SAN DIEGO--(BUSINESS WIRE)--
Innovative Industrial Properties, Inc. (the "Company") (NYSE: IIPR)
announced today that its operating partnership subsidiary, IIP Operating
Partnership, LP (the "Operating Partnership"), has commenced a private
placement, subject to market conditions, of $100 million aggregate
principal amount of Exchangeable Senior Notes due 2024 (the "Notes").
The Operating Partnership plans to grant the initial purchasers a 30-day
option to purchase up to an additional $15 million aggregate principal
amount of the Notes to cover over-allotments, if any. The Notes will be
senior unsecured obligations of the Operating Partnership, will be fully
and unconditionally guaranteed by the Company and the Operating
Partnership's subsidiaries and will be exchangeable for cash, shares of
the Company's common stock, or a combination of cash and shares of the
Company's common stock, at the Operating Partnership's option. The
interest rate, exchange rate and other financial terms of the Notes are
to be determined by negotiations between the Operating Partnership and
the initial purchasers of the Notes.
The Operating Partnership intends to use the net proceeds from this
private offering to invest in specialized industrial real estate assets
that support the regulated cannabis cultivation and processing industry
that are consistent with its investment strategy, and for general
corporate purposes.
The Notes will be offered only to qualified institutional buyers (as
defined under the Securities Act of 1933, as amended (the "Securities
Act")) in reliance on Rule 144A under the Securities Act. The Notes, the
guarantees and the common stock issuable upon exchange of the Notes have
not been registered under the Securities Act or any state securities
laws and may not be offered or sold in the United States absent
registration or an applicable exemption from registration requirements.
This release shall not constitute an offer to sell or the solicitation
of an offer to buy the Notes, the guarantees or the common stock
issuable upon exchange of the Notes, nor shall it constitute an offer,
solicitation or sale in any jurisdiction in which such offer,
solicitation or sale is unlawful.
Forward-Looking Statements
This press release contains statements that the Company believes to
be "forward-looking statements" within the meaning of the safe harbor
provisions of the Private Securities Litigation Reform Act of 1995. All
statements other than historical facts, including, without limitation,
statements regarding the offering and the use of proceeds from the
offering, are forward-looking statements. When used in this press
release, words such as we "expect," "intend," "plan," "estimate,"
"anticipate," "believe" or "should" or the negative thereof or similar
terminology are generally intended to identify forward-looking
statements. Such forward-looking statements are subject to risks and
uncertainties that could cause actual results to differ materially from
those expressed in, or implied by, such statements.Investors
should not place undue reliance upon forward-looking statements. The
Company disclaims any obligation to update or revise any forward-looking
statements, whether as a result of new information, future events or
otherwise.

View source version on businesswire.com: https://www.businesswire.com/news/home/20190213005813/en/
Catherine Hastings
Chief Financial Officer, Chief Accounting
Officer and Treasurer
Innovative Industrial Properties, Inc.
(858)
997-3332
Source: Innovative Industrial Properties, Inc.