Which plant is bringing in billions for the American economy? You know what we’re talking about without us even having to say it — cannabis.
And according to Fortune Business Insights, the industry is forecast to keep growing between now and 2030. Their prediction is “…$57.18 billion in 2023 to $444.34 billion by 2030, at a CAGR of 34.03% during the forecast period.”
Savvy investors are eyeing lucrative opportunities in the world of cannabis. One avenue gaining traction is cannabis real estate. Owning and leasing properties to cannabis cultivators, dispensaries, and related businesses can be a rewarding venture, and with MSO by your side, it’s a journey worth exploring.
In this article, we’ll delve into five key factors that potential investors should consider before investing in cannabis real estate, and how MSO can partner with you to tackle those considerations.
Navigating the Regulatory Landscape
Cannabis laws vary a lot from state to state — some areas allow recreational use, and others only allow medical cannabis. (We all know this changes year to year — hopefully everywhere soon allows all forms of cannabis!) Zoning laws and local ordinances impose restrictions on where cannabis businesses can operate.
Our team of legal experts are well-versed in the ever-evolving cannabis laws. They will provide invaluable guidance, ensuring your investment aligns with regulations, so you can rest assured that your business is covered legally.
Location and Market Demand
Like traditional real estate, a great location is your ticket to business success. Consider properties located near urban centers or within designated cannabis zones. Ideal cannabis real estate should be where the people are — think proximity to major transportation routes, retail hubs, and population centers.
Our experts here at MSO have their fingers on the pulse of the cannabis market. We identify properties that are *perfect* for what you’re looking for.
We also analyze the current market demand for cannabis infrastructure in the area you’re looking at — saturation level, potential for future growth, etc. We take it all into consideration and make sure to present you properties that aren’t just great for current business, but that can grow with you and your biz!
Property Suitability and Infrastructure
When assessing properties, you want it to already have most of the infrastructure in place – renovating to meet cannabis industry standards can be costly.
Cannabis cultivation facilities, for example, require specific environmental controls, security measures, and adequate electrical capacity. Warehouses or industrial spaces with large open layouts are ideal.
MSO will hunt out properties that have most (or all!) of the needed infrastructure elements in place already to save time and resources for our partners.
Cannabis Infrastructure Investments and Risk Mitigation
Investing in cannabis real estate with MSO offers unmatched growth potential. We believe in mitigating risks and diversifying your portfolio by owning properties leased to a mix of cannabis-related businesses, such as cultivators, processors, and retailers.
The old adage, “Don’t put all your eggs in one basket,” applies here! A diverse tenant base can help reduce the chances of being negatively impacted if one of your investments didn’t work out.
Sustainable Property Management
Effective property management can help maximize returns on your cannabis real estate investment.
Ensuring sustainable operations, maintenance, and tenant relations contributes to long-term profitability. Our experts at MSO excel in creating management plans that foster tenant satisfaction and property value preservation.
Bottom Line
As we’ve witnessed the astounding growth projected by Fortune Business Insights, from $57.18 billion in 2023 to an awe-inspiring $444.34 billion by 2030, the stage is set for cannabis real estate investors.
Throughout the intricacies of regulations, strategic property selection, and risk diversification, MSO’s expertise shines bright. It’s not just about real estate; it’s about creating a partnership that capitalizes on cannabis’s prosperity while safeguarding your investments. MSO is here for you and with you every step of the way.
Ready to explore the world of cannabis real estate investments? The possibilities in this industry are endless. The business consultants at MSO are the go-to experts when it comes to cannabis opportunities. You can contact us here today: https://msollc.wpengine.com/contact-us/.
