NewLake Capital Partners, Inc. (OTCQX:NLCP) is closing part-one of a three-part commitment for a cultivation property in Missouri. The commitment includes the purchase of a 40,000-square-foot industrial property in O’Fallon, Missouri, and entering into a long-term, triple-net lease with an affiliate of C3 Industries, Inc, which is guaranteeing the lease.
NewLake’s $34.0 million aggregate commitment will be invested across three parts. Part-one begins with NewLake’s $7.3 million purchase of the company’s flagship Missouri cultivation facility with a commitment to fund an additional $5.2 million to finish construction, which is expected to be completed by June 2022. Part-two supports a planned expansion of the facility by providing up to $16.5 million to purchase an adjacent parcel of land and fund construction of a 65,000 square foot cultivation facility (subject to normal and customary closing conditions and regulatory approvals). Once fully built, the combined property will be a state-of-the-art 105,000 square foot cultivation facility. Part three is an interest-only four-year $5.0 million loan that can be drawn over the next year.
“We have been impressed by C3 Industries’ success in unlimited licensed states such as Michigan and Oregon. The team’s ability to provide customers with premium products has created strong brand recognition and we are excited to partner with them as they continue to build their operations in Missouri,” stated David Weinstein, NewLake’s CEO. “The C3 team is a pleasure to work with and we look forward to a long-term partnership as they continue to expand nationally.”
Anthony Coniglio president and CIO, director of NewLake Capital Partners,will be one of the speakers at the Benzinga Cannabis Capital Conference in Miami. There’s still time to sign up for the event that will host many top names in the cannabis industry. Click here for more info.
