What is a Cannabis REIT?
By Charles Alovisetti, Cassia Furman
Apr 23, 2021
To many in the cannabis industry, REIT is not a common acronym. Yet, as cannabis businesses seek ways to raise funds, REITs are coming up in more and more conversations.
Fund Formation & Alternative Investments
As a firm that specializes in the cannabis and hemp industries, Vicente Sederberg LLP is uniquely positioned to provide sophisticated market intelligence and cutting-edge legal solutions to sponsors, investors and other participants in alternative investment funds.
We have extensive knowledge of the cannabis space, and several of our attorneys have experience with complex fund transactions while at international law firms, allowing VS to provide exceptional corporate counsel to sponsors forming small venture capital or hedge funds and other alternative investment structures, including funds formed for specific investments. For investors, we offer corporate and regulatory reviews of the terms of open-end and closed-end investment funds, whether such funds are directly or indirectly engaged in hemp or cannabis activities. We also provide corporate and regulatory counsel with respect to downstream transactions, exits, and secondary transactions. Our specialized experience also allows us to provide a distinctive service to other law firms and fund sponsors in need of cannabis or hemp regulatory counsel.
Our corporate practice includes more than 20 attorneys based in California, Colorado, Florida, Massachusetts, New Jersey, and New York, where they are deeply involved in cannabis regulatory work across all of the major medical and recreational cannabis state markets. This on-the-ground experience allows VS to help clients implement customized, practical strategies in the investment fund space.
LEADERSHIP
Services
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Corporate counsel of sponsors forming small venture capital or hedge funds and other alternative investment structures, including funds formed for specific investments.
- Corporate and regulatory reviews of the terms of open-end and closed-end investment funds directly or indirectly engaged in hemp or cannabis activities.
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Corporate and regulatory counsel with respect to downstream transactions, exits, and secondary transactions.
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Corporate and regulatory representation of investors seeking to transfer their interests in private investment funds.
- Providing specific cannabis regulatory advice to law firms engaged in fund formation services.
Experience
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Represented a sponsor in the formation of a fund established for a targeted cannabis investment, including the negotiation of the investment on behalf of the fund.
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Represented a cannabis-focused hedge fund, including the provision of fund formation services.
- Advised multiple global private equity firms on state-specific cannabis regulations and the federal legal status of cannabis and hemp.
News
What is a Cannabis SPAC?
By Charles Alovisetti and Ilya Ross
Feb 19, 2021
With wary investors and a minimal number of FDIC-insured bank lenders in the space, cannabis entrepreneurs are running out of options to raise capital. SPACs create a unique opportunity to fill the current vacuum of capital in the cannabis industry.
Seven Regulatory-related Factors for Marijuana Companies to Consider in a Debt Transaction
By Charles Alovisetti
Jan 25, 2021
Like anything in the cannabis industry, getting a debt deal done requires navigating unique regulatory challenges. Here are seven regulatory considerations that cannabis borrowers and lenders should keep in mind when pursuing a debt transaction.
When Do You Need Cannabis Regulatory Counsel? A Guide for Corporate Counsel
By Charles Alovisetti, Sally Kent Peebles
Jan 15, 2021
As more law firms are fielding client questions about cannabis industry transactions, it can be challenging for corporate counsel to identify when they need cannabis regulatory counsel.
The Cannabis Business: Understanding Law, Finance, and Governance in America's Newest Industry
By Vicente Sederberg LLP
Dec 18, 2020
Vicente Sederberg attorneys wrote the book on cannabis law — and now you can own it! This comprehensive primer on all things cannabis law is a must-have for anyone seeking to understand the major practical legal issues facing the marijuana and hemp industries.
Raising Private Capital in the Cannabis Industry
By Charles Alovisetti, Elliot Choi, Sahar Ayinehsazian
Sep 18, 2020
Raising private capital continues to be a challenge for the nascent cannabis industry, but there are proactive steps companies can take to maximize the chance of a successful raise.
In the Media
- NJ.com, "Issue 177: Equity, Resignations and Donations," August 12, 2021
- JD Supra, "What is a Cannabis REIT?," April 26, 2021
- KUNC News, "Marijuana Industry to Add New, Diverse Ownership Thanks to Recent State, Local Laws," April 19, 2021
- MJ Media Today, "Weed Wonks Episode 56: The Nitty Gritty of Cannabis Finance with Charles Alovisetti," March 31, 2021
- Pro Cannabis Media Youtube, "How to Get Your State to Legalize Weed," March 16, 2021
- Zephyrnet, "What is a Cannabis SPAC?," February 20, 2021
- JD Supra, "US Cannabis Council Sets Its Sights on Sweeping Federal Cannabis Reforms in 2021," February 12, 2021
- Business Wire/Yahoo! Finance, "Top Cannabis Businesses, Associations, and Advocacy Organizations Join Forces to Launch U.S. Cannabis Council," February 8, 2021
- Merry Jane, "Opportunity for All: How Massachusetts Is Creating Social Equity in Legal Cannabis," January 22, 2021
- Boulder Weekly, "Between the Lines: The Color of Cannabis," September 24, 2020
- Bloomberg Law, "Professional Perspective: Raising Private Capital In The Cannabis Industry," September 18, 2020
- NJ.com, "Is Marijuana Right for Your Town? Industry Insiders Discuss How Legalizing the Plant Would Impact Communities at This Tuesday Forum," August 24, 2020
- CannabisWire, "Colorado: New State Work Group Holds First Meeting on Cannabis Equity," July 31, 2020
- CannabisWire, "Colorado Forms New Cannabis Equity Workgroup," July 17, 2020