8-K
INNOVATIVE INDUSTRIAL PROPERTIES INC (IIPR)
UNITED STATES
SECURITIES ANDEXCHANGE COMMISSION
WASHINGTON,D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant toSection 13 or 15(d)
of the SecuritiesExchange Act of 1934
Dateof Report (Date of earliest event reported): May 8, 2023
Innovative IndustrialProperties, Inc.
(Exact nameof registrant as specified in its charter)
| Maryland | 001-37949 | 81-2963381 |
|---|---|---|
| (State or Other Jurisdiction<br><br> <br>of Incorporation) | (Commission<br><br> <br>File No.) | (I.R.S. Employer<br><br> <br>Identification No.) |
1389 CenterDrive, Suite 200
Park City, Utah84098
(Address ofprincipal executive offices, including zip code)
Registrant’s
telephone number, including area code: (858) 997-3332
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
| ¨ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
|---|---|
| ¨ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
| --- | --- |
| ¨ | Pre-commencement communications pursuant<br> to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
| --- | --- |
| ¨ | Pre-commencement communications pursuant to Rule 13e-4(c) under<br>the Exchange Act (17 CFR 240.13e-4(c)) |
| --- | --- |
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter). Emerging growth company ¨
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨
Securities Registered pursuant to Section 12(b) of the Act:
| Title of each class | Trading Symbol(s) | Name of each exchange on which registered |
|---|---|---|
| Common Stock, par value $0.001 per share | IIPR | New York Stock Exchange |
| Series A Preferred Stock, par value $0.001 per share | IIPR-PA | New York Stock Exchange |
Item 2.02Results of Operations and Financial Condition.
On May 8, 2023, Innovative Industrial Properties, Inc. (the “Company”) issued a press release regarding its financial results for the first quarter ended March 31, 2023. A copy of the press release is attached hereto as Exhibit 99.1 and is incorporated by reference herein.
On May 8, 2023, the Company posted on its website, www.innovativeindustrialproperties.com, certain supplemental financial information for the first quarter ended March 31, 2023, which is attached hereto as Exhibit 99.2 and is incorporated by reference herein.
The information contained in this Current Report, including Exhibits 99.1 and 99.2 referenced herein, is being furnished and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section and shall not be deemed to be incorporated by reference into any filing under the Securities Act of 1933, as amended, or the Exchange Act.
Item 9.01Financial Statements and Exhibits.
(d) Exhibits
| Exhibit<br> Number | Description of Exhibit |
|---|---|
| 99.1 | Press release issued by Innovative Industrial Properties, Inc. on May 8, 2023. |
| 99.2 | Innovative Industrial Properties, Inc. Supplemental Financial Information for the quarter ended March 31, 2023. |
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document). |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| Date: May 9, 2023 | INNOVATIVE INDUSTRIAL PROPERTIES, INC. | |
|---|---|---|
| By: | /s/ David Smith | |
| Name: | David Smith | |
| Title: | Chief Financial Officer |
Exhibit 99.1
Innovative Industrial Properties Reports FirstQuarter 2023 Results
Q1 2023 Net Income and AFFO Per Diluted ShareIncreased 8% and 10% Year-Over-Year, Respectively
SAN DIEGO, CA – May 8, 2023 – Innovative Industrial Properties, Inc. (IIP), the first and only real estate company on the New York Stock Exchange (NYSE: IIPR) focused on the regulated U.S. cannabis industry, announced today results for the first quarter ended March 31, 2023.
First Quarter 2023
Financial Results
| · | Generated total revenues of approximately $76.1 million in the quarter, representing an 18% increase from the prior year’s quarter. | |||||||
|---|---|---|---|---|---|---|---|---|
| · | Recorded net income attributable to common stockholders of approximately $40.8 million for the quarter, or $1.43 per diluted share. | |||||||
| · | Recorded adjusted funds from operations (AFFO) of approximately $63.4 million, or $2.25 per diluted share, increases of 18% and 10%<br>from the prior year’s quarter, respectively. | |||||||
| · | Paid a quarterly dividend of $1.80 per common share on April 14, 2023 to stockholders of record as of March 31, 2023 (an AFFO payout<br>ratio of 80%), equal to an annualized dividend of $7.20 per share. The common stock dividends declared for the twelve months ended March<br>31, 2023 of $7.15 per common share represent an increase of $1.00, or 16%, over dividends declared for the twelve months ended March 31,<br>2022. | |||||||
| Three Months Ended March 31, | ||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- |
| (Per diluted share) | 2023 | 2022 | Change | % Change | ||||
| Net income attributable to common stockholders | $ | 1.43 | $ | 1.32 | 8.3 | % | ||
| Normalized FFO | $ | 2.06 | $ | 1.86 | 10.8 | % | ||
| AFFO | $ | 2.25 | $ | 2.04 | 10.3 | % |
All values are in US Dollars.
Investments / Dispositions / Leasing
| · | Acquired an industrial property in Ohio for $20.1 million that is expected to comprise 157,000 square feet upon completion of development<br>and executed a long-term lease with Battle Green Holdings, LLC (Battle Green), pursuant to which IIP agreed to provide reimbursement of<br>up to $21.9 million for completion of the development, with IIP’s total investment in the property expected to be $42.0 million.<br>At the time of closing, the majority of the exterior buildout was completed, including roof, framing and exterior walls, and work on mechanical,<br>electrical and plumbing systems was progressing. Battle Green is expected to complete construction of the two-story industrial facility,<br>consisting of completion of the building shell and interior buildout of cultivation and production rooms, as well as mechanical, fertigation,<br>electrical and plumbing systems. |
|---|---|
| · | Acquired a 58,000 square foot operational cannabis cultivation facility in Pennsylvania in a long-term sale-leaseback transaction<br>with a subsidiary of TILT Holdings Inc. for a purchase price of $15.0 million (excluding transaction costs). |
| · | Amended IIP’s leases with Ascend Wellness Holdings Inc. in New Jersey, PharmaCann Inc. in New York and Goodness Growth Holdings<br>Inc. in New York to provide an additional $15.0 million, $15.0 million and $4.0 million for funding of qualifying real estate infrastructure<br>improvements at those properties, respectively, representing an aggregate of $34.0 million, with corresponding adjustments to base rent<br>at each property. In addition, IIP added cross-default provisions to all leases with each tenant. |
| · | Sold a portfolio of four properties in California previously leased to affiliates of Medical Investor Holdings, LLC (Vertical) for<br>$16.2 million (excluding transaction costs), which includes a five-year secured seller financing with the buyer of the property for $16.1<br>million that is interest only and payable monthly. |
Rent Collection
| · | Rent collection for IIP’s operating portfolio (calculated as base rent and property management fees collected as a percentage<br>of contractually due base rent and property management fees) was 98% for the three months ended March 31, 2023. |
|---|---|
| o | Rent collection percentage for the quarter includes approximately $1.1 million of security deposits applied in connection with previously<br>disclosed amendments with Holistic Industries Inc. at a California property and a Michigan property, pursuant to which 100% of base rent<br>at the two properties will be paid through application of security deposits until September 30, 2023, with pro rata payback of those security<br>deposits over twelve months starting in January 2024. |
| --- | --- |
| o | Rent collection percentage for the quarter also includes approximately $3.1 million of security deposits applied in connection with<br>non-payment of rent by certain tenants, as previously disclosed (two affiliates of SH Parent, Inc. (Parallel) for a Texas property and<br>a Pennsylvania property, and Green Peak Industries, Inc. for one property in Michigan). As of March 31, 2023, all security deposits for<br>these properties were fully applied. |
| o | Contractual rent not collected totaled approximately $1.6 million (approximately $1.1 million relating to defaulted tenants Parallel<br>and Green Peak for rent in excess of IIP’s security deposits and approximately $470,000 for rent prior to the sale of the Vertical<br>portfolio). |
Balance Sheet Statistics (as of March 31, 2023)
| · | 12% debt to total gross assets, with approximately $2.6 billion in total gross assets. |
|---|---|
| · | Total quarterly fixed cash interest obligation of approximately $4.2 million. |
| · | No secured debt. |
| · | No debt maturities until May 2026, other than $4.4 million principal amount of 3.75% Exchangeable Senior Notes in 2024. |
| · | Debt service coverage ratio of 16.2x (calculated in accordance with the Company’s 5.50% Unsecured Senior Notes due 2026). |
Property Portfolio Statistics (as of March 31, 2023)
| · | Total property portfolio comprises 108 properties across 19 states, with approximately 8.9 million rentable square feet (including<br>approximately 1.6 million rentable square feet under development / redevelopment), consisting of: |
|---|---|
| o | Operating portfolio: 103 properties, representing approximately 8.1 million rentable square feet. |
| --- | --- |
| o | Under development / redevelopment (five properties expected to comprise 715,000 rentable square feet at completion): |
| § | Inland Center Drive in San Bernardino, California |
| --- | --- |
| § | Perez Road in Cathedral City, California |
| § | 63795 19th Avenue in Palm Springs, California |
| § | Leah Avenue in San Marcos, Texas |
| § | Davis Highway in Windsor, Michigan |
| · | Operating portfolio: |
| --- | --- |
| o | 100% leased (triple-net). |
| --- | --- |
| o | Weighted-average remaining lease term: 15.1 years. |
| o | Total invested / committed capital per square foot: $275. |
| · | By invested / committed capital: |
| --- | --- |
| o | No tenant represents more than 14% of the total portfolio. |
| --- | --- |
| o | No state represents more than 17% of the total portfolio. |
| o | Multi-state operators (MSOs) represent 89% of the operating portfolio. |
| o | Public company operators represent 58% of the operating portfolio. |
| o | Industrial (cultivation and/or processing), retail (dispensing) and combined industrial/retail represents 91%, 3% and 6% of operating<br>portfolio, respectively. |
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Leadership Update
In March, IIP announced that Catherine Hastings was promoted to a newly created role of Chief Operating Officer and Ben Regin was promoted to a newly created role of Chief Investment Officer. In addition, IIP announced the hiring of David Smith as Chief Financial Officer.
Financial Results
For the three months ended March 31, 2023, IIP generated total revenues of approximately $76.1 million, compared to approximately $64.5 million for the same period in 2022, an increase of 18%. The increase was driven primarily by the acquisition and leasing of new properties, additional building infrastructure allowances provided to tenants at certain properties that resulted in increases to base rent, tenant reimbursements and contractual rental escalations at certain properties. As described above, rental revenues for the three months ended March 31, 2023 also included approximately $4.2 million of security deposits applied for payment of rent for IIP’s leases with Green Peak, Parallel and Holistic. Total revenues for the three months ended March 31, 2023 and 2022 included approximately $5.2 million and $1.9 million, respectively, of tenant reimbursements for property insurance premiums and property taxes.
For the three months ended March 31, 2023, IIP recorded net income attributable to common stockholders of approximately $40.8 million, or $1.43 per diluted share; funds from operations (FFO) (diluted) of approximately $57.5 million, or $2.04 per diluted share; normalized FFO (Normalized FFO) of approximately $58.1 million, or $2.06 per diluted share; and AFFO of approximately $63.4 million, or $2.25 per diluted share.
IIP paid a quarterly dividend of $1.80 per common share on April 14, 2023 to stockholders of record as of March 31, 2023, equal to an annualized dividend of $7.20 per share. IIP’s AFFO payout ratio was 80% (calculated by dividing the common stock dividend declared per share by IIP’s AFFO per common share – diluted for the quarter). The common stock dividends declared for the twelve months ended March 31, 2023, of $7.15 per common share represent an increase of $1.00, or 16%, over dividends declared for the twelve months ended March 31, 2022.
FFO, Normalized FFO and AFFO are supplemental non-GAAP financial measures used in the real estate industry to measure and compare the operating performance of real estate companies. A complete reconciliation containing adjustments from GAAP net income attributable to common stockholders to FFO, Normalized FFO and AFFO and definitions of terms are included at the end of this release.
Supplemental Information
Supplemental financial information is available in the Investor Relations section of the IIP’s website at www.innovativeindustrialproperties.com.
Teleconference and Webcast
IIP will conduct a conference call and webcast at 10:00 a.m. Pacific Time (1:00 p.m. Eastern Time) on Tuesday, May 9, 2023 to discuss IIP’s financial results and operations for the first quarter ended March 31, 2023. The call will be open to all interested investors through a live audio webcast at the Investor Relations section of IIP’s website at www.innovativeindustrialproperties.com, or live by calling 1-877-328-5514 (domestic) or 1-412-902-6764 (international) and asking to be joined to the Innovative Industrial Properties, Inc. conference call. The complete webcast will be archived for 90 days on IIP’s website. A telephone playback of the conference call will also be available from 12:00 p.m. Pacific Time on Tuesday, May 9, 2023 until 12:00 p.m. Pacific Time on Tuesday, May 16, 2023, by calling 1-877-344-7529 (domestic), 855-669-9658 (Canada) or 1-412-317-0088 (international) and using access code 6731756.
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About Innovative Industrial Properties
Innovative Industrial Properties, Inc. is a self-advised Maryland corporation focused on the acquisition, ownership and management of specialized properties leased to experienced, state-licensed operators for their regulated cannabis facilities. Innovative Industrial Properties, Inc. has elected to be taxed as a real estate investment trust, commencing with the year ended December 31, 2017. Additional information is available at www.innovativeindustrialproperties.com.
This press release contains statements that IIP believes to be “forward-lookingstatements” within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All statementsother than historical facts are forward-looking statements. When used in this press release, words such as IIP “expects,” “intends,” “plans,” “estimates,” “anticipates,” “believes” or “should”or the negative thereof or similar terminology are generally intended to identify forward-looking statements. Such forward-looking statementsare subject to risks and uncertainties that could cause actual results to differ materially from those expressed in, or implied by, suchstatements. Investors should not place undue reliance upon forward-looking statements. IIP disclaims any obligation to update or reviseany forward-looking statements, whether as a result of new information, future events or otherwise.
4
Innovative Industrial Properties, Inc.
Condensed Consolidated Balance SheetS
(Unaudited)
(In thousands, except share and per share amounts)
| December 31, | |||||
|---|---|---|---|---|---|
| Assets | 2022 | ||||
| Real estate, at cost: | |||||
| Land | 142,524 | $ | 139,953 | ||
| Buildings and improvements | 2,054,859 | 2,010,628 | |||
| Construction in progress | 108,464 | 54,106 | |||
| Total real estate, at cost | 2,305,847 | 2,204,687 | |||
| Less accumulated depreciation | (153,170 | ) | (138,405 | ) | |
| Net real estate held for investment | 2,152,677 | 2,066,282 | |||
| Construction loan receivable | 18,407 | 18,021 | |||
| Cash and cash equivalents | 37,654 | 87,122 | |||
| Restricted cash | 1,450 | 1,450 | |||
| Investments | 163,969 | 200,935 | |||
| Right of use office lease asset | 1,645 | 1,739 | |||
| In-place lease intangible assets, net | 8,890 | 9,105 | |||
| Other assets, net | 28,544 | 30,182 | |||
| Total assets | 2,413,236 | $ | 2,414,836 | ||
| Liabilities and stockholders’ equity | |||||
| Exchangeable Senior Notes, net | 4,406 | $ | 6,380 | ||
| Notes due 2026, net | 295,441 | 295,115 | |||
| Building improvements and construction funding payable | 31,088 | 29,376 | |||
| Accounts payable and accrued expenses | 11,391 | 10,615 | |||
| Dividends payable | 51,063 | 50,840 | |||
| Rent received in advance and tenant security deposits | 58,663 | 58,716 | |||
| Other liabilities | 3,037 | 1,901 | |||
| Total liabilities | 455,089 | 452,943 | |||
| Stockholders’ equity: | |||||
| Preferred stock, par value 0.001 per share, 50,000,000 shares authorized: 9.00% Series A cumulative redeemable preferred stock, 15,000 liquidation preference (25.00 per share), 600,000 shares issued and outstanding at March 31, 2023 and December 31, 2022 | 14,009 | 14,009 | |||
| Common stock, par value 0.001 per share, 50,000,000 shares authorized: 28,034,999 and 27,972,830 shares issued and outstanding at March 31, 2023 and December 31, 2022, respectively | 28 | 28 | |||
| Additional paid-in capital | 2,071,473 | 2,065,248 | |||
| Dividends in excess of earnings | (127,363 | ) | (117,392 | ) | |
| Total stockholders’ equity | 1,958,147 | 1,961,893 | |||
| Total liabilities and stockholders’ equity | 2,413,236 | $ | 2,414,836 |
All values are in US Dollars.
5
Innovative Industrial Properties, Inc.
Condensed Consolidated STATEMENTS OF INCOME
For the Three Months Ended March 31, 2023 and2022
(Unaudited)
(In thousands, except share and per share amounts)
| For the Three Months Ended | ||||||
|---|---|---|---|---|---|---|
| March 31, | ||||||
| 2023 | 2022 | |||||
| Revenues: | ||||||
| Rental (including tenant reimbursements) | $ | 75,529 | $ | 64,114 | ||
| Other | 538 | 390 | ||||
| Total revenues | 76,067 | 64,504 | ||||
| Expenses: | ||||||
| Property expenses | 5,623 | 1,982 | ||||
| General and administrative expense | 10,373 | 8,777 | ||||
| Depreciation and amortization expense | 16,714 | 13,868 | ||||
| Total expenses | 32,710 | 24,627 | ||||
| Income from operations | 43,357 | 39,877 | ||||
| Interest and other income | 2,233 | 57 | ||||
| Interest expense | (4,520 | ) | (4,766 | ) | ||
| Gain (loss) on exchange of Exchangeable Senior Notes | 22 | (118 | ) | |||
| Net income | 41,092 | 35,050 | ||||
| Preferred stock dividends | (338 | ) | (338 | ) | ||
| Net income attributable to common stockholders | $ | 40,754 | $ | 34,712 | ||
| Net income attributable to common stockholders per share: | ||||||
| Basic | $ | 1.45 | $ | 1.35 | ||
| Diluted | $ | 1.43 | $ | 1.32 | ||
| Weighted-average shares outstanding: | ||||||
| Basic | 27,949,747 | 25,620,253 | ||||
| Diluted | 28,223,698 | 26,340,224 |
6
Innovative Industrial Properties, Inc.
Condensed Consolidated FFO, NORMALIZED FFO AND AFFO
For the Three Months Ended March 31, 2023 and2022
(Unaudited)
(In thousands, except share and per share amounts)
| For the Three Months Ended | |||||
|---|---|---|---|---|---|
| March 31, | |||||
| 2023 | 2022 | ||||
| Net income attributable to common stockholders | $ | 40,754 | $ | 34,712 | |
| Real estate depreciation and amortization | 16,714 | 13,868 | |||
| FFO attributable to common stockholders (basic) | 57,468 | 48,580 | |||
| Cash and non-cash interest expense on Exchangeable Senior Notes | 69 | 334 | |||
| FFO attributable to common stockholders (diluted) | 57,537 | 48,914 | |||
| Litigation-related expense | 546 | — | |||
| (Gain) loss on exchange of Exchangeable Senior Notes | (22 | ) | 118 | ||
| Normalized FFO attributable to common stockholders (diluted) | 58,061 | 49,032 | |||
| Interest income on seller-financed note^(1)^ | 134 | — | |||
| Stock-based compensation | 4,829 | 4,379 | |||
| Non-cash interest expense | 326 | 307 | |||
| Above-market lease amortization | 23 | 23 | |||
| AFFO attributable to common stockholders (diluted) | $ | 63,373 | $ | 53,741 | |
| FFO per common share – diluted | $ | 2.04 | $ | 1.86 | |
| Normalized FFO per common share – diluted | $ | 2.06 | $ | 1.86 | |
| AFFO per common share – diluted | $ | 2.25 | $ | 2.04 | |
| Weighted-average common shares outstanding – basic | 27,949,747 | 25,620,253 | |||
| Restricted stock and RSUs | 171,741 | 110,457 | |||
| PSUs | — | 102,333 | |||
| Dilutive effect of Exchangeable Senior Notes | 102,210 | 507,181 | |||
| Weighted-average common shares outstanding – diluted | 28,223,698 | 26,340,224 | |||
| (1) | Amount reflects the non-refundable interest paid on the seller-financed note issued to IIP by the buyer in connection with IIP’s<br>disposition of a portfolio of four properties in southern California previously leased to affiliates of Vertical, which is recognized<br>as a deposit liability and is included in other liabilities in our condensed consolidated balance sheet as of March 31, 2023, as the transaction<br>did not qualify for recognition as a completed sale. | ||||
| --- | --- |
FFO and FFO per share are operating performance measures adopted by the National Association of Real Estate Investment Trusts, Inc. (NAREIT). NAREIT defines FFO as the most commonly accepted and reported measure of a REIT’s operating performance equal to net income, computed in accordance with accounting principles generally accepted in the United States (GAAP), excluding gains (or losses) from sales of property, depreciation, amortization and impairment related to real estate properties, and after adjustments for unconsolidated partnerships and joint ventures.
Management believes that net income, as defined by GAAP, is the most appropriate earnings measurement. However, management believes FFO and FFO per share to be supplemental measures of a REIT’s performance because they provide an understanding of the operating performance of IIP’s properties without giving effect to certain significant non-cash items, primarily depreciation expense. Historical cost accounting for real estate assets in accordance with GAAP assumes that the value of real estate assets diminishes predictably over time. However, real estate values instead have historically risen or fallen with market conditions. IIP believes that by excluding the effect of depreciation, FFO and FFO per share can facilitate comparisons of operating performance between periods. IIP reports FFO and FFO per share because these measures are observed by management to also be the predominant measures used by the REIT industry and industry analysts to evaluate REITs and because FFO per share is consistently reported, discussed, and compared by research analysts in their notes and publications about REITs. For these reasons, management has deemed it appropriate to disclose and discuss FFO and FFO per share.
7
IIP computes Normalized FFO by adjusting FFO, as defined by NAREIT, to exclude certain GAAP income and expense amounts that management believes are infrequent and unusual in nature and/or not related to IIP’s core real estate operations. Exclusion of these items from similar FFO-type metrics is common within the equity REIT industry, and management believes that presentation of Normalized FFO and Normalized FFO per share provides investors with a metric to assist in their evaluation of IIP’s operating performance across multiple periods and in comparison to the operating performance of other companies, because it removes the effect of unusual items that are not expected to impact IIP’s operating performance on an ongoing basis. Normalized FFO is used by management in evaluating the performance of its core business operations. Items included in calculating FFO that may be excluded in calculating Normalized FFO include certain transaction-related gains, losses, income or expense or other non-core amounts as they occur.
Management believes that AFFO and AFFO per share are also appropriate supplemental measures of a REIT’s operating performance. IIP calculates AFFO by adjusting Normalized FFO for certain cash and non-cash items.
For all periods presented, FFO (diluted), Normalized FFO, AFFO and FFO, Normalized FFO and AFFO per diluted share include the dilutive impact of the assumed full exchange of the Exchangeable Senior Notes for shares of common stock.
For the three months ended March 31, 2023, the performance share units (“PSUs”) granted to certain employees were not included in dilutive securities as the performance thresholds for vesting of the PSUs were not met as measured as of March 31, 2023. For the three months ended March 31, 2022, 102,333 shares issuable upon vesting of the PSUs were dilutive, as the performance thresholds for vesting of these PSUs were met as measured as of March 31, 2022.
IIP’s computation of FFO, Normalized FFO and AFFO may differ from the methodology for calculating FFO, Normalized FFO and AFFO utilized by other equity REITs and, accordingly, may not be comparable to such REITs. Further, FFO, Normalized FFO and AFFO do not represent cash flow available for management’s discretionary use. FFO, Normalized FFO and AFFO should not be considered as an alternative to net income (computed in accordance with GAAP) as an indicator of IIP’s financial performance or to cash flow from operating activities (computed in accordance with GAAP) as an indicator of IIP’s liquidity, nor is it indicative of funds available to fund IIP’s cash needs, including IIP’s ability to pay dividends or make distributions. FFO, Normalized FFO and AFFO should be considered only as supplements to net income computed in accordance with GAAP as measures of IIP’s operations.
Company Contact:
David Smith
Chief Financial Officer
Innovative Industrial Properties, Inc.
(858) 997-3332
8
Exhibit 99.2
Innovative Industrial Properties First Quarter 2023 Supplemental Financial Information
Innovative Industrial Properties 2 Overview Forward - Looking Statements 3 Company Overview 4 Financial Information Quarterly Performance Summary 5 Balance Sheet 6 Net Income 7 FFO, Normalized FFO, and AFFO Reconciliation 8 Historical Net Income 9 Historical FFO, Normalized FFO, and AFFO Reconciliation 10 Statements of Cash Flows 11 Portfolio Data Capital Commitments 12 Leasing Summary 13 Top Tenants Overview 14 Property List 15 – 17 Secured Loans 18 Capitalization Capital and Debt Summary 19 Definitions 20 – 21 Analyst Coverage 22 Senior Management Team and Board of Directors 23 Table of Contents
Innovative Industrial Properties 3 Forward - Looking Statements This Supplemental Financial Information Package include "forward - looking statements" (within the meaning of the Private Securities Litigation Reform Act of 1995 , Section 27 A of the Securities Act of 1933 , as amended, and Section 21 E of the Securities Exchange Act of 1934 , as amended) that are subject to risks and uncertainties . In particular, statements pertaining to our capital resources, portfolio performance and results of operations contain forward - looking statements . Likewise, our statements regarding anticipated growth in our funds from operations and anticipated market and regulatory conditions, our strategic direction, our dividend rate and policy, demographics, results of operations, plans and objectives are forward - looking statements . Forward - looking statements involve numerous risks and uncertainties, and you should not rely on them as predictions of future events . Forward - looking statements depend on assumptions, data or methods which may be incorrect or imprecise, and we may not be able to realize them . We do not guarantee that the transactions and events described will happen as described (or that they will happen at all) . You can identify forward - looking statements by the use of forward - looking terminology such as "believes“, "expects“, "may“, "will“, "should“, "seeks“, "approximately“, "intends“, "plans“, "estimates" or "anticipates" or the negative of these words and phrases or similar words or phrases . You can also identify forward - looking statements by discussions of strategy, plans or intentions . The following factors, among others, could cause actual results and future events to differ materially from those set forth or contemplated in the forward - looking statements : rates of default on leases for our assets ; concentration of our portfolio of assets and limited number of tenants ; the estimated growth in and evolving market dynamics of the regulated cannabis market ; the demand for regulated cannabis facilities ; inflation dynamics ; our ability to improve our internal control over financial reporting, including our inability to remediate an identified material weakness, and the costs and the time associated with such efforts ; the impact of pandemics on us, our business, our tenants, or the economy generally ; war and other hostilities, including the conflict in Ukraine ; our business and investment strategy ; our projected operating results ; actions and initiatives of the U . S . or state governments and changes to government policies and the execution and impact of these actions, initiatives and policies, including the fact that cannabis remains illegal under federal law ; availability of suitable investment opportunities in the regulated cannabis industry ; our understanding of our competition and our potential tenants’ alternative financing sources ; the expected medical - use or adult - use cannabis legalization in certain states ; shifts in public opinion regarding regulated cannabis ; the potential impact on us from litigation matters, including rising liability and insurance costs ; the additional risks that may be associated with certain of our tenants cultivating, processing and/or dispensing adult - use cannabis in our facilities ; the state of the U . S . economy generally or in specific geographic areas ; economic trends and economic recoveries ; our ability to access equity or debt capital ; financing rates for our target assets ; our level of indebtedness, which could reduce funds available for other business purposes and reduce our operational flexibility ; covenants in our debt instruments, which may limit our flexibility and adversely affect our financial condition ; our ability to maintain our investment grade credit rating ; changes in the values of our assets ; our expected portfolio of assets ; our expected investments ; interest rate mismatches between our assets and our borrowings used to fund such investments ; changes in interest rates and the market value of our assets ; the degree to which any interest rate or other hedging strategies may or may not protect us from interest rate volatility ; the impact of and changes in governmental regulations, tax law and rates, accounting guidance and similar matters ; our ability to maintain our qualification as a real estate investment trust for U . S . federal income tax purposes ; our ability to maintain our exemption from registration under the Investment Company Act of 1940 ; availability of qualified personnel ; and market trends in our industry, interest rates, real estate values, the securities markets or the general economy . The risks included here are not exhaustive, and additional factors could adversely affect our business and financial performance . In addition, we discussed a number of material risks in our most recent Annual Report on Form 10 - K and subsequent Quarterly Reports on Form 10 - Q . Those risks continue to be relevant to our performance and financial condition . Moreover, we operate in a very competitive and rapidly changing environment . New risk factors emerge from time to time and it is not possible for management to predict all such risk factors, nor can it assess the impact of all such risk factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward - looking statements . Any forward - looking statement made by us speaks only of the date on which we make it . We undertake no obligation to publicly update or revise any forward - looking statements, whether as a result of new information, future events or otherwise, except as may be required by law . Stockholders and investors are cautioned not to unduly rely on such forward - looking statements when evaluating the information presented in our filings and reports . Market and industry data are included in this presentation . We have obtained substantially all of this information from internal studies, public filings, other independent published industry sources and market studies prepared by third parties . We believe these internal studies, public filings, other independent published industry sources and market studies prepared by third parties are reliable . However, this information may prove to be inaccurate . No representation or warranty is made as to the accuracy of such information . All amounts shown in this report are unaudited . This Supplemental Financial Information Package is not an offer to sell or solicitation to buy securities of Innovative Industrial Properties, Inc . Any offers to sell or solicitations to buy securities of Innovative Industrial Properties, Inc . shall be made only by means of a prospectus approved for that purpose .
Innovative Industrial Properties 4 Company Snapshot State Diversification (1) Pennsylvania 16.2% Massachusetts 12.9% Illinois 12.9% Michigan 11.5% California 8.5% New York 8.0% Florida 7.0% Ohio 4.7% New Jersey 4.4% Maryland 3.7% Other 10.2% Total 100% Company Overview Innovative Industrial Properties, Inc. (NYSE “IIPR”) is an internally managed real estate investment trust (REIT) focused on the acquisition, ownership and management of specialized properties leased to experienced, state - licensed operators for their regulated cannabis facilities . Note : As of March 31 , 2023 , values in thousands except for share count, $ /PSF, or otherwise noted . 1) Based on “Total Committed / Invested Capital” . Refer to “Definitions” for additional details . 2) Refer to “Capital and Debt Summary” and “Definitions” for additional details . 3) Reflects annualized common stock dividend paid on April 14 , 2023 of $ 1 . 80 per share . The decision to declare or pay dividends is in the sole discretion of our board of directors in light of conditions then existing, and there can be no assurance that a dividend will be declared or paid for any time period in any amount . 4) Refer to “Definitions” for additional details . 5) Includes approximately 1 . 0 million square feet under development or redevelopment . Market Capitalization (2) $2,130,380 Operating Portfolio (103 Properties) (4) Current Annualized Dividend ($) (3) $7.20 / share Total Rentable Square Feet (5) 8,136 Total Portfolio (4) Total Committed Invested Capital per Square Foot $275 Total Committed / Invested Capital (1) $2,376,846 % Leased 100% Total Properties 108 Weighted Average Lease Length 15.1 Years
Innovative Industrial Properties 5 Delta 2023 2022 QoQ 1Q2023 4Q2022 3Q2022 2Q2022 1Q2022 Total Revenues $76,067 $70,461 $70,883 $70,511 $64,504 General and administrative expense $10,373 $10,232 $10,804 $8,707 $8,777 General and administrative expense / total revenues 14% 15% 15% 12% 14% Net income attributable to common stockholders $40,754 $41,168 $37,278 $39,876 $34,712 Net income attributable to common stockholders – diluted (“EPS”) $1.43 $1.46 $1.32 $1.42 $1.32 Funds from operations attributable to common stockholders – diluted (“FFO”) (1) $57,537 $53,941 $53,250 $55,177 $48,914 FFO per common share – diluted (1) $2.04 $1.92 $1.89 $1.97 $1.86 Normalized FFO attributable to common stockholders – diluted (“Normalized FFO”) (1) $58,061 $54,969 $55,376 $55,407 $49,032 Normalized FFO per common share – diluted (1) $2.06 $1.95 $1.97 $1.98 $1.86 Adjusted funds from operations attributable to common stockholders – diluted (“AFFO”) (1) $63,373 $59,625 $60,094 $60,178 $53,741 AFFO per common share – diluted (1) $2.25 $2.12 $2.13 $2.15 $2.04 Common stock dividend per share (2) $1.80 $1.80 $1.80 $1.75 $1.75 AFFO Payout Ratio (3) 80% 85% 85% 81% 86% Total Committed / Invested Capital (4) $2.4B $2.3B $2.3B $2.4B $2.1B % Leased – Operating Portfolio (5) 100% 100% 100% 100% 100% Rent Collection % / Quarter – Operating Portfolio (6) 98% 94% 96% 99% 99% Quarterly Performance Summary Note : Dollars in thousands except for $ /share or otherwise noted . 1) Refer to “FFO, Normalized FFO, and AFFO Reconciliation” and “Definitions” for additional details . 2) Reflects quarterly common stock dividend declared in the quarter . 3) Calculated by dividing the common stock dividend declared per share by AFFO per common share – diluted . 4) Dollars in billions, refer to “Definitions” for additional details . 5) Refer to “Definitions” for additional details . 6) Rent collection percentages for Q 3 2022 , Q 4 2022 and Q 1 2023 include approximately $ 2 . 2 million, $ 541 , 000 and $ 3 . 1 million, respectively, of security deposits applied in connection with non - payment of rent by certain tenants . Rent collection percentage for Q 1 2023 also includes approximately $ 1 . 1 million of security deposits applied in connection with previously disclosed amendments with Holistic Industries Inc . at a California property and a Michigan property, pursuant to which 100 % of base rent at the two properties will be paid through application of security deposits until September 30 , 2023 , with pro rata payback of those security deposits over twelve months starting in January 2024 . Refer to “Definitions” for additional details . $2.04 $2.15 $2.13 $2.12 $2.25 1Q2022 2Q2022 3Q2022 4Q2022 1Q2023 AFFO (1) $1.86 $1.98 $1.97 $1.95 $2.06 1Q2022 2Q2022 3Q2022 4Q2022 1Q2023 Normalized FFO (1) $64,504 $70,511 $70,883 $70,461 $76,067 1Q2022 2Q2022 3Q2022 4Q2022 1Q2023 Total Revenues
Innovative Industrial Properties 6 March 31, December 31, (In thousands, except share and per share amounts) 2023 2022 Assets Real estate, at cost: Land $142,524 $139,953 Buildings and improvements 2,054,859 2,010,628 Construction in progress 108,464 54,106 Total real estate, at cost 2,305,847 2,204,687 Less accumulated depreciation (153,170) (138,405) Net real estate held for investment 2,152,677 2,066,282 Construction loan receivable 18,407 18,021 Cash and cash equivalents 37,654 87,122 Restricted cash 1,450 1,450 Investments 163,969 200,935 Right of use office lease asset 1,645 1,739 In-place lease intangible assets, net 8,890 9,105 Other assets, net 28,544 30,182 Total assets $2,413,236 $2,414,836 Liabilities and stockholders’ equity Exchangeable Senior Notes, net $4,406 $6,380 Notes due 2026, net 295,441 295,115 Building improvements and construction funding payable 31,088 29,376 Accounts payable and accrued expenses 11,391 10,615 Dividends payable 51,063 50,840 Rent received in advance and tenant security deposits 58,663 58,716 Other liabilities 3,037 1,901 Total liabilities 455,089 452,943 Stockholders’ equity: Preferred stock, par value $0.001 per share, 50,000,000 shares authorized: 9.00% Series A cumulative redeemable preferred stock, $15,000 liquidation preference ($25.00 per share), 600,000 shares issued and outstanding at March 31, 2023 and December 31, 2022 14,009 14,009 Common stock, par value $0.001 per share, 50,000,000 shares authorized: 28,034,999 and 27,972,830 shares issued and outstanding at March 31, 2023 and December 31, 2022, respectively 28 28 Additional paid-in capital 2,071,473 2,065,248 Dividends in excess of earnings (127,363) (117,392) Total stockholders’ equity 1,958,147 1,961,893 Total liabilities and stockholders ’ equity $2,413,236 $2,414,836 Balance Sheet
Innovative Industrial Properties 7 For the Three Months Ended For the Three Months Ended March 31, March 31, (In thousands, except share and per share amounts) 2023 2022 Revenues: Rental (including tenant reimbursements) $75,529 $64,114 Other 538 390 Total revenues 76,067 64,504 Expenses: Property expenses 5,623 1,982 General and administrative expense 10,373 8,777 Depreciation and amortization expense 16,714 13,868 Total expenses 32,710 24,627 Income from operations 43,357 39,877 Interest and other income 2,233 57 Interest expense (4,520) (4,766) Gain (loss) on exchange of Exchangeable Senior Notes 22 (118) Net income 41,092 35,050 Preferred stock dividends (338) (338) Net income attributable to common stockholders $40,754 $34,712 Net income attributable to common stockholders per share: Basic $1.45 $1.35 Diluted $1.43 $1.32 Weighted-average shares outstanding: Basic 27,949,747 25,620,253 Diluted 28,223,698 26,340,224 Net Income
Innovative Industrial Properties 8 For the Three Months Ended For the Three Months Ended March 31, March 31, (In thousands, except share and per share amounts) 2023 2022 Net income attributable to common stockholders $40,754 $34,712 Real estate depreciation and amortization 16,714 13,868 FFO attributable to common stockholders (basic) 57,468 48,580 Cash and non-cash interest expense on Exchangeable Senior Notes 69 334 FFO attributable to common stockholders (diluted) 57,537 48,914 Litigation-related expense 546 - (Gain) loss on exchange of Exchangeable Senior Notes (22) 118 Normalized FFO attributable to common stockholders (diluted) 58,061 49,032 Interest income on seller-financed note (1) 134 - Stock-based compensation 4,829 4,379 Non-cash interest expense 326 307 Above-market lease amortization 23 23 AFFO attributable to common stockholders (diluted) $63,373 $53,741 FFO per common share – diluted $2.04 $1.86 Normalized FFO per common share – diluted $2.06 $1.86 AFFO per common share – diluted $2.25 $2.04 Weighted average common shares outstanding – basic 27,949,747 25,620,253 Restricted stock and restricted stock units ("RSUs") 171,741 110,457 Performance share units ("PSUs") - 102,333 Dilutive effect of Exchangeable Senior Notes 102,210 507,181 Weighted average common shares outstanding – diluted 28,223,698 26,340,224 FFO, Normalized FFO, and AFFO Reconciliation 1) Amount reflects the non - refundable interest paid on the seller - financed note issued to us by the buyer in connection with our disposition of a portfolio of four properties in southern California previously leased to affiliates of Medical Investor Holdings LLC (Vertical), which is recognized as a deposit liability and is included in other liabilities in our condensed consolidated balance sheet as of March 31 , 2023 , as the transaction did not qualify for recognition as a completed sale .
Innovative Industrial Properties 9 2023 2022 (In thousands, except share and per share amounts) 1Q2023 4Q2022 3Q2022 2Q2022 1Q2022 Revenues: Rental (including tenant reimbursements) $75,529 $69,923 $70,345 $69,995 $64,114 Other 538 538 538 516 390 Total revenues 76,067 70,461 70,883 70,511 64,504 Expenses: Property expenses 5,623 3,288 2,823 2,427 1,982 General and administrative expense 10,373 10,232 10,804 8,707 8,777 Depreciation and amortization expense 16,714 16,302 15,900 15,233 13,868 Total expenses 32,710 29,822 29,527 26,367 24,627 Gain on sale of real estate - 3,601 - - - Income from operations 43,357 44,240 41,356 44,144 39,877 Interest and other income 2,233 1,784 773 581 57 Interest expense (4,520) (4,518) (4,513) (4,504) (4,766) Gain (loss) on exchange of Exchangeable Senior Notes 22 - - (7) (118) Net income 41,092 41,506 37,616 40,214 35,050 Preferred stock dividends (338) (338) (338) (338) (338) Net income attributable to common stockholders $40,754 $41,168 $37,278 $39,876 $34,712 Net income attributable to common stockholders per share: Basic $1.45 $1.47 $1.33 $1.42 $1.35 Diluted $1.43 $1.46 $1.32 $1.42 $1.32 Weighted-average shares outstanding: Basic 27,949,747 27,938,804 27,938,568 27,850,561 25,620,253 Diluted 28,223,698 28,160,261 28,157,934 28,036,690 26,340,224 Historical Net Income
Innovative Industrial Properties 10 2023 2022 (In thousands, except share and per share amounts) 1Q2023 4Q2022 3Q2022 2Q2022 1Q2022 Net income attributable to common stockholders $40,754 $41,168 $37,278 $39,876 $34,712 Real estate depreciation and amortization 16,714 16,302 15,900 15,233 13,868 Gain on sale of real estate - (3,601) - - - FFO attributable to common stockholders (basic) 57,468 53,869 53,178 55,109 48,580 Cash and non-cash interest expense on Exchangeable Senior Notes 69 72 72 68 334 FFO attributable to common stockholders (diluted) 57,537 53,941 53,250 55,177 48,914 Financing expense - 249 14 104 - Litigation-related expense 546 779 2,112 119 - (Gain) loss on exchange of Exchangeable Senior Notes (22) - - 7 118 Normalized FFO attributable to common stockholders (diluted) 58,061 54,969 55,376 55,407 49,032 Interest income on seller-financed note (1) 134 - - - - Stock-based compensation 4,829 4,312 4,379 4,437 4,379 Non-cash interest expense 326 321 316 311 307 Above-market lease amortization 23 23 23 23 23 AFFO attributable to common stockholders (diluted) $63,373 $59,625 $60,094 $60,178 $53,741 FFO per common share – diluted $2.04 $1.92 $1.89 $1.97 $1.86 Normalized FFO per common share – diluted $2.06 $1.95 $1.97 $1.98 $1.86 AFFO per common share – diluted $2.25 $2.12 $2.13 $2.15 $2.04 Weighted average common shares outstanding – basic 27,949,747 27,938,804 27,938,568 27,850,561 25,620,253 Restricted stock and RSUs 171,741 117,831 118,567 82,387 110,457 PSUs - - - - 102,333 Dilutive effect of Exchangeable Senior Notes 102,210 103,626 100,799 103,742 507,181 Weighted average common shares outstanding – diluted 28,223,698 28,160,261 28,157,934 28,036,690 26,340,224 Historical FFO, Normalized FFO, and AFFO Reconciliation 1) Amount reflects the non - refundable interest paid on the seller - financed note issued to us by the buyer in connection with our disposition of a portfolio of four properties in southern California previously leased to affiliates of Vertical, which is recognized as a deposit liability and is included in other liabilities in our condensed consolidated balance sheet as of March 31 , 2023 , as the transaction did not qualify for recognition as a completed sale .
Innovative Industrial Properties 11 For the Three Months Ended March 31, (In thousands) 2023 2022 Cash flows from operating activities Net income $41,092 $35,050 Adjustments to reconcile net income to net cash provided by operating activities Depreciation and amortization 16,714 13,868 (Gain) loss on exchange of Exchangeable Senior Notes (22) 118 Other non-cash adjustments 26 70 Stock-based compensation 4,829 4,379 Amortization of discounts on short-term investments (1,676) (46) Amortization of debt discount and issuance costs 338 365 Changes in assets and liabilities Other assets, net 1,360 812 Accounts payable, accrued expenses and other liabilities 2,008 1,272 Rent received in advance and tenant security deposits (53) 3,996 Net cash provided by operating activities 64,616 59,884 Cash flows from investing activities Purchases of investments in real estate (34,906) (47,820) Funding of draws for improvements and construction (66,026) (129,395) Funding of construction loan and other investments (386) (18,279) Deposits in escrow for acquisitions - (600) Purchases of short-term investments (51,772) - Maturities of short-term investments 90,414 115,000 Net cash used in investing activities (62,676) (81,094) Cash flows from financing activities Issuance of common stock, net of offering costs - 21,103 Dividends paid to common stockholders (50,502) (38,509) Dividends paid to preferred stockholders (338) (338) Taxes paid related to net share settlement of equity awards (568) (2,441) Net cash used in financing activities (51,408) (20,185) Net decrease in cash, cash equivalents and restricted cash (49,468) (41,395) Cash, cash equivalents and restricted cash, beginning of period 88,572 86,419 Cash, cash equivalents and restricted cash, end of period $39,104 $45,024 Supplemental disclosure of cash flow information: Cash paid during the period for interest $121 $626 Supplemental disclosure of non-cash investing and financing activities: Accrual for current-period additions to real estate $20,264 $43,802 Deposits applied for acquisitions 250 25 Accrual for common and preferred stock dividends declared 51,063 46,168 Accrual for stock issuance costs - 126 Exchange of Exchangeable Senior Notes for common stock 1,964 23,870 Operating lease liability for obtaining right of use asset - 1,017 Statements of Cash Flows
Innovative Industrial Properties 12 Current Quarter Rentable Purchase Additional Existing Total Total State Closing / Execution Square Feet Price (1) Commitment Investment (1) Investment Investment / PSF (2) Acquisitions Pennsylvania Feb-23 58 $15,000 - - $15,000 $259 Ohio Mar-23 157 20,100 21,900 - 42,000 $268 Acquisitions Subtotal / Wtd. Avg. 215 $35,100 $21,900 - $57,000 $265 Amendments New Jersey Feb-23 114 - $15,000 $40,000 $55,000 $482 New York Feb-23 364 - 4,000 63,060 67,060 $184 New York Feb-23 225 - 15,000 108,500 123,500 $549 Amendments Subtotal / Wtd. Avg. 703 - $34,000 $211,560 $245,560 $349 Total / Wtd. Avg. 918 $35,100 $55,900 $211,560 $302,560 $330 Capital Commitments First Quarter Capital Commitments Two Year Capital Commitment History (3) Note : Values in thousands except for $ /PSF . Excludes commitments related to senior secured loans . 1) Excludes transaction costs . 2) Calculated as IIP’s total investment divided by the rentable square feet . 3) Excludes changes in future commitments to fund improvements for Development / Redevelopment Properties . $131,850 $164,315 $132,657 $66,908 $92,238 $21,500 - $57,000 $45,100 $43,000 $43,400 $40,800 $147,161 - $25,400 $34,000 $176,950 $207,315 $176,057 $107,708 $239,399 $21,500 $25,400 $91,000 2Q2021 3Q2021 4Q2021 1Q2022 2Q2022 3Q2022 4Q2022 1Q2023 Acquisitions Amendments
Innovative Industrial Properties 13 # of Rentable Square Feet Annualized Base Rent Year Leases # % $ % 2023 - - - - - 2024 - - - - - 2025 - - - - - 2026 - - - - - 2027 - - - - - 2028 - - - - - 2029 1 120 1% $2,043 1% 2030 2 153 2% $5,494 2% 2031 6 183 2% $5,438 2% 2032 1 3 0% $106 0% Thereafter 90 7,561 95% $254,460 95% Total 100 8,020 100% $267,541 100% Note : Square footage and dollars in thousands . 1) As a % of annualized base rent for Operating Portfolio . See “Definitions” for additional details . Excludes properties that Kings Garden continues to occupy pursuant to confidential, conditional settlement agreement reported by IIP on its current report on Form 8 - K filed with the SEC on September 16 , 2022 . Leasing Summary Lease Expiration Schedule as of March 31, 2023 (1) - - - - - - 1% 2% 2% 0% 95% 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 Thereafter No Expiring Leases Until 2029
Innovative Industrial Properties 14 IIP Portfolio Full Year 2022 (3) Tenant Information Total Invested Capital (1) Investment # of Adjusted Market MSO #Tenant $ % Square Feet (2) / Square Feet Leases Revenue EBITDA (4) Capitalization (5) / SSO (6) 1PharmaCann $321,172 13.5% 688 $467 11 Private Co. Private Co. Private Co. MSO 2Ascend Wellness (AWH) 214,050 9.0% 624 343 4 $406 $93 $180 MSO 3Green Thumb Industries 176,800 7.4% 664 266 3 1,017 311 1,800 MSO 4Parallel 175,650 7.4% 832 211 3 Private Co. Private Co. Private Co. MSO 5Curaleaf 175,047 7.4% 578 303 8 1,336 305 2,012 MSO 6Columbia Care 147,834 6.2% 588 251 21 512 67 210 MSO 7Trulieve 146,503 6.2% 740 198 6 1,240 400 1,028 MSO 8Holistic Industries 121,900 5.1% 333 366 5 Private Co. Private Co. Private Co. MSO 9Cresco Labs 120,845 5.1% 379 319 5 843 173 495 MSO 10 4Front Ventures (7) 119,150 5.0% 488 244 4 119 28 109 MSO Top 10 Tenants Total $1,718,951 72.3% 5,914 $291 70 Top Tenants Overview 1) Total Portfolio representation . Dollars in thousands, see “Definitions” for additional details . 2) Square feet in thousands . 3) Dollars in millions, based on each company’s public securities filings and earnings release, available at www . sec . gov, www . sedar . com, or each company’s respective website, for the year ended December 31 , 2022 . 4) Adjusted EBITDA is a non - GAAP financial measure utilized in the industry . For definitions and reconciliations of Adjusted EBITDA to net income, see each company’s public securities filings, available at www . sec . gov or www . sedar . com . 5) Dollars in millions, per S&P Capital IQ Pro as of 3 / 31 / 2023 . 6) “MSO” stands for Multi - State Operator which means the tenant (or guarantor) conducts cannabis operations in more than one state . “SSO” stands for Single - State O perator which means the tenant (or guarantor) conducts cannabis operations in a single state . 7) Includes one property acquired in January 2022 for $ 16 . 0 million which did not satisfy the requirements for sale - leaseback accounting and therefore, the transaction is recognized as a note receivable and is included in other assets, net on our consolidated balance sheet .
Innovative Industrial Properties 15 Square Feet Invested / Committed Capital $ Date % Under Dev. Total $ / #Tenant State City Acquired Leased In Place (1) / Redev. (2) Total Invested Committed Total $ Square Feet Industrial 1PharmaCann New York Hamptonburgh 12/19/2016 100% 74 151 225 $103,861 $19,639 $123,500 $549 2PharmaCann Michigan Warren 10/9/2019 100% 205 - 205 83,045 550 83,595 408 3PharmaCann Massachusetts Holliston 5/31/2018 100% 58 - 58 30,500 - 30,500 526 4PharmaCann Illinois Dwight 10/30/2019 100% 66 - 66 28,000 - 28,000 424 5PharmaCann Pennsylvania Scott Township 8/7/2019 100% 56 - 56 28,000 - 28,000 500 6PharmaCann Ohio Buckeye Lake Village 3/13/2019 100% 58 - 58 20,000 - 20,000 345 7Ascend Wellness (AWH) Illinois Barry 12/21/2018 100% 166 - 166 71,000 - 71,000 428 8Ascend Wellness (AWH) Massachusetts Athol 4/2/2020 100% 199 - 199 63,900 - 63,900 321 9Ascend Wellness (AWH) New Jersey Franklin 2/10/2022 100% 114 - 114 53,040 1,960 55,000 482 10Ascend Wellness (AWH) Michigan Lansing 7/2/2019 100% 145 - 145 24,150 - 24,150 167 11Green Thumb Industries Pennsylvania Danville 11/12/2019 100% 300 - 300 94,600 - 94,600 315 12Green Thumb Industries Illinois Oglesby 3/6/2020 100% 266 - 266 50,000 - 50,000 188 13Green Thumb Industries Ohio Toledo 1/31/2020 100% 98 - 98 32,200 - 32,200 329 14Parallel Pennsylvania Pittsburgh 5/13/2021 100% 239 - 239 67,750 - 67,750 283 15Parallel Florida Lakeland 9/18/2020 100% 220 - 220 56,400 - 56,400 256 16Parallel Florida Wimauma 3/11/2020 100% 373 - 373 51,500 - 51,500 138 17Curaleaf Pennsylvania Chambersburg 12/20/2019 100% 179 - 179 53,661 7,979 61,640 344 18Curaleaf Illinois Litchfield 10/30/2019 100% 127 - 127 40,000 - 40,000 315 19Curaleaf New Jersey Blue Anchor 7/13/2020 100% 123 - 123 35,000 - 35,000 285 20Curaleaf Massachusetts Webster 9/1/2022 100% 104 - 104 21,500 - 21,500 207 21Curaleaf North Dakota Fargo 12/20/2019 100% 33 - 33 12,190 - 12,190 369 22Columbia Care Pennsylvania Saxton 5/20/2019 100% 270 - 270 42,891 109 43,000 159 23Columbia Care Virginia Richmond 1/15/2020 100% 82 - 82 19,750 - 19,750 241 24Columbia Care New Jersey Vineland 7/16/2020 100% 50 - 50 11,820 - 11,820 236 25Columbia Care Colorado Denver 10/30/2018 100% 58 - 58 11,250 - 11,250 194 26Columbia Care Colorado Denver 12/14/2021 100% 18 - 18 9,917 - 9,917 551 27Columbia Care Colorado Denver 12/14/2021 100% 12 - 12 3,276 - 3,276 273 28Trulieve Massachusetts Holyoke 7/26/2019 100% 150 - 150 43,500 - 43,500 290 29Trulieve Florida Alachua 1/22/2021 100% 295 - 295 41,650 - 41,650 141 30Trulieve Maryland Hancock 8/13/2021 100% 115 - 115 28,901 614 29,515 257 31Trulieve Florida Quincy 10/23/2019 100% 120 - 120 17,000 - 17,000 142 32Trulieve* Nevada Las Vegas 7/12/2019 100% 43 - 43 9,600 - 9,600 223 33Trulieve Arizona Cottonwood 4/27/2022 100% 17 - 17 5,238 - 5,238 308 34Holistic Industries Maryland Capitol Heights 5/26/2017 100% 72 - 72 33,719 31 33,750 469 35Holistic Industries Pennsylvania New Castle 6/10/2020 100% 108 - 108 24,396 1,254 25,650 238 36Holistic Industries Massachusetts Monson 7/12/2018 100% 55 - 55 19,641 109 19,750 359 37Cresco Labs Michigan Marshall 4/22/2020 100% 115 - 115 32,000 - 32,000 278 38Cresco Labs Illinois Kankakee 10/22/2019 100% 51 - 51 25,496 104 25,600 502 39Cresco Labs Illinois Joliet 10/22/2019 100% 39 - 39 20,950 - 20,950 537 40Cresco Labs Ohio Yellow Springs 1/24/2020 100% 50 - 50 12,927 618 13,545 271 414Front Ventures Illinois Matteson 8/3/2021 100% - 250 250 55,748 14,402 70,150 281 424Front Ventures Washington Olympia 12/17/2020 100% 114 - 114 17,500 - 17,500 154 434Front Ventures** Massachusetts Holliston 1/28/2022 100% 57 - 57 16,000 - 16,000 281 444Front Ventures Massachusetts Georgetown 12/17/2020 100% 67 - 67 15,500 - 15,500 231 45Goodness Growth (f/k/a Vireo Health) New York Perth 10/23/2017 100% 40 324 364 64,709 2,351 67,060 184 46Goodness Growth (f/k/a Vireo Health) Minnesota Otsego 11/8/2017 100% 89 - 89 9,710 - 9,710 109 47Gold Flora California Desert Hot Springs 10/15/2021 100% 166 35 201 62,827 673 63,500 316 Note : Subtotals and Totals include fractional amounts . Square footage and dollars in thousands except for $ /PSF . “Industrial” reflects facilities utilized or expected to be utilized for regulated cannabis cultivation, processing and/or distribution activities, which can consist of industrial and/or greenhouse space . Data as of March 31 , 2023 . *Harvest Health & Recreation Inc . , which is a subsidiary of Trulieve Inc . , executed a lease guaranty in favor of IIP for tenant’s obligations at the property . **The acquisition of the property did not satisfy the requirements for sale - leaseback accounting and therefore, the transaction is recognized as a note receivable and is included in other assets, net on our consolidated balance sheet . 1) Existing square footage for properties where there is no active development or redevelopment . 2) Estimated square footage upon completion of development or redevelopment . Property List
Innovative Industrial Properties 16 Square Feet Invested / Committed Capital $ Date % Under Dev. Total $ / #Tenant State City Acquired Leased In Place (1) / Redev. (2) Total Invested Committed Total $ Square Feet 48TILT Holdings Pennsylvania White Haven 2/15/2023 100% 58 - 58 $15,000 - $15,000 $259 49Jushi Pennsylvania Scranton 4/6/2018 100% 145 - 145 45,800 - 45,800 316 50Battle Green Ohio Columbus 3/3/2023 100% - 157 157 20,100 21,900 42,000 268 51Kings Garden California North Palm Springs 5/12/2020 100% 70 - 70 17,500 - 17,500 250 52Kings Garden California Palm Springs 4/16/2019 100% 24 - 24 6,309 - 6,309 263 53Kings Garden California Palm Springs 4/16/2019 100% 22 - 22 5,788 - 5,788 263 54Calyx Peak Missouri Smithville 9/17/2021 100% 83 - 83 27,721 529 28,250 340 55Green Peak (Skymint) Michigan Dimondale 8/2/2018 100% 56 - 56 15,799 - 15,799 282 56Temescal Wellness Massachusetts North Adams 5/26/2021 100% 71 - 71 26,500 300 26,800 377 57Maryland Cultivation Processing (MCP) Maryland Hagerstown 4/13/2022 100% 84 - 84 25,000 - 25,000 298 58The Pharm Arizona Willcox 12/15/2017 100% 358 - 358 20,000 - 20,000 56 59Texas Original Texas Bastrop 6/14/2022 100% - 85 85 14,827 7,173 22,000 259 60Sacramento CA (Undisclosed Tenant) California Sacramento 2/8/2019 100% 43 - 43 12,710 - 12,710 296 61Emerald Growth Michigan Harrison Township 6/7/2019 100% 45 - 45 10,000 - 10,000 222 62AYR Wellness Ohio Akron 5/14/2019 100% 11 - 11 3,550 - 3,550 323 Industrial Subtotal / Wtd. Avg. 100% 6,526 1,002 7,528 $1,942,819 $80,293 $2,023,112 $269 Retail 63PharmaCann Colorado Commerce City 2/21/2020 100% 5 - 5 $2,300 - $2,300 $460 64PharmaCann Colorado Aurora 12/14/2021 100% 2 - 2 1,558 116 1,674 837 65PharmaCann Colorado Berthoud 12/14/2021 100% 6 - 6 1,307 99 1,406 234 66PharmaCann Colorado Mancos 12/14/2021 100% 4 - 4 1,148 - 1,148 287 67PharmaCann Colorado Pueblo 2/19/2020 100% 3 - 3 1,049 - 1,049 350 68Curaleaf North Dakota Dickinson 12/14/2021 100% 5 - 5 2,045 - 2,045 409 69Curaleaf North Dakota Devils Lake 12/14/2021 100% 4 - 4 1,614 - 1,614 404 70Curaleaf Pennsylvania Bradford 12/14/2021 100% 3 - 3 1,058 - 1,058 353 71Columbia Care Colorado Denver 12/14/2021 100% 4 - 4 7,338 - 7,338 1,834 72Columbia Care Colorado Pueblo 12/14/2021 100% 6 - 6 4,878 - 4,878 813 73Columbia Care Colorado Aurora 12/14/2021 100% 5 - 5 4,229 - 4,229 846 74Columbia Care Colorado Glenwood Springs 12/14/2021 100% 4 - 4 4,187 - 4,187 1,047 75Columbia Care Colorado Fort Collins 12/14/2021 100% 5 - 5 3,977 - 3,977 795 76Columbia Care Colorado Aurora 12/14/2021 100% 4 - 4 3,601 - 3,601 900 77Columbia Care New Jersey Vineland 7/16/2020 100% 4 - 4 2,165 - 2,165 541 78Columbia Care Colorado Aurora 12/14/2021 100% 5 - 5 1,991 - 1,991 398 79Columbia Care Colorado Englewood 12/14/2021 100% 4 - 4 1,778 - 1,778 445 80Columbia Care Colorado Trinidad 12/14/2021 100% 9 - 9 1,728 - 1,728 192 81Columbia Care Colorado Silver Plume 12/14/2021 100% 4 - 4 1,444 - 1,444 361 82Columbia Care Colorado Black Hawk 12/14/2021 100% 4 - 4 1,321 - 1,321 330 83Columbia Care Colorado Edgewater 12/14/2021 100% 5 - 5 1,089 - 1,089 218 84Columbia Care Colorado Sheridan 12/14/2021 100% 2 - 2 890 - 890 445 85Green Peak (Skymint) Michigan East Lansing 10/25/2019 100% 3 - 3 3,372 28 3,400 1,133 86Green Peak (Skymint) Michigan Lansing 11/4/2019 100% 14 - 14 2,225 - 2,225 159 87Green Peak (Skymint) Michigan Flint 11/4/2019 100% 6 - 6 2,180 - 2,180 363 88Green Peak (Skymint) Michigan Bay City 11/4/2019 100% 4 - 4 1,740 - 1,740 435 89Green Peak (Skymint) Michigan Traverse City 11/25/2019 100% 2 - 2 1,272 - 1,272 636 90Green Peak (Skymint) Michigan Newaygo 11/8/2019 100% 2 - 2 995 - 995 498 91The Pharm Arizona Phoenix 9/19/2019 100% 2 - 2 2,500 - 2,500 1,250 92Schwazze Colorado Ordway 12/14/2021 100% 2 - 2 400 - 400 200 Property List (Continued) Note : Subtotals and Totals include fractional amounts . Square footage and dollars in thousands except for $ /PSF . “Industrial” reflects facilities utilized or expected to be utilized for regulated cannabis cultivation, processing and/or distribution activities, which can consist of industrial and/or greenhouse space . Data as of March 31 , 2023 . 1) Existing square footage for properties where there is no active development or redevelopment . 2) Estimated square footage upon completion of development or redevelopment .
Innovative Industrial Properties 17 Square Feet Invested / Committed Capital $ Date % Under Dev. Total $ / #Tenant State City Acquired Leased In Place (1) / Redev. (2) Total Invested Committed Total $ Square Feet 93Schwazze Colorado Rocky Ford 12/14/2021 100% 13 - 13 $400 - $400 $31 94Schwazze Colorado Las Animas 12/14/2021 100% 2 - 2 400 - 400 200 95Verano Pennsylvania Harrisburg 3/23/2022 100% 3 - 3 2,750 - 2,750 917 Retail Subtotal / Wtd. Avg. 100% 150 - 150 $70,927 $242 $71,170 $474 Industrial / Retail 96Columbia Care Colorado Denver 12/14/2021 100% 33 - 33 $8,206 - $8,206 $249 97Holistic Industries Michigan Madison Heights 9/1/2020 100% 63 - 63 28,500 - 28,500 452 98Holistic Industries California Los Angeles 7/23/2019 100% 35 - 35 13,977 273 14,250 407 99Cresco Labs Massachusetts Fall River 6/30/2020 100% 124 - 124 25,247 3,503 28,750 232 100 TILT Holdings Massachusetts Taunton 5/16/2022 100% 104 - 104 40,000 - 40,000 385 101 Sozo Michigan Warren 5/14/2021 100% 85 - 85 17,071 159 17,230 203 102 Schwazze Colorado Pueblo 12/14/2021 100% 8 - 8 2,165 - 2,165 271 103 Kaya Cannabis Colorado Denver 12/14/2021 100% 6 - 6 1,299 - 1,299 217 Industrial / Retail Subtotal / Wtd. Avg. 100% 458 - 458 $136,464 $3,935 $140,400 $307 Operating Portfolio Total / Wtd. Avg. 100% 7,134 1,002 8,136 $2,150,211 $84,471 $2,234,682 $275 Dev. / Redev. Properties (3) 104 Davis Highway Michigan Windsor 4/16/2021 - 97 104 201 $50,894 - $50,894 $253 105 63795 19th Avenue California Palm Springs 4/16/2019 100% 56 180 236 39,152 - 39,152 166 106 Inland Center Drive California San Bernardino 11/16/2020 - - 192 192 35,729 - 35,729 186 107 Leah Avenue Texas San Marcos 3/10/2021 - - 63 63 8,231 - 8,231 131 108 Perez Road California Cathedral City 3/25/2022 - - 23 23 8,158 - 8,158 355 Dev. / Redev. Properties / Wtd. Avg. 33% 153 562 715 $142,164 - $142,164 $199 Total Portfolio / Wtd. Avg. 95% 7,287 1,564 8,851 $2,292,375 $84,471 $2,376,846 $269 State Subtotal / Wtd. Avg. 1 Pennsylvania 100% 1,361 - 1,361 $375,906 $9,341 $385,247 $283 2 Massachusetts 100% 989 - 989 $302,288 $3,912 $306,200 $310 3 Illinois 100% 715 250 965 $291,194 $14,506 $305,700 $317 4 Michigan 79% 842 104 946 $273,243 $737 $273,980 $290 5 California 75% 416 430 846 $202,150 $946 $203,096 $240 6 New York 100% 114 475 589 $168,570 $21,990 $190,560 $324 7 Florida 100% 1,008 - 1,008 $166,550 - $166,550 $165 8 Ohio 100% 217 157 374 $88,777 $22,518 $111,295 $298 9 New Jersey 100% 291 - 291 $102,025 $1,960 $103,985 $357 10 Maryland 100% 271 - 271 $87,620 $645 $88,265 $326 11 Colorado 100% 233 - 233 $83,125 $215 $83,340 $358 12 Texas 57% - 148 148 $23,058 $7,173 $30,231 $204 13 Missouri 100% 83 - 83 $27,721 $529 $28,250 $340 14 Arizona 100% 377 - 377 $27,737 - $27,737 $74 15 Virginia 100% 82 - 82 $19,750 - $19,750 $241 16 Washington 100% 114 - 114 $17,500 - $17,500 $154 17 North Dakota 100% 42 - 42 $15,849 - $15,849 $377 18 Minnesota 100% 89 - 89 $9,710 - $9,710 $109 19 Nevada 100% 43 - 43 $9,600 - $9,600 $223 Property List (Continued) Note : Subtotals and Totals include fractional amounts . Square footage and dollars in thousands except for $ /PSF . “Industrial” reflects facilities utilized or expected to be utilized for regulated cannabis cultivation, processing and/or distribution activities, which can consist of industrial and/or greenhouse space . Data as of March 31 , 2023 . 1) Existing square footage for properties where there is no active development or redevelopment . 2) Estimated square footage upon completion of development or redevelopment . 3) Refer to “Definitions” for additional details .
Innovative Industrial Properties 18 Date Maturity / Wtd. Loan #City State Loan Type Executed Avg. Maturity Total $ 1 Coachella (1) California Senior Secured 6/25/2021 0.8 Years $23,000 2 Needles (2) California Senior Secured 3/3/2023 4.9 Years 16,100 Loan Portfolio Total / Wtd. Avg. 2.5 Years $39,100 Secured Loans Note : Loan list maturity does not include available loan extensions . 1) As of March 31 , 2023 , we had funded approximately $ 18 . 4 million of the construction loan . 2) Relates to the seller - financed note issued to us by the buyer in connection with our disposition of a portfolio of four properties in southern California previously leased to Vertical . The transaction did not qualify for recognition as a completed sale in accordance with GAAP and therefore, we have not derecognized the assets transferred and have not recognized the seller - financed note on our consolidated balance sheet .
Innovative Industrial Properties 19 Interest Rate / Preferred Rate / Maturity / Wtd. Quarter End (In thousands, except share and per share amounts) Wtd. Avg. Rate Avg. Maturity March 31, 2023 Unsecured debt: Exchangeable Senior Notes 3.75% 0.9 Years $4,436 Notes due 2026 5.50% 3.2 Years 300,000 Total Unsecured Debt 5.47% 3.1 Years $304,436 Gross Debt 5.47% 3.1 Years $304,436 Series A Preferred Stock: Redemption price per share $25.00 Shares outstanding 600,000 Total Preferred Equity 9.00% $15,000 Total Senior Capital 5.64% $319,436 Equity Market Capitalization: Stock Price as of 03/31/2023 $75.99 Shares outstanding 28,034,999 Equity Market Capitalization $2,130,380 Covenant (1) March 31, 2023 Debt / Total Gross Assets <60% ~12% Secured Debt <40% 0% Unencumbered Total Gross Assets / Unsecured Debt >150% ~844% Debt Service Coverage Ratio >1.5x 16.2x Egan Jones Credit Rating BBB+ Debt Maturity Schedule Capital and Debt Summary $4.4 Million $300.0 Million 2023 2024 2025 2026 2027 Thereafter Exchangeable Senior Notes Notes Due 2026 Capital Overview 1) Calculated in accordance with the indenture governing the Notes due 2026 , included in the Current Report on Form 8 - K filed with the Securities and Exchange Commission on May 25 , 2021 .
Innovative Industrial Properties 20 Definitions • Adjusted Funds From Operations (“AFFO”): Management believes that AFFO and AFFO per share are appropriate supplemental measures of a REIT’s operating performance. We calculate AFFO by adjusting Normalized FFO for certain cash and non - cash items. • Annualized Base Rent (“ABR”): ABR is calculated by multiplying rental payments (defined as the contractually due base rents and property management fees for the last month in the quarter), by twelve. • Development / Redevelopment (“Dev. / Redev.”) Properties: Defined as non - operating assets under development that are not leased and not ready for their intended use. • Exchangeable Senior Notes: 3.75% E xchangeable Senior Notes due 2024. • Funds From Operations (“FFO”): FFO and FFO per share are operating performance measures adopted by the National Association of Real Estate Investment Trusts, Inc. (“NAREIT”). NAREIT defines FFO as the most commonly accepted and reported measure of a REIT’s ope rating performance equal to net income (computed in accordance with GAAP), excluding gains (or losses) from sales of property, depre cia tion, amortization and impairment related to real estate properties, and after adjustments for unconsolidated partnerships and join t v entures. Management believes that net income, as defined by GAAP, is the most appropriate earnings measurement. However, management be lie ves FFO and FFO per share to be supplemental measures of a REIT’s performance because they provide an understanding of the operat ing performance of our properties without giving effect to certain significant non - cash items, primarily depreciation expense. Histo rical cost accounting for real estate assets in accordance with GAAP assumes that the value of real estate assets diminishes predictably ov er time. However, real estate values instead have historically risen or fallen with market conditions. We believe that by excluding the effect of depreciation, FFO and FFO per share can facilitate comparisons of operating performance between periods. We report FFO and FFO per share because th ese measures are observed by management to also be the predominant measures used by the REIT industry and by industry analysts to ev aluate REITs and because FFO per share is consistently reported, discussed, and compared by research analysts in their notes and pub lic ations about REITs. For these reasons, management has deemed it appropriate to disclose and discuss FFO and FFO per share. • GAAP: Accounting principles generally accepted in the United States. • Gross Debt: Calculated as the sum of the principal amount outstanding of the Notes due 2026 and Exchangeable Senior Notes. • Normalized Funds From Operations (“Normalized FFO”): We compute normalized funds from operations (“Normalized FFO”) by adjusting FFO, as defined by NAREIT, to exclude certain GAAP income and expense amounts that we believe are infrequent and unusual in n atu re and/or not related to our core real estate operations. Exclusion of these items from similar FFO - type metrics is common within the equi ty REIT industry, and management believes that presentation of Normalized FFO and Normalized FFO per share provides investors with a metric to ass ist in their evaluation of our operating performance across multiple periods and in comparison to the operating performance of other compa nie s, because it removes the effect of unusual items that are not expected to impact our operating performance on an ongoing basis. Normali zed FFO is used by management in evaluating the performance of our core business operations. Items included in calculating FFO that may be ex clu ded in calculating Normalized FFO include certain transaction - related gains, losses, income or expense or other non - core amounts as the y occur.
Innovative Industrial Properties 21 Definitions (Continued) • Notes due 2026 : 5.50% Unsecured Senior Notes due 2026. • Operating Portfolio: All properties that (a) are leased or (b) are not leased but ready for their intended use. • Rent Collection: Calculated as actual base rent and property management fees collected over contractual billed base rent and property management fees. Includes security deposits applied for payment of rent. • Series A Preferred: 9.00% Series A Cumulative Redeemable Preferred Stock, $0.001 par value per share. • Total Committed / Invested Capital: Includes (1) total investments in properties (consisting of purchase price and construction funding and improvements reimbursed to tenants, if any, but excluding transaction costs) and (2) total additional commitments to reimburs e c ertain tenants and sellers for completion of construction and improvements at the properties. Excludes loans listed in “Secured Loans”. • Total Portfolio: All properties, including CIP and operating portfolio, as of quarter end. • Total Preferred Equity: Calculated by multiplying the total Series A Preferred shares outstanding by the $25 redemption price per share. • Total Senior Capital: Calculated as the sum of Gross Debt and the redemption value of the Series A Preferred Stock. • % Leased: The weighted average percentage of the Operating Portfolio, which excludes CIP, that is leased as of the period ended.
Innovative Industrial Properties 22 Analyst Coverage Analyst Research Firms Contact Information Tom Catherwood BTIG Email: tcatherwood@btig.com Phone: 212 - 738 - 6140 Merrill Ross Compass Point Research and Trading Email: mross@compasspointllc.com Phone: 202 - 534 - 1392 Eric Des Lauriers Craig - Hallum Capital Group LLC Email: eric.deslauriers@craig - hallum.com Phone: 617 - 275 - 5177 Aaron Hecht JMP Securities Email: ahecht@jmpsecurities.com Phone: 415 - 835 - 3963 John Massocca Ladenburg Thalmann Email: jmassocca@ladenburg.com Phone: 212 - 409 - 2543 Alexander Goldfarb Piper Sandler Email: alexander.goldfarb@psc.com Phone: 212 - 466 - 7937 Scott Fortune Roth Capital Partners Email: sfortune@roth.com Phone: 949 - 720 - 7163 Investor Relations Email: ir@iipreit.com Phone: 858 - 997 - 3332
Innovative Industrial Properties 23 Senior Management Team and Board of Directors Senior Management Name Title Alan Gold Executive Chairman Paul Smithers President, Chief Executive Officer and Director David Smith Chief Financial Officer and Treasurer Catherine Hastings Chief Operating Officer Ben Regin Chief Investment Officer Brian Wolfe Vice President, General Counsel and Secretary Andy Bui Vice President, Chief Accounting Officer Tracie Hager Vice President, Asset Management Kelly Spicher Vice President, Real Estate Counsel Board of Directors Name Title Alan Gold Executive Chairman Paul Smithers President, Chief Executive Officer and Director Gary Kreitzer Vice Chairman (Independent) David Stecher Director (Independent) Scott Shoemaker, MD Director (Independent) Mary Allis Curran Director (Independent)