Weed Votes Are Already Boosting Warehouse Rents
Investors are betting legal weed is going to be a boon for industrial spaces.
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It took Chris Abbott six stressful months to find a new space for his growing company. The 10,000-square-foot warehouse on the outskirts of Portland, Ore., was once used to store industrial-strength compressors. Now the gritty space, its cinder walls repainted white, resembles a cross between a high-end laboratory and an industrial bakery. It's the home of Botanica, Abbott's edible marijuana company.
The new lease, which will let Botanica expand its business from nearby Washington into the Beaver state, didn’t come cheap. In the Portland area, most companies can rent industrial space for about $5 a square foot annually. Cannabis companies, however, pay a premium ranging from $12 to $18 a square foot.