May 6th, 2019 - VANCOUVER, BRITISH COLUMBIA - PRESS RELEASE - CROP Infrastructure Corp. has announced that it has completed the purchase of the suite of Recreational Cannabis licenses and the 1,012-acre property in its Elite Ventures Group 49 percent interest holding.
The total purchase price was $8,009,000 USD consisting of $4,058,100 amortized over 20 years for 843 acres of the real estate. CROP has paid $3,950,900 USD for 169 acres, including a down payment for the 20-year vendor financing for the remaining 843 acres. CROP has an option on all licenses once federally legal and will recoup 100 percent of its investment.
The State of Nevada has granted Recreational Adult Use Cultivation and Product Manufacturing and Distribution licenses for the company’s Esmeralda Cannabis Project. The company is currently constructing a wall around the 40-acre outdoor cannabis cultivation area for 2019 on the 1,012-acre property. The project requires an additional $250,000 in funding and, once complete, is expected to yield 80,000 pounds of over 20 percent per year of THC, or approximately 15,000 KG of distillate, according to genetics readied for the project. Additionally, CBD/THC Extraction facilities will be constructed on the property in readiness for processing the 2019 crops.
The current market for extracted product in Nevada is approximately $20,000 per kg. of distillate, or approximately $1,000 per lb of outdoor flower according to the company’s tenant consultants.
CROP CEO Michael Yorke stated: “Closing this acquisition is the largest transaction CROP has ever completed to date. CROP now has the largest licensed recreational cannabis farm in the United States and perhaps the world with over 1,000 acres of which 40 acres will be planted this year."
