YOUR TRUSTED
PARTNER IN
CANNABIS
REAL ESTATE

LET'S CONNECT

what we do

Good seed capital is a cannabis real estate
investment and advisory firm

FOR Cannabis operators

Growth Capital
Middle-market players, even with proven experience, have been widely underserved compared to larger operators

Flexible Structuring
Sale-leasebacks to unlock corporate equity tied up in real estate, term mortgage debt to reduce refinance risk, or rehabilitation debt to finance property build-out

FOR Investors

Non-Correlated Assets
Cannabis has proven to be an inelastic, recession-resilient good, unaffected by stock market volatility

Inflation Hedge
Our investments are structured to mitigate potential persistent inflation by utilizing floating-rate mortgages and annual rent escalators tied to inflation measures 

CANNABIS REAL ESTATE OPPORTUNITY

Capital Markets Dislocation 

The lack of federal regulation has led most institutional capital to avoid the cannabis industry; the result is inefficient and fragmented capital markets that lack liquidity
Mispriced Credit

Mortgage and capitalization rates (traditional measures of real estate investment return) for cannabis-use properties can be ~2x that of non-cannabis industrial and retail properties

Staying Power

Medical cannabis is legal in 37 U.S. states, adult-use in 19 states, while U.S. legal cannabis spending was $24B in 2020 and is on track for $46B by 2026, representing a 14.2% CAGR1
Collateralized Upside

Cannabis real estate offers investors upside exposure to the cannabis industry while maintaining the downside protection of collateralization; e.g. real estate, cannabis license, and operating equipment

GOOD SEED'S EDGE

The Good Seed team combines decades of experience across real estate, legal cannabis, and capital markets to conduct multi-disciplinary due-diligence resulting in superior risk-adjusted returns.

Good Seed is targeting the overlooked middle-market cannabis segment as tenants of our industrial or retail investment properties

Good Seed capitalizes on a traditionally overlooked section of the market, allowing for more advantageous transaction terms, especially to layer corporate equity kickers in to traditional real estate debt or equity structures

DUNCAN MENDELSOHN

Managing Principal

CHUCK
SMITH

Principal

JOSH
HANFLING

Advisor

CASE STUDY:
A CREATIVE CAPITAL SOLUTION

While securing additional warehouse space in San Francisco, California to expand its operations, WOVN, a cannabis distributor and software provider, was introduced to Good Seed as a potential capital provider. During the underwriting process, Good Seed converted the proposed structure from equity to debt, then brought in a partner debt provider, thereby creating a capital structure that met the needs of all transaction participants and resulted in a successful closing and a satisfied cannabis operator.

"It's difficult to find financing as a small business in any industry and ours presents unique challenges. Luckily, we connected with Good Seed and were able to structure a deal that worked for our business's near term needs and future growth." 
- JJ Hanley, CEO / Co-Founder