The Mint, a national cannabis operator headquartered in Arizona, has entered into a strategic business contract with NewLake Capital Partners, a Chicago-based provider of real estate capital to cannabis operators.
The partnership will allow the Mint to introduce its brand to more states across the U.S., including Massachusetts, while also further cementing its footprint in its home state.
Valued up to $25.1 million, the contract includes the purchase of two industrial properties at a combined cost of $4 million – one in Palmer, Massachusetts and the other in Phoenix, Arizona – that will be used by the Mint for cannabis cultivation and processing. A separate commitment of $15.1 million has been allocated for construction, renovation, and improvements, with the potential for $6 million in additional allowances for future expansion.
In addition to the 40,000-square-foot industrial property in Palmer, Massachusetts, NewLake and the Mint also plan to purchase an industrial property in Phoenix for the build-out of a 125,000-square-foot cultivation and processing facility for the Mint to operate. The agreement is expected to close within the next 90 days.
“To continue on our smart-growth trajectory, partnering with a capital investor like NewLake, who shares our vision for the future and supports our long-term expansion plans is critical, especially as the industry becomes more competitive,” said Eivan Shahara, Co-Founder and CEO of the Mint.
The Mint is known for operating high-tech cannabis cultivation centers, introducing innovative cannabis products and services, and pioneering cutting-edge advancements in the industry. The brand has also introduced many first-to-market innovations, including the first cannabis kitchen of its kind in the country. At 12,000 square feet, the Mint’s flagship location in Tempe, Arizona, was recently named the “Most Innovative Medical Cannabis Dispensary” in the world.
“As operators of Arizona’s largest retail dispensary, the Mint has established itself as a brand with unwavering loyalty among patients and customers, seizing tremendous market share in the process,” said David Weinstein, CEO of NewLake. “The industry is poised for significant expansion in Arizona, now that it’s an adult-use cannabis state. The Mint is on track to accelerate its growth in Arizona, while strategically expanding its brand into Massachusetts, a state where NewLake already owns five properties.”
The Mint continues to expand its presence across the country with state-of-the-art facilities. With a reputation for providing a wide variety of high-quality products and personalized service, the Mint offers the most diverse selection of flower/buds, edibles, and concentrates. The Mint’s flagship location in Arizona – which introduced the nation’s first cannabis kitchen of its kind in 2018; added a large on-site grow in 2019; and implemented an on-site drive-thru in 2020 – was named “Most Innovative” by the international Commercial Cannabis Awards.
NewLake is a leading provider of real estate capital to state-licensed cannabis operators through sale-leaseback transactions and third-party purchases, as well as funding for build-to-suit projects. NewLake owns a geographically diversified portfolio consisting of 24 properties across 9 states with 6 tenants, comprised of 17 dispensaries and 7 cultivation facilities. NewLake has elected to be taxed as a real estate investment trust for U.S. federal income tax purposes.
