One benefit of REITs for everyday investors is that they provide the opportunity to own a portion of real estate which generates dividend-based income.
A real estate investment trust (REIT) is a company owning and typically operating real estate which generates income. Most REITs specialize in a specific real estate sector, focusing their time, energy, and funding on that particular segment of the entire real estate horizon.
REITs use money to buy and manage real estate
Rental income generated
and asset value growth
80% of profits
Most often, a company needs capital to grow. Companies acquire capital by either debt or equity financing or both. Debt must be paid back and goes on the company balance sheet as a debt. Equity does not need to be paid back, but it comes at the cost of ownership. A leaseback allows this to happen.
A leaseback is an agreement where an asset's seller leases back the asset from the purchaser. The seller of the asset becomes the lessee and the purchaser becomes the lessor.
Structured NNN Market Lease Transaction
Sale Transaction – 3rd
The majority of existing cannabis companies are constrained for economic capital to finance their acquisition or expansion due to limited capital participation from banks and institutions. RealCanna REIT sale-lease back model can effectively help these operators access their capital tied to real estate, in the process achieving above average industry returns.
For successful cannabis focused operators, our goal is to be equity partners that can help them grow. Much like how not every facility is right for purchase, not every operator is the right fit for a successful sale-leaseback. Today’s market requires visionaries that are on the right path.
RealCanna Investment Trust will acquire industrial properties from licensed cannabis producers and extractors. The asset-backed nature of the investments will allow RealCanna to control its risk exposure. Growers utilizing indoor facilities benefit from higher-quality products being grown due to controlled environment in their industrial properties.