Innovative Industrial Properties (IIPR) Investor Presentation summary

Key financial and operational highlights

• $2.5B total committed/invested capital across 108 properties in 19 states, with $62.9M Q2 2025 revenue and a $7.60 annualized dividend per share as of June 30, 2025.

• Weighted average lease length is 13.1 years, with 9.0M rentable square feet and annual escalations built into leases.

• Portfolio is diversified by geography and tenant, with top 10 states accounting for 89.6% of annualized base rent and 90% of properties classified as industrial.

• Top tenants include PharmaCann, AWH, Green Thumb, and Curaleaf, with 65% of tenants public and 89% multi-state operators.

• Balance sheet remains strong with 11% debt to total gross assets, $192M+ liquidity, and an undrawn $87.5M credit facility.

Business model and strategy

• Focuses on long-term, triple-net leases (15–20 years) with parent company guarantees and no recurring capital expenditures for the landlord.

• Provides sale-leasebacks and funds improvements for cultivation, processing, and retail properties, aligning closely with state-licensed cannabis operators.

• Attractively priced financing maximizes tenant access to capital and supports their growth plans.

• Diligent underwriting and ongoing monitoring of tenants, including financial reviews and operational meetings.

Market and industry trends

• U.S. legal cannabis sales reached $31.4B in 2024, projected to grow to $44B by 2029, a 7% CAGR.

• 79% of Americans live in a county where marijuana is legal for medical or recreational use; 54% live in a state with legal recreational use.

• Cannabis tax revenue totaled $24.7B since 2014, with $4.4B collected in 2024 alone; in some states, cannabis tax revenue exceeds alcohol taxes.

• Increasing institutional adoption, with ~13% of FDIC banks offering services to marijuana-related businesses in 2024.