Chicago Atlantic Real Estate Finance, Inc. functions as a commercial real estate financing enterprise operating throughout the United States. Its primary activities ...
Chicago Atlantic Real Estate Finance, Inc. (REFI) originates, structures, and invests in a diversified portfolio of real estate credit investments. Its core product consists of senior secured loans, predominantly first mortgage loans, collateralized by commercial properties. The company focuses on the legal cannabis industry, where it provides capital to state-approved operators and property owners. Loans are highly structured, featuring strict covenants, periodic equity upside, exit fees, and various guarantees. The company operates as a mortgage REIT, targeting attractive risk-adjusted returns through disciplined credit-first underwriting and market niche identification.
Price Range: Loan amounts typically range from $10 million to $350 million, with interest rates and terms tailored to each transaction.
Pain Points: Limited access to traditional bank financing due to federal prohibition of cannabis; high cost of capital from alternative lenders; lack of specialized lenders with real estate and cannabis expertise; difficulty in securing senior secured debt with favorable terms.
Solutions: Provides senior secured loans at competitive, risk-adjusted rates; offers flexible structuring with covenants tailored to cannabis operators; leverages deep industry knowledge to assess collateral and regulatory risk; ensures reliable capital source for a niche market underserved by conventional banks.
Target Users: State-licensed cannabis operators and property owners across the U.S.; multi-state operators (MSOs) with vertically integrated business models; companies requiring large, first-lien debt for real estate assets; borrowers seeking a lender with dedicated cannabis real estate focus and track record.
Supply Chain
Capital providers (institutional investors, REIT shareholders)Borrowers (state-licensed cannabis operators, real estate owners)Property appraisers and valuation firmsLegal counsel and regulatory compliance advisorsLoan servicing and collection partners
