Power REIT: Jumps on purchase of greenhouse property for cannabis cultivation

Power REIT

15/05/2020 17:08

** The real estate investment trust's shares  PW.A  rise as
much as 16.9% to $18.7 on acquisition of 3 acre property
    ** Co says it is leasing the property located in York
county, Maine to an operator for medical cannabis cultivation
    ** Says the property was purchased for $1 mln through a
newly formed unit, and total investment is about $4.92 mln
    ** Property includes a greenhouse and processing building;
construction to complete in November 2020  urn:newsml:reuters.com:*:nGNX1J12VR
    ** Co to earn an annual rent of about $920,000 and tenant to
bear all operating expenses
    ** Says the straight-line rent translates to incremental FFO
of about $0.48/shr per annum on a run rate basis
    ** Co enters the new market to take advantage of the demand
for medical cannabis in Maine
    ** Stock has doubled so far this year

 (Reporting by Shivani Kumaresan in Bengaluru)