NewLake Capital Partners Enters into a Revolving Credit Facility

Rhea-AI Summary

NewLake Capital Partners (OTCQX: NLCP) announced the establishment of a five-year revolving credit facility, initially committing $30 million with potential expansion to $100 million. The facility features a fixed interest rate of 5.65% for the first three years, transitioning to a floating rate thereafter. This move aims to enhance capital accessibility for investing in the cannabis sector, according to President Anthony Coniglio. NewLake focuses on providing real estate capital through sale-leaseback transactions and currently manages a portfolio of 28 cultivation facilities and dispensaries.

Positive

• Establishment of a $30 million revolving credit facility, expandable to $100 million.
• Fixed interest rate of 5.65% for the first three years offers stable financing.
• Access to additional capital supports NewLake's investment strategy in the cannabis industry.

Negative

• None.

NEW CANAAN, Conn., May 09, 2022 (GLOBE NEWSWIRE) -- NewLake Capital Partners, Inc. (OTCQX: NLCP) (the “Company” or “NewLake”), a leading provider of real estate capital to state-licensed cannabis operators, today announced that it has entered into a five-year revolving credit facility (“Credit Facility”) with a $30 million initial commitment. The Credit Facility contemplates an expansion to $100 million as additional lenders are added. The Credit Facility has a fixed interest rate of 5.65% for the first three years and a floating rate thereafter.

“We are pleased to announce NewLake’s inaugural credit facility,” said Anthony Coniglio, President and Chief Investment Officer. “Access to this additional capital will allow us to continue our disciplined approach to investing in high-quality assets in the growing cannabis industry and the revolving nature of this facility will help us to efficiently manage our capital usage.”

About NewLake Capital Partners, Inc.
NewLake Capital Partners, Inc. is an internally-managed real estate investment trust that provides real estate capital to state-licensed cannabis operators through sale-leaseback transactions and third-party purchases and funding for build-to-suit projects. NewLake owns a portfolio of 28 cultivation facilities and dispensaries that are leased to single tenants on a triple-net basis, and has provided one loan collateralized by a cultivation facility structured to convert to a sale-leaseback unless specific provisions are met by July 29, 2022. For more information, please visit www.newlake.com.

Forward-Looking Statements
This press release contains “forward-looking statements.” Forward-looking statements can be identified by words like “may,” “will,” “likely,” “should,” “expect,” “anticipate,” “future,” “plan,” “believe,” “intend,” “goal,” “project,” “continue” and similar expressions. Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on our current beliefs and expectations. Forward-looking statements, including statements regarding the timing of settlement and the use of proceeds of the initial public offering, are based on the Company’s current expectations and assumptions regarding capital market conditions, the Company’s business, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of our control. Our actual results may differ materially from those indicated in the forward-looking statements. Therefore, you should not rely on any of these forward looking statements. Important factors that could cause our actual results and financial condition to differ materially from those indicated in the forward-looking statements include, among others, changes in the condition of the U.S. economy and, in particular, the U.S. real estate market.
  
Contact Information:
Anthony Coniglio
President and Chief Investment Officer
NewLake Capital Partners, Inc.
aconiglio@newlake.com

Investor Contact:
Valter Pinto, Managing Director
KCSA Strategic Communications
Valter@KCSA.com
PH: (212) 896-1254

Media Contact:
McKenna Miller
KCSA Strategic Communications
MMiller@kcsa.com
PH: (212) 896-1254 

FAQ

What is the significance of NewLake Capital Partners' new credit facility announced on May 9, 2022?

NewLake's new credit facility, with an initial commitment of $30 million, expands to $100 million, supporting its investments in the cannabis industry.

What are the terms of NewLake Capital Partners' credit facility?

The credit facility has a fixed interest rate of 5.65% for the first three years and a floating rate thereafter.

How will the new credit facility impact NLCP's business operations?

The credit facility allows NLCP to enhance its capital access, enabling disciplined investments in high-quality cannabis assets.