Innovative Industrial Properties, Inc.

Innovative Industrial Properties, Inc. (IIPR) is a specialised REIT that acquires, owns and leases industrial properties used primarily for medical-use cannabis cultivation and processing. The company typically signs long-term, triple‑net leases with state-licensed operators, generating rental income and potential property appreciation. With a market capitalisation around $1.51bn, IIPR’s model aims to offer investors exposure to the cannabis industry while avoiding operating the regulated businesses themselves. Key considerations include tenant concentration, sensitivity to interest rates and reliance on capital markets for acquisitions. Regulatory uncertainty at the federal level and differences between state markets can affect tenants’ operations and, in turn, IIPR’s cash flows. Historically the firm has paid dividends as a REIT, but income distributions are subject to business performance and board discretion. This summary is educational and not personal advice; investors should consider how regulatory, credit and interest‑rate risks align with their goals and seek independent guidance if needed.