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The Cannabis Real Estate Market: A Primer And Predictions
The emerging cannabis industry has resulted in big changes in the actual estate market. It offers a new way for investors to profit while simultaneously leaving their mark on history. The legalization of marijuana in select states has generated an elevated demand for industrial warehouse space, retail space, and office space. This is particularly true in high-population areas where zoning laws aren't as strict.
As the cannabis industry keeps growing, so does the demand for these spaces. However, there still remains some uncertainty about how these trends will play out because marijuana continues to be illegal at the federal level. For the present time, here are a few predictions about how exactly this market will change.
The Cannabis Real Estate Market Will Grow
In the foreseeable future, the cannabis sale-leaseback market will continue steadily to grow. The legalization of marijuana in select states has resulted in an elevated demand for industrial warehouse space, retail space, and office space. This is very true in high-population areas where zoning laws aren't as strict.
As a result, investors have now been buying up these spaces at a rapid pace. Furthermore, the cannabis industry is projected to cultivate by 2026. Since it grows, so will the need for these spaces. Cannabis companies will also be likely to expand into warehouses and office buildings that were previously used for other industries because legalization has opened new opportunities for growth because of this industry.
1) Commercial property prices will continue increasing as more states legalize recreational marijuana and more producers enter the market
2) There is a boom in available commercial properties as more people elect to invest their money into this booming market
3) Vacancy rates may decrease as dispensaries move from medical use simply to a recreational use
4) More banks can be available to lending money to cannabis companies
5) More property management companies devoted to cannabis properties may emerge
Green Bench Capital is a company lender that only lends money to those who own licensed cannabis real estate. They help businesses that deal with marijuana and property investors who wish to get money because of their marijuana businesses. They are able to help you get or build a company, as well as offer you short-term and long-term loans.