Business
Pineapple Express Executes Purchase Agreements for an Additional 3.78 Acres in Desert Hot Springs
Pineapple Express Executes Purchase Agreements for an Additional 3.78 Acres in Desert Hot Springs.
About this update from Pineapple, Inc.
[{"type":"text","content":"\n\n LOS ANGELES, Jan. 05, 2016 (GLOBE NEWSWIRE) -- PINEAPPLE EXPRESS, INC. (OTC Pink:PNPL) (the “Company”), a publicly-traded company that offers cannabis industry consulting, technology, investments, turn-key property rentals, and branding concepts to businesses in the legal cannabis industry, announced that it has executed purchase agreements for 3 new parcels in Desert Hot Springs, CA. These parcels directly adjoin the Company’s existing parcel that the Company rents to a fully permitted and legally operating cultivation tenant and consulting client who, with the Company’s assistance, recently secured a Conditional Use Permit (“CUP”) from Desert Hot Springs for medical marijuana cultivation. The Company intends to advise this tenant/client in connection with expanding its CUP and intends to rent out the new parcels to new tenants and assist them with the CUP application process. The purchases are expected to close within the next 120 days and are subject to customary closing conditions.\n “We plan to repurpose the remaining acreage of the existing parcel our tenant currently uses to add three more buildings and a total of 42,000 additional square feet to the existing 23,000 square feet of warehouse space already built. We intend that the other parcels will each have one 20,000 square foot building. All together we desire 125,000 square feet of rentable warehouse space occupying about 7.5 acres,” stated Matthew Feinstein, CEO and Chairman of the Company. “We would lease to eight other cultivating tenants, besides our current tenant, on terms that are favorable for the prospective tenants and also beneficial to our growth.” The proposed terms of the Company’s rental agreements are as follows: The prospective tenant/consulting client would pay $500,000 inclusive of a new 20,000 square foot modular warehouse space; city/state permitting and licensing for cannabis cultivation; and fees paid to the city/state, architects, and planners in pursuit of securing the necessary city/state approvals.The prospective tenant immediately signs a lease that only goes effective once permitting is approved by Desert Hot Springs. The lease rate would be set at $8 per square foot per month with no rent due for the 3 month period following delivery of a constructed modular building i...