Zoned Properties, Inc. (Zoned Properties) operates as a real estate development company for emerging and highly regulated industries, including legalized cannabis.
Zoned Properties has developed a full spectrum of integrated growth services to support its real estate development model; the company's Property Technology, Advisory Services, Commercial Brokerage, and Investment Portfolio collectively cross-pollinate within the model to drive project value associated with complex real estate projec...
Zoned Properties, Inc. (Zoned Properties) operates as a real estate development company for emerging and highly regulated industries, including legalized cannabis.
Zoned Properties has developed a full spectrum of integrated growth services to support its real estate development model; the company's Property Technology, Advisory Services, Commercial Brokerage, and Investment Portfolio collectively cross-pollinate within the model to drive project value associated with complex real estate projects. With national experience and a team of experts devoted to the emerging cannabis industry, Zoned Properties is addressing the specific needs of a modern market in highly regulated industries. Zoned Properties is an accredited member of the Better Business Bureau, the U.S. Green Building Council, and the Forbes Business Council.
The company has developed and expanded into multiple business divisions focused on real estate services and investments focused on the legalized and regulated cannabis industry, including property technology, advisory services, commercial brokerage services, and a property investment portfolio. Each of these operating divisions are important elements of the overall business development strategy for long-term growth.
The core of the company's business involves identifying and developing commercial properties that intend to operate within highly regulated industries, including the legalized cannabis industry. Within highly regulated industries, local municipalities typically develop strict regulations, including zoning and permitting requirements related to commercial real estate, that dictate the specific locations and parameters under which regulated properties can operate. These regulations often include complex permitting processes and can include non-standard codes governing each location; for example, restricting a regulated property or facility from operating within a certain distance of any parks, schools, churches, or residential districts, or restricting a regulated property from operating outside a defined set of hours of operation. When an organization can collaborate with local representatives, a proactive set of rules and regulations can be established and followed to meet the needs of both the regulated operators and the local community.
The company maintains a portfolio of properties that the company owns, develops, and leases. The company leases land and/or building space at all five of the properties in the company's portfolio. These properties are leased to licensed and legalized cannabis tenants and are located in areas with established zoning and permitting procedures. Three of the leased properties are zoned and permitted as licensed and regulated cannabis dispensaries, and two of the leased properties are zoned and permitted as licensed and regulated cannabis cultivation facilities. Each regulated property may undergo a non-standard development process. Various development requirements in this process may include initial property identification, zoning authorization, and permitting guidance in order to qualify a commercial property for subsequent architectural design, utility installation, construction and development, property management, facilities management systems, and security system installation.
While the company's primary focus is on investing in the acquisition of new properties to grow the company's portfolio, the company may occasionally sell an asset when the circumstances and opportunity present a value opportunity for the company. On June 1, 2021, the company closed on the sale of the company's Gilbert, AZ property with a third party (the 'Purchaser'), pursuant to which the company agreed to sell, and the Purchaser agreed to purchase, the property located in Gilbert, Arizona.
The company has established a network of experts in the fields of real estate, design, engineering, construction, operations, security, and corporate social responsibility in order to provide tenants and clients with a full-spectrum of real estate solutions to best meet their needs. The company requires its prospective tenants and clients to go through due diligence in order to meet the company's standards.
The company is the sole member of 15 limited liability companies: Chino Valley, Green Valley, Kingman, Zoned Arizona, Zoned Advisory, ZP Data 1, ZP Data 2, Arizona Brokerage, Mississippi Brokerage, Florida Brokerage, Alabama Brokerage, Missouri Brokerage, ZPRE Holdings, ZP Stone, and ZP Woodward. Five of these entities-Zoned Arizona, Green Valley, Kingman, Chino Valley, and ZP Woodward-have acquired land and/or real property and own the company's properties.
Multiple state-licensed operators from across the United States have approached Zoned Properties for strategic partnership and/or advisory services for development and prospective sale-lease back arrangements. The company is continuously evaluating these projects as the company seeks development partnerships, prospective sale-lease back arrangements, and explore financing terms with capital funding sources.
As it relates to the regulated cannabis industry, the company is strictly a non-plant touching organization. The company is well positioned to benefit from ancillary development opportunities that the regulated cannabis industry presents without having to deal with the risk of directly cultivating, distributing, or dispensing the product, which is still illegal under federal law.
The company's initial real estate services and property acquisition targets have been in Arizona. Recently, the company has expanded real estate services, namely advisory services and brokerage services, across multiple state markets; and the company has acquired properties in Michigan. Both Arizona and Michigan have established state-regulated cannabis programs with robust regulatory frameworks for licensing and operating within their respective regulatory marketplaces (i.e. the business environment in which the company's clients and tenants operate) and have strong consumer demand to support the business operators in their respective state marketplaces (i.e. the consumers that support the company's clients' and tenants' business operations). The company expects to target expansion into new state marketplaces for both its real estate services and its acquisition of properties into its property investment portfolio that have strong growth trends in both regulatory frameworks and consumer demand. These are two of the most important market factors that have influence related to the value of real estate development and property investment potential.
As of December 31, 2022, the Significant Tenants (CJK, Broken Arrow, VSM, and Woodward Tenant) collectively leased approximately 59.8% of the company's total assets.
Clients
The company targets clients who require assistance with the identification and development of regulated cannabis properties.
Marketing
The company uses general industry marketing to communicate its real estate services to industry operators and prospective clients. These include an industry newsletter that the company distributes.
Government Regulation
The company maintains its operations so as to remain in compliance with the Controlled Substance Act of 1970, as amended.
History
The company was founded in 2003. It was incorporated in the state of Nevada in 2003. The company was formerly known as Vanguard Minerals Corporation and changed its name to Zoned Properties, Inc. in 2013.
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