Cannabis companies that once struggled to find space to conduct cultivation, manufacturing and retail operations are benefiting from a tumultuous commercial real estate market that’s prompting landlords to reconsider leasing to marijuana-related businesses.
High interest rates, loans coming due and a glut of commercial space in the aftermath of the COVID-19 pandemic has made finding tenants for commercial properties challenging.
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An estimated $1.6 trillion in property financing is expected to mature over the next two years, according to Washington, D.C.-based CoStar Group, a commercial real estate information and analytics firm.
At the end of the first quarter of 2024, $35 billion in loans were past due or in nonaccrual status, the highest figure in 11 years, according to the Federal Deposit Insurance Corp.
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