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  "documentTitle": "Innovative Industrial Properties, Inc. (IIPR)",
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  "sourceTypeLabel": "Short seller",
  "presentationDate": "2020-04-09 00:00:00",
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  "notes": "Includes a Grizzly Research logo (bear icon). The table highlights specific property transactions with high returns for sellers.",
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      "text": "We identified at least 18 of a total of 37 transactions were marked up by crazy amounts without proper justification.",
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      "text": "return for seller: >10000%",
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      "text": "Another major reason we see for the mark-ups being highly problematic is that the repurposing value is likely be only a fraction of what IIPR paid for the properties.",
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      "text": "We identified at least 18 of a total of 37 transactions were marked up by crazy amounts without proper justification.",
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      "text": "IIPR massively overpaid for the vast majority of the properties in its portfolio. An analysis of the deed records and conversation with county clerks enabled us to get transparency on the purchase history of each lease.",
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      "text": "The mark ups themselves are very problematic for multiple reasons. All of IIPR's transactions are sale-leaseback agreements. IIPR charges tenants about 14% on the investment, which also means that along with exaggerated purchase prices and improvements comes a high rent.",
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      "text": "A couple of transactions are truly staggering, and one starts to wonder at what point this becomes fraud. We made an effort to analyze the merits of each individual deal, and concluded that out of 37 properties identified, 29 of them had obvious and significant issues.",
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      "text": "Source: Company Filings, Grizzly Research Analysis. Note: Discount refers to adjustments made by Grizzly Research",
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      "text": "3 Outrageous Markups, We See No Economic Basis for Lease Terms",
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