NewLake Capital Partners, Inc. (OTC: NLCP)

NewLake Capital Partners, Inc., is an internally managed real estate investment trust (REIT) focused on providing real estate capital to state-licensed cannabis operators. The company specializes in sale-leaseback transactions, third-party purchases, and funding for build-to-suit projects, catering to the fast-growing cannabis industry. NewLake was formed on April 9, 2019, under the Maryland General Corporation Law, initially as GreenAcreage Real Estate Corp. before changing its name to NewLake Capital Partners, Inc. The company elected to be taxed as a REIT beginning with its short taxable year ended December 31, 2019, and intends to continue operating in a manner that qualifies it as a REIT.

NewLake generates revenue primarily through long-term, triple-net leases with single tenants. These leases obligate the tenant to be responsible for ongoing property expenses in addition to rent obligations. The company's properties are leased to cannabis operators who cultivate, produce, and/or dispense cannabis. As of December 31, 2025, NewLake owned a geographically diversified portfolio consisting of 34 properties across 12 states, comprising 19 dispensaries and 15 cultivation facilities. The leases include parent or other affiliate guarantees, enhancing the security of rental income.

• Cultivation Facilities: NewLake owns 15 cultivation facilities, which are leased to cannabis operators for the growth and production of cannabis. These facilities are critical to the cannabis supply chain, providing the necessary real estate infrastructure for cultivation. The cultivation segment contributes significantly to the company's rental income, generating $45,670,877 in rental income, which represents 91.8% of the total rental income.

• Dispensaries: The company also owns 19 dispensary properties, which are leased to operators for the retail sale of cannabis products. These dispensaries serve the adult-use and medical cannabis markets, catering to consumers seeking legal cannabis products. The dispensary segment contributes $4,069,077 in rental income, accounting for 8.2% of the total rental income.

NewLake operates in a niche market within the cannabis industry, providing specialized real estate solutions to cannabis operators. The company faces competition from a diverse mix of market participants, including other REITs, independent investors, hedge funds, and cannabis operators themselves. Key competitors may include companies with similar business models, as well as traditional real estate investors and hard money lenders. NewLake's competitive advantages include its focus on limited-license jurisdictions, where properties are integral to the license application process, and its ability to provide flexible transaction terms. The company's portfolio is diversified across tenants, geographic markets, and license types, mitigating risk and enhancing stability.

NewLake's customer base consists of state-licensed cannabis operators who require real estate capital for their cultivation and dispensary operations. These operators benefit from NewLake's sale-leaseback transactions, third-party purchases, and build-to-suit funding, which provide necessary capital for growth and expansion. The company's tenants operate in a highly regulated industry, and NewLake's properties are leased on a long-term basis, ensuring stable rental income and potential for long-term appreciation in value.