Leading South Florida Commercial Brokerage Launches Full-Service Cannabis Real Estate Division
July 18, 2019 –After closing $50 million of cannabis-related retail and industrial transactions within the last 18 months, and with an additional $15 million more slated to close by the end of 2019, Tower Commercial Real Estate (Tower CRE), a leading full-service commercial real estate brokerage firm in South Florida, has announced the creation of its new cannabis division within its Tenant Representation platform.
Led by Tower CRE’s Senior Managing Director Scott Allen and Senior Director Rob Foster, Tower CRE’s cannabis division tackles every piece of the required cannabis real estate portfolio and successfully navigates through the many barriers to entry faced by the cannabis sector, including a rigorous due-diligence process; in-depth understanding of zoning codes; municipal regulations, restrictions and processes; competitive landscape; market knowledge; legal review; and financing challenges.
Scott Allen and Rob Foster
Although it is being challenged, the State of Florida requires that cannabis companies be vertically integrated. Therefore, a company must be the cultivator, the processor and the point of dispensing. Tower CRE has a proven track record of providing solutions for all of them: retail dispensary operations, industrial distribution centers, and cultivation centers, which includes agricultural land, greenhouse and industrial space. The Tower CRE cannabis division works hand in hand with specialized attorneys and project management teams to move each requirement through its development process.
In the past 18 months, Tower CRE has successfully closed transactions for 35 dispensaries throughout Florida. Among them are eight Liberty Health Sciences dispensaries, 14 Verano Holdings dispensaries, and 13 3 Boys Farms dispensaries. Tower CRE has 12 more dispensaries in process throughout Florida and has established itself as the leading third-party real estate team for the cannabis sector within the state.
“Working with cannabis companies requires a different level of service, attention and an immense amount of time,” stated Foster. “Through experiencing the pitfalls early on in our tenure, we have been able create and implement a process that is efficient and effective. We have a full team that navigates through each requirement from the infancy phase to move-in. The number of transactions we have completed to date has allowed us to hone in on a precise formula to uncover new opportunities, and we have found tremendous success leading rapid expansionary efforts for our clients.”
Allen and Foster believe Florida has one of the best demographic scenarios for these deals, as Florida has one of the fastest-growing medical marijuana programs in the nation. As of May 2, 2019, more than 213,000 people are enrolled, with 10,000-plus signing up every month. Florida also has a large senior population, which is a major focus of license holders. In addition, not only does Florida require a cannabis company to be a complete vertical, but one license will allow them to open dispensaries throughout the state, which is very different than any other state.
“With so many factors on our side, we foresee continued exponential growth and due to our notable successes and upcoming activity, we felt the time was right to officially launch this division,” added Allen.
“Tower CRE continues to make its mark overseeing tenant representation for South Florida’s premier office assets. Our new cannabis division simply allows us to generate awareness that Tower CRE is fully capable of addressing the needs for this niche and rapidly growing industry.”
For more information, please call Scott Allen at (954) 613-1533. For more information on Tower CRE, please visit https://tower-cre.com.
About Tower Commercial Real Estate
Tower Commercial Real Estate (Tower CRE) is a leading privately held, full-service commercial real estate brokerage in South Florida. The firm’s multi-disciplined platform includes commercial landlord and tenant representation for Class A office assets in Central Business Districts and a variety of tier class properties throughout the tri-county region. Tower CRE takes pride in its reputation for providing outstanding client service and measurable results. With five offices in Miami, Fort Lauderdale, Boca Raton and West Palm Beach, Tower CRE’s highly seasoned team each brings extensive industry experience, expertise, market intelligence and resources that keep the firm at the forefront of all market activity, empowering clients with a strategic advantage to make informed real estate decisions. For more information, please call (305) 400-0760 or visit https://tower-cre.com.