Marijuana Real Estate Prices in Denver Have “Doubled” and “Tripled”
When you legalize marijuana, the demand for flower isn’t the only thing to rise. The demand for places to grow that flower has also substantially increased.
Finding real estate in and around the Denver area to grow crops has never been an easy task, but now, it’s even harder–and more expensive–to purchase an industrial warehouse for your marijuana grow.
Jason Thomas from Avalon Realty Advisors, a cannabis real estate veteran, recently sat down with our friends over at LadyBudto discuss just how inflated this real estate has become.
“Since January 2014, industrial real estate pricing for sale and lease have increased two to three fold or more. These properties were generally constructed from the 1940s to 1970s and typically lease for around $5.00 per square foot, triple-net and sell for $40.00 to $55.00 per square foot to mainstream companies. Due to the incredible demand and a lack of appropriately located properties, those same properties are now leasing for $12.00 to $14.00 per square foot, triple-net and are selling in the $80.00 per square foot range.” [Ladybud.com]
As the industry continues to grow and legitimize itself, the price to start and/or grow a marijuana business will naturally increase. And when Denver is the hotbed for marijuana legalization in Colorado, that effect will inherently be felt.
When your state legalizes, its own commercial real estate prices will likely rise as well.
Source: http://truthisscary.com/2014/08/marijuana-real-estate-prices-in-denver-have-doubled-and-tripled/
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