Cannabis-Friendly States Get A Boost in Commercial Real Estate

Already there are 33 states and the District of Columbia that have legalized marijuana use in some form. Many of these states, like New Mexico, allow for medical use. According to a recent article, dispensaries in New Mexico have sold more than one hundred twenty million dollars of medical marijuana in 2019. In that time, nearly 90,000  New Mexicans are now certified to buy medical marijuana. While the debate of whether to legalize marijuana – medicinal or recreational – is heated, there is one aspect of this topic that is clear. The demand for the production and sale of medical marijuana is evident, both locally and nationwide. And for cannabis-friendly states, the demand for commercial real estate is on the rise. What does this mean for commercial real estate here in New Mexico? Let’s take a look at a few key points. Increased Demand for Both Commercial and Residential States, where medical and recreational marijuana is legal, have seen increased property demand in both the commercial and residential sectors, according to a new study by the National Association of Realtors. The study also revealed that more than a third of real estate professionals polled said they saw an increase in requests for warehouses and other properties used for storage. In the same states, up to a quarter of members said they saw a spike in demand for storefronts, and one-fifth said there was a greater demand for land. States, where marijuana has been legal the longest, have seen the largest impact on both commercial and residential real estate. Chris Anderson, Senior Advisor for NAI Maestas & Wards Retail Division who recently represented the Seller of a property being sold to a Medical Marijuana company, on the subject: “Properties that are not within a radius of a church or school have a niche that many owners may want to look at either leasing or renting to medical cannabis users as this business is set to boom.” -