewLake and the acquisition of 19 cannabis real estate properties over the past two years. He has been growing businesses for more than 20 years. Most recently, he led a start-up from concept to exit, selling to one of the leading competitors in the segment. Mr. Coniglio used a combination of acquisitions, partnerships and organic growth to execute a successful business plan and exit. Previously, Mr. Coniglio was a Managing Director at JPMorgan, leading three separate investment banking businesses to #1 positions over his 14 year career at the firm. Additionally, he was an independent director of a NYSE-listed company, serving on the audit committee.

Anthony Coniglio commented, “The combination of our portfolios creates one of the leading cannabis real estate platforms in the industry and positions us to be an important long-term real estate partner to our valued tenants. Diversification is the centerpiece of our strategy, and we own some of the highest-quality cannabis properties located in limited license jurisdictions. With over $110 million of cash, we intend to aggressively pursue further investments and diversification. We are already in due diligence on several other potential investment opportunities in an effort to further accelerate growth.”

Gordon DuGan, Chairman of the combined company’s board of directors, has over 25 years of REIT management experience. Currently, he is Chairman of INDUS Realty Trust (NASDAQ: INDT) and Blackbrook Capital. Most recently, Mr. DuGan was CEO of Gramercy Property Trust, a NYSE-listed net-lease REIT that was sold to Blackstone for approximately $7.6 billion. Prior to that, Mr. DuGan was President & CEO of W.P. Carey.

Gordon DuGan stated, “The scale and long term growth opportunity of the cannabis industry continues to unfold as evidenced by legislative reform and specifically the high margin fundamentals of the leading operators in our industry. For these operators, real estate is not a core competency or key driver of value; therefore sale leasebacks have been and should remain an effective tool for the maturing cannabis industry. Through the combination of NewLake and GreenAcreage, we believe the combined company has the core strength of the companies’ existing portfolios, a robust pipeline of investment opportunities and the team to execute on our growth strategy.”

About NewLake Capital Partners, Inc.

NewLake is an internally managed investment vehicle focused on acquiring a diversified real estate portfolio of industrial and retail properties in the cannabis industry to be leased to state-licensed operators in limited license states. NewLake has acquired a portfolio from coast-to-coast with tenants across the supply chain including cultivation, manufacturing and retail. NewLake has elected to be taxed as a real estate investment trust for U.S. federal income tax purposes. For more information please visit www.newlake.com.


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