Industrial actual property group warns of the odor of hashish

In a report by National Association of BrokersIt found that storage, retail and commercial property options for medical cannabis tenants and for adults have increased significantly.

Landlords are now receiving offers from cannabis establishments, and not all of them are interested in allowing cannabis sales or growth on their property.

Although the demand for storefronts has increased 23 percent and 25 percent of commercial real estate agents have seen demand for land from cannabis companies spike, the organization identified cannabis smell as the main complaint landlords deal with after renting to cannabis companies.

One of the biggest worries for many property owners is the fact that most of the market is going on an all cash basis. This is due to the fact that cannabis continues to be illegal at the federal level. As a result, most national banks are unwilling to provide loans or other banking services to the cannabis industry, even though a law has just been passed that allows better access to banking.

Working on a cash relationship isn’t the biggest complaint, however. You may be surprised to learn: “[it’s] the smell. You can’t get rid of it, ”said Jessica Lautz, vice president of behavioral information for the National Association of Realtors. said WTOP News. “And moisture. If you are growing or using this property on this property, these will be the two biggest problems. “

Even when cannabis is not consumed on a property, many landlords prefer not to work with it entirely. The main reason is that they will likely have to re-rent this property, and not everyone is interested in a warehouse or shop front smelling like San Francisco’s Hippie Hill on April 20th.

Fortunately, some cannabis companies are starting to simply buy land or retail stores instead of renting them. This is of course much more expensive (initially) and requires an entrepreneur to have a large amount of capital.

Residential landlords are concerned about cannabis in addition to legalization. It is not typical for residential property landlords that cannabis can be smoked directly inside. However, as you can imagine, not all tenants who use cannabis follow this rule.

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