Royal Emerald Pharmaceuticals raises $17 million to purchase a former Kmart store in California
Funds for Federally licensed 94,000 square foot cannabis cultivation and medical research facility
Pharmaceutical grade facility to provide Federally compliant THC and CBD based medicine for veterans and first responders across the Country
Pelorus Equity Group (“Pelorus” or “the Company”), the leading provider of value-add bridge commercial real estate loans to cannabis businesses and owners with cannabis-related real estate, is pleased to announce it has provided US$16.975M of non-dilutive real estate debt financing to Royal Emerald Pharmaceuticals (“Royal Emerald”) for the purchase of a new facility location in Desert Hot Springs, California.
Formerly a Kmart retail location, the new facility situated on a 7-acre campus will undergo an extensive renovation and remodel to turn the 94,000 square foot building into a high-tech cannabis cultivation and medical research facility (the “Desert Hot Springs Facility”).
Royal Emerald is a DEA-registered, specialty pharmaceutical company working to research and produce federally compliant THC and CBD based medicine for veterans and first responders. As one of the first pharmaceutical companies in the nation to receive federal licenses to research, manufacture, import, and distribute substances with THC and CBD, Royal Emerald will be able to ship its medical cannabis products across state lines and into international jurisdictions upon completion of the Desert Hot Springs Facility.
“The opportunity to partner with Royal Emerald is truly a one-of-a-kind transaction for us,” said Dan Leimel, CEO of Pelorus Equity Group, and manager of the Pelorus Fund. “This new high-tech facility will be built to the strict requirements of the regulated pharmaceutical industry and will be the site of exciting new THC and CBD based medical research to provide much needed alternative therapeutics to veterans and first responders. We believe their work will be hugely impactful on the development of the pharmaceutical market within the U.S. cannabis market, with potential international export opportunities available as well.”
Mr. Leimel added, “The work that Mark and his team are doing is transformational for the U.S cannabis industry and will benefit patients across the country. They are trailblazers, and we remain committed to working with those that are leading the way.”
“Our mission is to address the significant issue that existing pharmaceutical pain management practices have created for patients nationwide, especially our military veterans and first responders,” said Mark Crozier, Chairman and Founder of Royal Emerald Pharmaceuticals. “Thanks to our partnership with Pelorus, we are able to achieve the next step of this mission with our new facility. The support we have received from the Pelorus team is unparalleled, and we greatly appreciate the confidence they have placed in us.”
Mr. Crozier added, “We believe in the power of alternative therapeutics derived from botanicals, including cannabis, to treat and support those that have undergone significant physical and emotional harm. Our veterans and first responders deserve effective pain management options that safely address their complex needs, and we believe we can lead the way in providing this support. We are also excited to support our local community, as our new innovative facility, will provide meaningful employment opportunities with a job fair coming later this year.”
About Royal Emerald Pharmaceuticals
Royal Emerald Pharmaceuticals is committed to replacing current addictive opioids by developing alternative medicines that will be safe and effective without producing addictions. We care about our consumers’ health and well-being. We adhere to the highest standards and quality measures in our labs to ensure our products exceed our consumers’ expectations. We produce superior quality pharmaceuticals by complying with the current Good Manufacturing Practices (cGMP) required by the Food and Drug Administration (FDA). Our team of experts are experienced in drug research and development, ensuring our products are consistent, pure, and safe for consumers.
For more information, visit https://www.royalemeraldrx.com/.
About Pelorus Equity Group
Pelorus Equity Group (“Pelorus”), the leading provider of value-add bridge commercial real estate loans to cannabis businesses and owners with cannabis-related real estate, and its Pelorus Fund, a private mortgage real estate investment trust (“mREIT”), are changing the commercial real estate lending landscape in the cannabis sector. Pelorus Fund offers a range of innovative transactional solutions to address the diverse needs of real estate investors and portfolio managers, and its flexible acquisition and bridge lending programs are the direct result of the firm’s involvement in more than 5,000 transactions of varying size and complexity. Since 1991, Pelorus’ principals quickly understand an opportunity, structure a logical solution and execute a timely close and have participated in more than $5B of real estate investment transactions using both debt and equity solutions. To date, Pelorus has completed 63 commercial real-estate loan transactions and deployed more than $350 million to cannabis businesses and real estate owners, comprising of more than 3,200,000 sq. ft. in eight states across the U.S. With the ability to fund approved construction draws for reimbursement in an average of one to three days and a single agreement covering the financing of the entire project, the Pelorus Fund helps to stabilize cash flow for its clients, so they are able to remain focused on their core business goals and objectives.
For more information, visit https://www.pelorusequitygroup.com/.