Seattle-based Pacific Century Holdings has launched a $50 million real estate investment fund, PCH Fund 1, an investment vehicle aimed at capitalizing on real estate assets for the cannabis industry.
Pacific Century believes the cannabis industry is poised for significant growth but that it continues to experience a lack of traditional capital due to disparities in federal and state law. As a result, leasing or acquiring property for marijuana operations is complex, limited and hard to obtain.
PCH Fund 1 was established to capitalize on this demand by acquiring, owning and managing specialized agricultural, industrial and retail properties for lease by experienced owners of state-regulated cannabis businesses.
PCH Fund 1 provides investors a unique, geographically diversified portfolio of high-value commercial real estate assets. In addition to their value for legalized cannabis businesses based on a current limited supply, properties will be selected based on their potential for strong performance as traditional commercial real estate assets. This will ensure their value continues as the cannabis market matures and the availability of real estate more closely matches industry demand.