The CannaMercial Collective is a private and consolidated Real Estate Limited Partnership (RELP) that is a transparent mainstream investment.
It’s an investment vehicle that pools investors’ funds to buy, develop and sell cannabis properties in a Limited Partnership framework.
Cannabis Real Estate markets are poised for growth due to the potential of appreciation, income, and the diversification it brings to an investor’s portfolio. While the active controls of supply and demand ultimately determine the value of a commercial property, this attracts a certain type of investor.
The collective has taken a proactive approach in selected markets to develop a first mover advantage by implementing a buy/hold strategy with vetted, green-zoned properties.
The collective moves using an equity multiple over a 5–7-year period that the commercial property is owned. It’s anticipated that the collective will achieve a 2.5 multiple for every dollar invested based on the property vetting and selection process. This certainly is an added advantage on cash invested considering past and current economic conditions. Expected returns will be earned from operations and appreciation once the property is sold or leased after the specified period. It should also be mentioned that the collective will be used as a tax shelter that fund partners will share from annual depreciation.
The last point of emphasis is the raising of investor partners by completing an investor qualification form. The collective will prequalify investors through their net worth, liquidity, credit scores, and Commercial Real Estate ownership experience.
Also, it will be asked that investors attach personal financial statements, schedules of real estate owned, and a copy of bank or security statements showing proof of funds being contributed. If investors choose not to disclose this information then a nondisclosure agreement (NDA) will need to be signed.
Speak with our Principal Agent today to see if you pre-qualify.