Innovative Industrial Acquires Cannabis Cultivation Facility in Athol, Massachusetts, for $26.8M

ATHOL, MASS. — Innovative Industrial Properties Inc. (IIP), a California-based REIT specializing in the regulated cannabis industry, has acquired a 199,000-square-foot industrial property in Athol, located approximately 40 miles northwest of Worcester. The sales price was $26.8 million. Concurrent with the transaction, IIP entered a long-term, triple-net lease agreement with a subsidiary of Ascend Wellness Holdings LLC (AWH) for continued operation as a licensed cannabis cultivation and processing facility. AWH is expected to complete tenant improvements for the property, for which IIP has agreed to provide reimbursement of up to approximately $22.2 million. The Massachusetts Cannabis Control Commission deemed medical marijuana treatment centers and health care providers as essential services that will remain open during the COVID-19 crisis.