Rainbow Realty Group Completes $7.5 ​Million Loan To Michigan Based Cannabis ​Company

NEW YORK, July 02, 2024 (GLOBE NEWSWIRE) -- Rainbow Realty Group IV, LLC ​("Rainbow"), in collaboration with Rainbow Realty Group II, LLC, and MJ Real Estate ​Investment Trust, announced the closing of a senior mortgage secured by a newly ​constructed industrial building in Detroit, Michigan (the "Property").


The 110,670 SF building sits on 5.49 acres and is operating as a licensed cannabis ​cultivation facility to service the recreational and medical markets in Michigan. The ​borrower purchased the land in 2018, secured its cannabis license in 2022, and ​thereafter built a state-of-the-art facility. The borrower also holds interests in several ​retail dispensary licenses across Michigan, where its products are slated for sale.

Ben Bolanos, Rainbow's Chief Operating Officer, expressed enthusiasm about the ​transaction, stating, "We are thrilled to finalize this mortgage transaction secured by ​a cutting-edge industrial facility. Equipped with advanced growing technology and ​equipment, the Property positions the borrower to deliver high-quality cannabis ​products at competitive costs.”


The announcement comes as Michigan's cannabis market recently surpassed ​California to become the largest in the United States by sales volume as of June 2024. ​This transaction marks Rainbow’s third investment in Michigan, reflecting the firm's ​strong confidence in the state's robust cannabis market.


Rainbow continues to expand its footprint in strategic markets across the U.S., ​leveraging its expertise in real estate financing and investment to capitalize on ​emerging opportunities in the cannabis sector.


About Rainbow Realty Group

Rainbow Realty Group and its affiliates have deployed $160 million in real estate ​backed transactions in the United States. Rainbow offers sale-leaseback and ​mortgage financing solutions for the U.S. cannabis industry. Rainbow’s portfolio ​consists of 58 properties across 10 states. Rainbow's parent company, Gould ​Investors L.P., has successfully invested in the real estate industry for 63 years. Gould ​is a significant shareholder of BRT Apartments and One Liberty Properties. For ​additional information, please visit https://rainbowrg.com/.


About MJ REIT

MJ REIT is a hybrid real estate investment trust that seeks to provide investors with ​stability and above-market returns derived mainly through monthly income. Rainbow ​Realty Group is the sub advisor for MJ REIT. The Fund has a thematic emphasis on ​state-legal cannabis markets, focusing on industrial and retail commercial real ​estate. For more information, please visit https://mj-reit.com/.


Press contacts:

Jack Levy

jack@rainbowrg.com


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