Earn Premium Rents From Cannabis Clients
You can start collecting what we call “green tax” rents on your property if it’s eligible for local permits as a cannabis business. By creating a property zoned, and designed for cannabis businesses you save entrepreneurs tens of thousands, if not millions of dollars, in build-out and associated costs. This makes your property enticing to those looking to expand, or enter the industry immediately. Your licensed tenants will be the most stringently regulated, police-audited and therefore the most secure and safe operators to whom you rent.
Get Your Property Entitled for Cannabis Now
Don’t wait for your tenants to start the CUP process, get your property authorized for a tenant to conduct cannabis business. You will save them time and watch your rent and property value soar. You may also want to grab a piece of their business, which they would happily exchange for the head start.
Put Your Money to Work Speculating on Cannabis
With less than one-third of California’s local governments permitting cannabis today, you have an opportunity to speculate on properties within the next cities most likely to authorize cannabis businesses. Our team will identify hot targets using written and potential zoning based on cannabis trends.
Accidental Cannabis Landlord Operators Strike Green
Imagine one day your phone is ringing off the hook with unsolicited offers at 2 or 3 times your building’s value. That’s the power of landing in the Green-Zone. Some of our clients have turned down these offers and are pursuing their own cannabis license, creating exponential value in the meantime.
Cannabis Real Estate Owners Checklist
Are You Prepared?
Real estate owners tend to be skeptical, excited, and wary of the prospect of leasing to real estate owners when first discussing the prospect. However, robust cannabis regulations in states like California provide both opportunity and protection for property owners. Our consultants begin evaluating property and owner potential by asking the following questions:
- Is your property located in a city or county allowing cannabis businesses?
- Is your property in a zone where cannabis businesses are allowed?
- Are there any sensitive uses near your property?
- Does the property have facilities that a cannabis operator would find attractive?
- Are there improvements that could be made to the property or facility to facilitate approval of a land use permit?
Real estate owners leasing space to cannabis under any circumstances will be more successful if they understand the basic requirements for operating licensed cannabis businesses. Before signing a lease with a cannabis company, the following due diligence items should be addressed:
- Business entity documents
- Land use permit (Needed to operate, but issued to property owner)
- City or county business license
- State cannabis license (Location and local approval needed first)
- Security Plan
- Odor Control Plan
- Community Relations Plan
- Community Benefits Plan or Development Agreement
- Building Permits
- Seller’s Permit Surety Bond ($5,000)
- Standard Operating Procedures
- Commercial General Liability Insurance
- Labor Peace Agreement (> 20 Employees)
Our consultants can help you save time and money while navigating the process of setting up and operating your cannabis business legally. Contact us today for a half-hour consultation