Important Information for Investors: Securities Class Action Lawsuit against Innovative Industrial Properties, Inc.
New York, NY and New Orleans, LA – Kahn Swick & Foti, LLC (KSF) and its partner, former Attorney General of Louisiana, Charles C. Foti, Jr., remind investors that they have until March 18, 2025 to file lead plaintiff applications in a securities class action lawsuit against Innovative Industrial Properties, Inc. (IIPR), if they purchased the Company’s securities between February 27, 2024 and December 19, 2024, inclusive (the “Class Period”).
Background on Innovative Industrial Properties, Inc.
Innovative Industrial Properties, Inc. is a real estate company that specializes in the acquisition, ownership, and management of properties leased to experienced, state-licensed medical-use cannabis operators. The Company has elected to be taxed as a real estate investment trust (REIT) for federal income tax purposes.
Allegations in the Securities Class Action Lawsuit
The complaint alleges that during the Class Period, the defendants made false and/or misleading statements and/or failed to disclose that:
- Defendants failed to disclose that certain of IIPR’s tenants were experiencing operational challenges that could impact their ability to pay rent, including regulatory compliance issues, competition, and supply chain disruptions;
- Defendants failed to disclose that these operational challenges could negatively impact IIPR’s financial results;
- Defendants failed to disclose that IIPR’s revenue growth was primarily driven by the acquisition of new properties, rather than organic growth;
- Defendants failed to disclose that IIPR’s occupancy rate was declining;
- Defendants failed to disclose that IIPR’s capital expenditures were increasing;
Impact on Individual Investors
If you purchased IIPR securities during the Class Period and suffered a loss, you may be eligible to recover your loss through the securities class action lawsuit. You may also be able to seek an award for damages caused by the defendants’ wrongful acts.
Impact on the World
The securities class action lawsuit against Innovative Industrial Properties, Inc. is significant because it highlights the importance of transparency and accurate disclosures in the cannabis industry. As more states legalize marijuana for medical and recreational use, the industry is attracting increasing attention from investors. However, the industry also faces unique challenges, including regulatory compliance issues, competition, and supply chain disruptions. Investors must be diligent in their research and demand full and accurate disclosures from companies in the industry.
Conclusion
If you purchased Innovative Industrial Properties, Inc. securities during the Class Period and suffered a loss, you have until March 18, 2025 to file a lead plaintiff application in the securities class action lawsuit. The lawsuit alleges that the defendants made false and/or misleading statements and/or failed to disclose important information about the Company’s financial condition and operational challenges. If you believe you may be eligible to recover your loss, you should contact KSF to discuss your legal options.
The securities class action lawsuit against Innovative Industrial Properties, Inc. is a reminder of the importance of transparency and accurate disclosures in the cannabis industry. As more states legalize marijuana and the industry attracts increasing attention from investors, it is essential that companies provide full and accurate information to investors to ensure a level playing field.
If you have any questions or would like to discuss this matter further, please contact KSF Managing Partner, Melinda F. Schwartz, at [email protected] or toll-free at 1-877-515-1850.
