Rainbow Realty Group completes $3.92 million loan to Ohio based Cannabis Real Estate Portfolio
NEW YORK, Dec. 7, 2022 /PRNewswire/ -- Rainbow Realty Group II, LLC ("Rainbow") and its affiliates announced the closing of a senior-secured mortgage cross-collateralized by 5 retail dispensary properties in Ohio. The five properties were approved in the latest round of license applications. There are currently 130 dispensary licenses in the State which legalized medical cannabis in 2018 and has since seen $1.09 billion in total sales.
The retail properties are located in Columbus, Cincinnati, Cleveland, and Dayton. They are leased and operated by 4 distinct tenants who are experienced and well capitalized multi-state operators under long term NNN leases.
The borrower is a cannabis commercial real estate development and property holding company. Funds from the transaction were used to facilitate the purchase of the 5 properties in a debt/equity transaction. In addition to its typical double-digit interest rate and transaction fees, Rainbow will also receive a significant profit participation in the net profits.
Kyle Shenfeld, President of Rainbow, stated:
"We are excited to close this unique transaction, the borrower worked diligently to tie up dozens of dispensary properties in Ohio. Rainbow was able to step in as a financier when a portion of those properties came to fruition. The compliment of the borrowers site selection and license acquisition efforts on the front end, and Rainbow's available capital and real estate expertise at closing, makes for an excellent partnership. Ohio is a limited license state, and the dispensaries are well-positioned for success."
Due to growing demand for our product, Rainbow will continue raising capital into its second fund through the end of Q1 2023. For information on investing with Rainbow, please visit https://rainbowrg.com/invest-now/
Rainbow Realty Group and its affiliates are real estate companies focused on retail, industrial and greenhouse properties with cannabis companies in the United States. Rainbow offers sale-leaseback and mortgage financing with a portfolio consisting of 50+ properties across 9 states in the U.S. Rainbow's parent, Gould Investors L.P., has been in the real estate industry for over 60 years. Gould is a significant shareholder of NYSE:BRT and NYSE:OLP. For additional information please visit: https://rainbowrg.com/
Press contact:
Tyler Gilliam
Tyler@rainbowrg.com
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SOURCE Rainbow Realty Group, LLC
