{
  "docId": "019dd923-622c-750b-8b9a-e420e1b0f6d8",
  "docSlug": "5deacbabc940",
  "documentTitle": "Innovative Industrial Properties, Inc. (IIPR)",
  "authorId": "62_Grizzly_Research",
  "authorName": "Grizzly Research",
  "documentKindSlug": "research-note",
  "documentKindLabel": "Research note",
  "sourceTypeSlug": "short_seller",
  "sourceTypeLabel": "Short seller",
  "presentationDate": "2020-04-09 00:00:00",
  "orientation": "portrait",
  "aspectRatio": 0.77272725,
  "pageNumber": 69,
  "pageCount": 78,
  "prevPage": 68,
  "nextPage": 70,
  "slideType": "expose_contradiction",
  "function": "expose_contradiction",
  "density": "dense",
  "nDataPoints": 8,
  "notes": "Includes a visual comparison of satellite imagery to argue minimal property improvements were made.",
  "elementsJson": [
    "paragraph",
    "screenshot"
  ],
  "metadataConfidence": 0.95,
  "imagePath": null,
  "slideHref": "/slides/019dd923-622c-750b-8b9a-e420e1b0f6d8/69",
  "deckHref": "/decks/019dd923-622c-750b-8b9a-e420e1b0f6d8",
  "deckJsonHref": "/decks/019dd923-622c-750b-8b9a-e420e1b0f6d8.json",
  "deckAnchorHref": "/decks/019dd923-622c-750b-8b9a-e420e1b0f6d8#slide-69",
  "components": [
    {
      "bbox": null,
      "kind": "callout",
      "text": "We belive the previous purchase price of $297,712 reflect a more accurate price at the time of the purchase.",
      "attrs": null,
      "subkind": null,
      "toolName": "Visual emphasis",
      "toolSlug": "visual-emphasis",
      "confidence": null,
      "componentId": "019dd953-70f8-7007-94cf-27459ef83f86",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.22,
        "w": 0.78,
        "x": 0.11,
        "y": 0.27
      },
      "kind": "image",
      "text": "Google earth photos comparison",
      "attrs": null,
      "subkind": "screenshot",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "7f3cb816-0fa7-4487-b44d-5ced1d5fc30e",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": null,
      "kind": "metric",
      "text": "yield: 17.24%",
      "attrs": null,
      "subkind": "primary",
      "toolName": "Quantification",
      "toolSlug": "quantification",
      "confidence": null,
      "componentId": "019dd953-70f8-7007-94cf-298a5eef2358",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.12,
        "w": 0.8,
        "x": 0.11,
        "y": 0.56
      },
      "kind": "paragraph",
      "text": "Discount Treatment: Under the good case scenario, we believe the previous purchase price of $297,712 better reflects the accurate price of property at the time of IIPR purchase. This would imply a 50% discount on 2020 rent. Under the bad case, Vireo is likely going to default with its cash burn rate of 4.3 months. We allocate a 65% discount to 2020 revenue.",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "08128370-456e-4f9e-8c9e-c99b0baa74ac",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.03,
        "w": 0.6,
        "x": 0.11,
        "y": 0.09
      },
      "kind": "paragraph",
      "text": "Initial Terms: We estimate 2020 rent to be $1.1M, representing a 17.24% yield.",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "2482c4af-20a7-4d44-b047-033c45e73ad9",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.12,
        "w": 0.8,
        "x": 0.11,
        "y": 0.71
      },
      "kind": "paragraph",
      "text": "Saxton PA Green Leaf Medical Core Issue: None Transaction details: IIPR purchased a property in Saxton PA, comprising of two buildings totaling 266,000 sq. ft. of industrial space on 05/20/2019 for $13M.",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "739804a3-ac05-4f82-823a-adf474e20b1b",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.08,
        "w": 0.8,
        "x": 0.11,
        "y": 0.15
      },
      "kind": "paragraph",
      "text": "Independent due diligence: According to deed records, the property was purchased by IIPR on 10/20/2017 for $3.4M from Vireo Health Of New York LLC. The property was previously purchased from Fulton County Industrial on 03/25/2016 for $297,712.",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "c43de298-f6d9-4956-8f20-0d633809bfc3",
      "frameworkName": null,
      "frameworkSlug": null
    }
  ],
  "metrics": [],
  "tools": [],
  "frameworks": [],
  "arcBeats": [
    {
      "to": 78,
      "from": 3,
      "beatId": "bab01f6b-4130-47f1-be2b-a62774d99415",
      "arcName": "Problem-Agitate-Solution",
      "arcSlug": "problem-agitate-solution",
      "beatName": "Expose Contradiction",
      "beatSlug": null,
      "evidence": "The majority of the report is dedicated to exposing contradictions and discrepancies in IIPR's property valuations.",
      "position": 1,
      "confidence": 0.8,
      "parentBeatName": null,
      "parentBeatSlug": null
    },
    {
      "to": 77,
      "from": 7,
      "beatId": "9faf1260-f24f-4457-8a68-844894ceb239",
      "arcName": "Problem-Agitate-Solution",
      "arcSlug": "problem-agitate-solution",
      "beatName": "Before and After",
      "beatSlug": null,
      "evidence": "The report includes before-and-after comparisons of property valuations and Google data.",
      "position": 2,
      "confidence": 0.8,
      "parentBeatName": null,
      "parentBeatSlug": null
    },
    {
      "to": 76,
      "from": 8,
      "beatId": "8c335dfa-733a-4782-b210-c6452b066749",
      "arcName": "Problem-Agitate-Solution",
      "arcSlug": "problem-agitate-solution",
      "beatName": "Villain Critique",
      "beatSlug": null,
      "evidence": "The report critiques IIPR's actions and the actions of other companies involved in the transactions.",
      "position": 3,
      "confidence": 0.8,
      "parentBeatName": null,
      "parentBeatSlug": null
    },
    {
      "to": 75,
      "from": 16,
      "beatId": "b488a742-a99d-4d2b-a053-444ad0d95a7b",
      "arcName": "Problem-Agitate-Solution",
      "arcSlug": "problem-agitate-solution",
      "beatName": "Appendix Data",
      "beatSlug": null,
      "evidence": "The report includes detailed data and appendices to support its findings.",
      "position": 4,
      "confidence": 0.8,
      "parentBeatName": null,
      "parentBeatSlug": null
    }
  ],
  "loops": [],
  "imagePathAlt": null,
  "thumbSrc": null,
  "thumbSrcAlt": null,
  "locked": true
}