Crop Infrastructure Corp. (OTC:CRXPF / CSE:CROP)
looks poised to grab a massive share of the market.
You’ve probably heard about the outrageous profits investors are making in cannabis stocks.
Some individual stocks have done much better, returning as much as 3,146% (Aurora Cannabis), 3,502% (Canopy Growth), and even 7,429% (Cronos Group).
But investors who bought those and other cannabis stocks have had to endure a hair-raising ride. In January, Cronos stock lost 50% of its value. Aurora lost 43%. And Canopy lost 42%. The NAMI lost 39%, and continued to slide until mid-August of this year, ultimately losing three-quarters of a year worth of gains. Now it’s starting to rise again, up 27% in the last 13 days, as of this writing.
Even with those losses the gains are spectacular, however, many investors don’t have the stomach for that kind of volatility. This is why you’ll be glad to know there’s a better way to reap big profits.First, take a look at why investors are so eager to jump on the cannabis bandwagon.
Learn More About CRXPF at your brokerage today!
There’s another, less risky way to get your share of profits from this exploding new industry
One of the best risk-reduction strategies in any industry is to invest in companies with tangible assets. In the cannabis industry, that means finding companies that supply or service cannabis growers and share in their growth.
The Motley Fool says “The ancillary [cannabis] market could deliver even more impressive growth” than cannabis producers. They’re referring to real estate holding companies specializing in cannabis properties.
Crop Infrastructure Corp. (CSE: CROP, OTC: CRXPF) is organized like a Real Estate Investment Trust (REIT). CROP invests in income-producing property and agricultural equipment to service the growth of the cannabis industry. A novel approach that’s both low risk and high reward for investors – and if you want to know if this structure works, look at the assets CROP/CRXPF controls. They’re a cash-flow machine that’s highly undervalued!
Even Bill Gates is Getting in on Real Estate and Big The Profits
According to a brief story in Agri Investor, Bill Gates has invested $171 million in Washington State agricultural land and while the story didn’t outright pin Gates’ objective to enter the hemp growing arena, its doubtful that its for corn or cabbages…
Right now, there’s a real estate rush for cannabis properties. The Los Angeles Times says that cannabis growers are “willing to pay top-dollar rent,” noting that in some areas, prospective tenants are offering double or even triple the asking prices.
News website Curbed reports that “prices for scarce square footage have already skyrocketed.” The Real Deal, a real estate news website, says that cannabis growers typically pay anywhere from a 25% premium to two or three times higher on real estate.
One such cannabis real estate holding company is Innovative Industrial Properties, Inc (IIPR). The company focuses on licensed medical cannabis growers, acting as a source of capital by acquiring the grower’s real estate and leasing it back to them. By selling the real estate to IIPR and then leasing it back, growers then have the opportunity to redeploy capital into the core operations of their companies.
Since going public in late 2016, IIPR stock has gained a tidy 136%, to $43.23. With a market cap of $282.86 million, that hardly makes the stock a bargain. Which is why you’ll be excited to know there’s a less inflated way to capitalize on this savvy business model.
Crop Infrastructure Corp (OTC:CRXPF / CSE:CROP) fills essential green market need
Crop Infrastructure Corp (OTC:CRXPF / CSE:CROP) is a business that invests in the real estate, branding, and greenhouse infrastructure that producers need. The company owns the land, infrastructure, and equipment which it leases back to producers, creating win-win scenario for both parties. Producers get the land they need without the massive capital outlay required to buy land. And Crop Infrastructure Corp gets the land appreciation and property upgrades, plus a steady cash flow from its leases, management fees, and brand licensing fees.
It’s a solution for a problem that has plagued the industry and prevented its natural growth.
One of the largest producing footprints of anyone in the industry
Crop Infrastructure Corp. (CSE: CROP, OTC: CRXPF) also provides infrastructure development like greenhouse canopies, roads, water, and electricity, giving producers turnkey opportunities. What’s more, it provides cultivation, business management, and marketing expertise, thus freeing up producers to do what they do best – grow. These services are provided for a series of brand licensing, leases, and management fees.
Crop Infrastructure’s portfolio consists so far of interests in over 1,095 acres of outdoor production and 89,000 square feet covered or under construction. An additional 218,400 square feet of light supplemented greenhouse facilities are scheduled. This gives the company one of the largest producing footprints of anyone publicly traded in the business.
Crop Infrastructure Corp (OTC:CRXPF / CSE:CROP): The best way to cash in on the cannabis boom
By focusing on land, infrastructure, Crop Infrastructure Corp has taken out as much investment risk as possible. With their hard assets there is no regulatory risk. And with their management and production fee arrangements, there is plenty of upside for profits.
The company has aggressively built out its greenhouse portfolio. What’s more, the company is positioned to become one of America’s largest MJ real estate holding companies.
Investors looking to profit from the revolution but who want to minimize risk should be advised to take a close look at Crop Infrastructure Corp (OTC:CRXPF / CSE:CROP).