If Arizona voters pass Prop 205 legalizing recreational marijuana, it could have a big impact on the industrial and retail market around the state.
Consider what has happened in Colorado, for example. The marijuana industry accounted for 35.8 percent of Denver’s newly occupied and constructed industrial space between 2009 to 2014, according to CBRE.
“Our industrial market here in Denver is about 200 million square feet. The growers have estimated to assume about 4 million square feet of that,” said industrial broker Mike Veihmann with Cushman & Wakefield.
Since recreational marijuana has been legalized in Colorado, the state has seen a influx of growers and sellers moving into retail and industrial buildings.
However, there are regulations around where the growers can set up shop. The state has ordered that these particular tenants have to be at least 1,000 feet away from residential areas.
Thus, most of the growers are concentrated in certain parts of towns and cities in Colorado. [Read more at 12 News]