INNOVATIVE INDUSTRIAL ALERT: Bragar Eagel & Squire, P.C. Announces that a Class Action Lawsuit Has Been Filed Against Innovative Industrial Properties, Inc. and Encourages Investors to Contact the Firm

INNOVATIVE INDUSTRIAL ALERT: Bragar Eagel & Squire, P.C. Announces that a Class Action Lawsuit Has Been Filed Against Innovative Industrial Properties, Inc. and Encourages Investors to Contact the Firm
CANNANNEW REPORT

NEW YORK–(BUSINESS WIRE)–#Action–Bragar Eagel & Squire, P.C., a nationally recognized stockholder rights law firm, announces that a class action lawsuit has been filed against Innovative Industrial Properties, Inc. (“Innovative Industrial” or the “Company”) (NYSE: IIPR) in the United States District Court for the District of New Jersey on behalf of all persons and entities who purchased or otherwise acquired Innovative Industrial securities between May 7, 2020 and April 13, 2022, both dates inclusive (the “Class Period”). Investors have until June 24, 2022 to apply to the Court to be appointed as lead plaintiff in the lawsuit. Click here to participate in the action. On April 14, 2022, market researcher Blue Orca Capital released a report describing the Company as “a marijuana bank masquerading as a REIT. IIPR’s model is to conduct sale-leaseback transactions with cannabis producers who are otherwise prohibited from borrowing money because of federal regulations.” The report further noted that “[u]nlike with other REITs, IIPR cannot expect to recover the lost income from defaulting tenants because it appears that the actual value of its properties are substantially below their carrying value on the IIPR’s balance sheet.” On this news, the Company’s share price fell $13.76 per share, or 7.5%, to close at $169.68 per share on April 14, 2022. According to the complaint, during the class period, defendants touted its rigorous underwriting standards and extensive experience in the cannabis industry. They also stated that the Company’s organization and operations qualify it to be taxed as a REIT for U.S. federal income tax purposes. Notwithstanding, defendants failed to disclose that the value of the Company’s properties are significantly lower than represented and that the Company’s focus is to be a cannabis company lender rather than a REIT. Further, Innovative Industrial Properties’ top customers may not be able to continue…

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Source : INNOVATIVE INDUSTRIAL ALERT: Bragar Eagel & Squire, P.C. Announces that a Class Action Lawsuit Has Been Filed Against Innovative Industrial Properties, Inc. and Encourages Investors to Contact the Firm

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