Innovative Industrial Properties, Inc. (IIPR) Subject Of Investigation
Innovative Industrial Properties, Inc. (IIPR) is the subject of an investigation by Silver Law Group regarding possible violations of the federal securities laws.
If you purchased shares of Innovative Industrial Properties, Inc. (IIPR), contact Silver Law Group at (800) 975-4345 or at firstname.lastname@example.org.
Innovative Industrial Properties is an internally managed REIT (Real Estate Investment Trust) focused on acquiring, owning, and managing industrial properties leased to cannabis facility operators.
Initial Public Offering (IPO)
Innovative Industrial Properties held its IPO in 2016 with the offering of 3,350,000 shares of common stock at $20 per share. Ladenburg Thalman & Co. and Compass Point Research & Trading LLC were joint book-running managers for the offering with National Securities and Aegis Capital Corp. serving as co-managers.
In March, 2022 the company began a public offering of 1,000,000 shares of common stock. BTIG, LLC was the sole book-running manager for the offering with Piper Sandler & Co., Compass Point Research & Trading, LLC, and Roth Capital Partners acting as co-lead managers.
On April 14, 2022, Blue Orca Capital published a short report on Innovative Industrial Properties calling the company “a marijuana bank masquerading as a REIT. IIPR’s model is to conduct sale-leaseback transactions with cannabis producers who are otherwise prohibited from borrowing money because of federal regulations.”
Blue Orca states that “In the last 18 months, we think IIPR’s loan book appears to have degraded significantly as the sector has become more competitive and IIPR stretched for lower quality tenants in search of continuing growth. IIPR’s largest tenant is a failed SPAC that appears in severe financial distress and was recently sued by investors accusing it of securities fraud and being in effect a Ponzi scheme…Unlike with other REITs, IIPR cannot expect to recover the lost income from defaulting tenants because it appears that the actual values of its properties are substantially below their carrying value on IIPR’s balance sheet.”
The news caused Industrial Properties, Inc. (IIPR) stock to fall significantly during trading on April 15, 2022.
Recover Innovative Industrial Properties, Inc. (IIPR) Investment Losses
Silver Law Group is a nationally-recognized law firm representing victims of securities and investment fraud. We represent investors in class action lawsuits against issuers in federal and state court as well as investors in securities arbitration claims against brokerage firms for stockbroker misconduct.
Scott Silver, Silver Law Group’s managing partner, is the chairman of the Securities and Financial Fraud Group of the American Association of Justice. Contact us for a no-cost consultation at email@example.com or call (800) 975-4345.