Medical Marajuana

[Jay Hinrichs]

Anyone looking at buying acreage and then leasing to those that grow MM

We have looked at some warehouses here in Oregon and Washington.

I know the Denver guys have green light.

Just curious about the rest of the country

[Kevin Fletcher]

@Jay Hinrichs I have a few buddies in the MMJ Dispensary business in Denver. You'd be surprised how many of the warehouses all over the city are filled with plants. I think it is definitely possible to make money renting to MM growers. Growers have to pay an additional premium more than other tenants typically. The landlords have to account for more risk in renting to this type of tenant because of the legal grey areas between state and federal laws. I know someone who has a dispensary, and his business has a triple net lease, is paying higher rent, and had to do significant power upgrades to the building to be able to grow.

And as far as outdoor growing. You have to take into account that you can only really grow in the summer, so that eliminates the majority of the year. That being said, It can still be very worth it. And, there are ways to supplement light, build greenhouses and provide heat for the colder months, but this all cost money. So the land, must have electricity and water to do anything more then a summer grow.