9800 sq-ft Industrial Bulding in approved cannabis zone. Reassignable CUP application. Short startup time.
See brochure for details.
We understand that in JAN2018 a new California law went into effect and we understand that it is now legal under that law to produce, sell, and generally use cannabis products. We further understand that other new California laws introduce a strict regulatory scheme for the production, testing, distribution, and sale of cannabis based products.
Within this time frame the City Of Lake Elsinore (COLE) passed a cannabis ordinance and accepted cannabis Conditional Use Permit (CUP) applications up through approximately 15APR2018. Most types of cannabis business are acceptable to the COLE; as an example microbusinesses, test labs, product manufacturers, distributors, and dispensaries. A major limitation is no standalone dispensaries are allowed. In APR2018 we selected an applicant to lease our property who represented himself as a medical cannabis processor (type-6/7). Our applicant submitted a brief CUP application and paid his application fee of approximately $21,000. Due to a series of unexpected events in DEC2018 our applicant abandoned his CUP application and his lease obligation. We subsequently met with a chief COLE official and we were told the following:
A. The CUP application filed for our property address is still active and is now technically “owned” (“runs with land” ) by the property owner (CMLLC), not the previous applicant.
B. The previously filed CUP application can be reassigned to a new lessee-partner-investor of our choosing if that assignee operated a business on our property.
C. We can lease to anyone interested in establishing a legal cannabis business, not just another previously approved COLE CUP applicant.
D. There is no fixed time limit for resubmission of a revised CUP application on behalf of a new applicant. Nevertheless, CMLLC desires to get this done quickly.
E. If a new applicant is responsive to the COLE’s CUP application requirements then the COLE would likely approve a new CUP application within ~90 days.
In summary, our property comes with a pre-filed cannabis CUP application ready to be assumed by and tailored for a new lessee-partner-investor.
a. We are not offering to sell the property or any portion of interest therein at this time.
b. We are not offering to sell the CUP application at this time (we can’t; it “runs with land”).
c. We will consider making the property available for lease to any well qualified cannabis business operator.
d. We still favor medically oriented cannabis business operations, however, we are willing to discuss all offers, all uses.
e. We are primarily open to expressions of interest in operating a business on our property that utilizes the CUP application that is tied to our property. A business use that delays CUP activation for a limited time might be acceptable.
f. We are open to evaluating simple-lease offers, JV offers, and investment offers.
g. On behalf of our previous applicant in OCT2018 we assisted with a >95% rewrite of our applicant’s CUP application (now 107 pages). We are offering our services to get a new CUP application completed quickly.
h. We will likely open the property up to a limited competition of “well funded entities” based on a “best value” criteria.
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If you are interested in more information, then please respond via the email address provided on page 1 of this brochure.
Thank you for your consideration.