- The growing perception is that cannabis companies investing in real estate raise the value of the area in which they invest
- A 2020 study conducted in states where medicinal and recreational cannabis is legal found that 35-36% of respondents saw an increase in demand for warehouses, 23% for storefronts, and up to 28% for land
- The global legal cannabis market was valued at $17.8 billion in 2021 and is expected to reach $134.4 billion by 2030
- REZYFi is leveraging its corporate strengths through two wholly-owned subsidiaries – REZYFi Lending and ResMac Inc. – offering a diversified approach to cannabis and real estate financing that traditional banks are reticent to offer
Cannabis and real estate have a unique relationship. The growing perception on the market is that cannabis companies investing in real estate raise the value of the area they invest in. Three strong arguments support the perception – abandoned buildings are gaining new life when rehabilitated by cannabis businesses, entrepreneurs are investing in the cannabis market as an asset that does not depreciate over time, and new jobs are increasing residential home sales. In a 2020 study conducted in states where cannabis for medicinal and recreational purposes is legal, 35 to 36% of respondents noted an increase in demand for warehouses, 23% for storefronts, and up to 28% for land (https://ibn.fm/IbY2Q).
At the forefront of cannabis and real estate is REZYFi, a growth mortgage origination and specialized financing company in the United States. REZYFi originates, structures, and invests in first mortgage loans and alternative structured financing secured by commercial real estate properties. The company’s target market includes licensed and permitted cannabis companies, owners of real estate who lease to cannabis companies, and companies and individual homeowners seeking a variety of real estate-related first and additional mortgage-based financing.
The global legal cannabis market was valued at $17.8 billion in 2021 and is expected to grow to $134.4 billion by 2030, growing at a CAGR of 25.3%. The market is expected to grow due to the increase in the legalization of cannabis and the acceptance of its use in the medical industry. The FDA has issued several guidelines, and new policies are underway to regulate the use of cannabis – ultimately driving investment in the cannabis industry (https://ibn.fm/V2aoS).
REZYFi operates through two wholly-owned subsidiaries and is positioned as one of the first cannabis mortgage bankers in the United States, an area most traditional banks are hesitant to serve. REZYFi Lending primarily addresses emerging real estate-related financing opportunities, leveraging a wide network to offer options such as 15- and 30-year fixed-rate loans, FHA loans, VA loans, reverse mortgages, jumbo loans, and adjustable-rate mortgages. ResMac Inc. has been operating for 13 years and is the company’s traditional mortgage origination, correspondent, and servicing operation. REZYFi expects to accumulate $285 million in retail origination in 2023, alongside $250 million in wholesale origination during the same period.
REZYFi is using a diversified approach to the real estate lending sector to capitalize on growth in multiple verticals in the years to come. The company’s experience, network of independent brokers, and proprietary technology allow it to leverage the industry and offer a wide range of real estate and financing options that were not readily available. As of December 2022, the company is licensed in 36 states and plans on expanding to all states in the future.
For more information, visit the company’s website at www.REZYFi.com.
NOTE TO INVESTORS: The latest news and updates relating to REZYFi are available in the company’s newsroom at https://ibn.fm/REZY
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