Cannabis Related Properties

Is Your Client Looking To Buy or Refinance a Cannabis Related Property?

Why Does The Title Company Need To Know It Is A Cannabis Related Real Estate Closing?

Due to constantly changing and often conflicting laws around marijuana, there are many hurdles and very limited financial services available for cannabis related businesses.

INSURE WITH CONFIDENCE. Certified Title CAN insure transactions that relate to cannabis properties in most instances.

Third Party Escrow Services For Marijuana Facility Closings

As more and more states are legalizing marijuana, some title companies have started to become more involved in cannabis-related real estate transactions. Certified Title evaluates on a case by case basis.

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Cannabis Related Title Insurance Exceptions

Unlike underwriter’s who have agreed to insure cannabis real estate transactions, Certified Title does not have standard exceptions for cannabis related title policies. Generally, Certified Title treats cannabis related transactions as traditional commercial real estate transactions rather than a category of their own.

Requirements For Marijuana Property Title Insurance

If the property involved in the transaction is going to be used as a marijuana facility, or is already being used as a marijuana facility, the insurance company is likely going to have additional requirements that will need to be met before they will issue a title insurance policy. Our cannabis title insurance team has streamlined this process as much as possible, with the following additional requirements for all cannabis transactions:

1. Property use relating to cannabis: (i.e. dispensary, grow facility).
2. Insured’s relationship to the cannabis product: (i.e. Owner, Tenant, Lender).
3. Due to the high risk associated with this type of transaction Certified Title will require an additional 10%
   in remittance to issue policies.
4. Zoning Endorsements may only be issued if the zoning report/letter specifically addresses the use of
   cannabis.

FAQs for Cannabis-Related Properties

Handling title transactions for cannabis-related properties requires experience, precision, and industry insight.

Cannabis properties face unique legal, zoning, and underwriting challenges that go beyond traditional real estate. From shifting regulations to insurer uncertainties, these complexities demand a title partner who understands the landscape.

At Certified Title Corporation, we offer the expertise and guidance needed to navigate cannabis-related property transactions with confidence. Our team works closely with buyers, sellers, and lenders to manage risk, ensure compliance, and deliver a smooth, secure closing.

1. Why do cannabis-related properties require special attention in title transactions?
   Properties used for cannabis cultivation, processing, or retail carry additional regulatory and underwriting risks due to the industry’s legal status at the federal level. Disclosing cannabis-related use early allows Certified Title to conduct targeted research, anticipate potential issues, and coordinate with underwriters prepared to insure these properties—reducing the chance of costly delays.
2. Can Certified insure cannabis-related properties?
   In many cases, yes. While not all title insurers underwrite cannabis-related properties, Certified Title works with underwriters who are equipped to handle these transactions. Each deal is evaluated individually, with no blanket exclusions or unnecessary limitations. We aim to provide comprehensive coverage while keeping all parties fully informed.
3. What documentation is typically needed for cannabis-related property transactions?
   Cannabis-related property deals may require additional documentation, such as:
   • Intended property use (dispensary, cultivation, etc.)
   • Ownership structure or business entity details
   • Zoning compliance confirmations
   • Any relevant lease agreements or operational permits

   Certified Title assists in collecting and reviewing these documents to ensure a complete and accurate title process.

4. How does zoning affect cannabis property closings?
   Zoning plays a critical role in cannabis property transactions. Local ordinances often restrict where cannabis operations can occur, placing limitations on proximity to schools, residential areas, or other dispensaries. Certified Title helps identify and flag zoning issues early, ensuring the intended use of the cannabis property aligns with local regulations before proceeding to close.Please note: Due to regulatory and underwriting limitations, zoning coverage and closing protection letters are not available for cannabis-related transactions.
5. What should investors or lenders know before closing on cannabis-related properties?
   Cannabis properties can introduce additional risk to investors and lenders, especially when it comes to title insurance and long-term financing. It’s important to understand how land use, regulatory compliance, and ownership structures may affect a property’s marketability. Certified Title offers expert guidance to help all parties make informed, confident decisions.
6. What types of cannabis-related properties does Certified Title support?
   We provide full-service title support for a wide range of cannabis property transactions, including:
   • Retail dispensaries
   • Cultivation facilities
   • Processing and manufacturing sites
   • Commercial or mixed-use buildings
   • Undeveloped land intended for cannabis operations

   Each property is unique and we adapt our process to fit its specific challenges and opportunities.

7. Why partner with Certified Title for cannabis property transactions?
   With more than three decades of title experience, Certified Title offers the insight, responsiveness, and professionalism needed to navigate complex cannabis property transactions. We provide:
   • Strong relationships with cannabis-knowledgeable underwriters
   • In-depth knowledge of state and local requirements
   • Clear, proactive communication
   • Customized title solutions tailored to the property and purpose

   Our goal is to help every cannabis-related property transaction close smoothly, securely, and on time.

Need title support for a cannabis-related property? Certified Title is here to help. Contact us today.