Top Cannabis REITs to Watch This Week – October 2025
The cannabis real estate sector is drawing renewed attention this week. Amid volatility in broader markets, top cannabis REITs stand out as vehicles to access cannabis industry upside without touching the plant. Moreover, the U.S. cannabis industry is showing robust fundamentals. In 2024, legal sales reached about $30.1 billion, growing roughly 4.5% year over year. Analysts expect the U.S. cannabis market to reach $76 billion by 2030, with a projected annual growth rate near 11%. Meanwhile, regulatory momentum is building as lawmakers continue pushing for federal reform. These developments could open banking access and reduce financing barriers for cannabis operators. Such shifts promise strong catalysts for REITs focused on cannabis properties, lending, and real estate expansion.
At the same time, technical analysis and risk management are crucial in this fast-moving sector. Investors often rely on support and resistance levels, trendlines, and moving averages to spot potential entries and exits. Since volatility can be high, using tight stop losses and proper position sizing is essential. Limiting exposure to 2–5% per REIT helps protect capital. Furthermore, diversifying across multiple REIT types—leasing, hybrid, and mortgage—can reduce concentration risk. As a result, a disciplined approach combining chart analysis and sound portfolio management helps investors navigate this evolving market confidently.
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Best Marijuana Stocks for Passive Income: Cannabis REITs to Watch Now
- Innovative Industrial Properties, Inc. (NYSE: IIPR)
- NewLake Capital Partners, Inc. (OTC: NLCP)
- Chicago Atlantic Real Estate Finance, Inc. (NASDAQ: REFI)
Innovative Industrial Properties, Inc. (IIPR)
Innovative Industrial Properties (IIPR) remains the largest publicly traded cannabis real estate investment trust in the United States. As of mid-2025, the company owns more than 100 properties across 19 states, including large footprints in Pennsylvania, California, and Illinois. IIPR specializes in long-term triple-net leases with state-licensed cultivators and processors. Although it does not operate dispensaries, the REIT provides essential infrastructure for major multi-state operators, giving it indirect exposure to expanding retail markets. The company’s portfolio consists primarily of industrial cultivation and processing sites, enabling steady income through fixed contractual rents. Because of its scale and tenant diversification, IIPR continues to be the benchmark for cannabis-focused REITs. It also serves as a leading indicator for the sector’s real estate health and capital flow trends.
Latest Financials
In recent quarters, IIPR maintained steady rental income despite industry headwinds and tenant payment issues. The company’s balance sheet remains conservative, featuring low leverage and substantial liquidity reserves. Funds from operations (FFO) showed resilience, though some softness appeared due to tenant delinquencies. Management continues to renegotiate leases and re-tenant properties as needed, which has helped stabilize revenue. IIPR’s dividend yield remains attractive, offering investors income even amid volatility. Its net debt-to-EBITDA ratio remains among the lowest in the REIT industry, reflecting prudent financial management. Although near-term risk exists from smaller operators’ cash flow issues, the REIT’s diversified tenant base and long-term leases provide a strong foundation. Consequently, IIPR continues to be the top choice for investors seeking exposure to cannabis real estate with scale, liquidity, and consistent dividend performance.
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NewLake Capital Partners, Inc. (NLCP)
NewLake Capital Partners (NLCP) combines industrial and retail cannabis real estate holdings across the United States. By 2025, the company will own more than 30 properties in 12 states, including key exposure in Pennsylvania, Ohio, and Massachusetts. NLCP uses a sale-leaseback model, acquiring cultivation, processing, and retail properties from licensed operators and leasing them back under long-term triple-net agreements. This hybrid model gives the REIT balanced exposure to both wholesale and consumer-facing parts of the cannabis industry. NLCP’s properties include dispensaries and production facilities leased to established multi-state operators. Through diversification, the REIT mitigates risk from regional regulation or tenant concentration. Moreover, the company maintains a relatively small but high-quality property portfolio designed to generate stable, inflation-protected income over time.
Latest Financials
During 2025, NLCP reported revenue growth as new leases came online and occupancy rates remained near 100%. The company recorded total quarterly revenue of approximately $12.9 million, representing steady year-over-year improvement. Net income reached about $7 million, supported by efficient expense control and solid tenant performance. Funds from operations (FFO) and adjusted FFO (AFFO) both grew modestly, indicating continued earnings stability. The REIT declared a quarterly dividend of $0.43 per share, representing a payout ratio of roughly 79%. With low leverage and a strong cash position, NLCP retains the flexibility to pursue new acquisitions or expand existing leases. Management’s disciplined underwriting and conservative financing strategy have allowed consistent rent collection, even as parts of the cannabis sector face financial stress. Consequently, NLCP remains one of the most balanced and reliable REITs within the cannabis space, appealing to income investors seeking sustainable dividend growth.
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Chicago Atlantic Real Estate Finance, Inc. (REFI)
Chicago Atlantic Real Estate Finance (REFI) represents a unique approach within the cannabis REIT space. Instead of owning real estate directly, REFI provides structured debt and commercial mortgage loans to cannabis operators. The company finances acquisition, expansion, and property improvement projects across multiple states, including Maryland, Illinois, and Missouri. REFI’s focus on secured credit allows it to generate strong yields while minimizing exposure to tenant operational risks. As a result, the REIT acts as a financial bridge between traditional lenders—who often avoid the cannabis sector—and licensed operators needing capital. Its loan book spans cultivation, processing, and distribution facilities, providing diversified exposure to the broader cannabis ecosystem. Because of this specialized niche, REFI has become a vital financing partner within an industry still limited by federal banking restrictions.
Latest Financials
In early 2025, REFI managed loan principal balances exceeding $400 million, with an average yield near 17%. The company reported quarterly net interest income of around $13 million and net income of approximately $10 million. Its debt-to-equity ratio remained below 30%, reflecting cautious leverage management. The REIT declared a quarterly dividend of $0.47 per share, maintaining an attractive yield for investors seeking income. Moreover, non-performing loans represented less than 1% of total assets, underscoring the strength of REFI’s underwriting standards. The firm’s portfolio continues to expand as demand for cannabis financing grows nationwide. Strong liquidity, disciplined credit monitoring, and conservative loan-to-value ratios help the company weather potential market downturns. Overall, REFI provides a unique and steady income stream for investors seeking exposure to the cannabis industry through a lending-based structure.
Final Thoughts
These three REITs—IIPR, NLCP, and REFI—highlight how cannabis-focused real estate continues to mature even amid regulatory uncertainty. Each company offers different risk profiles and income opportunities. By combining chart-based timing with strict risk management, investors can participate in the sector’s long-term growth while protecting capital.
MAPH Enterprises, LLC | (305) 414-0128 | 1501 Venera Ave, Coral Gables, FL 33146 | new@marijuanastocks.com
