IIPR Reports Major Tenant Default on Florida Properties Impacting 5.2% of Rent

Innovative Industrial Properties announced that a key tenant, Parallel (affiliates of SH Parent, Inc.), has defaulted on its lease obligations for two properties in Florida. The tenant has also ceased its cannabis operations at both locations and intends to vacate the properties.

Key Details

• Default Event: On July 20, 2026, Parallel defaulted on rent and other payments for July, totaling approximately $1.6 million.
• Financial Impact: The two leases represent approximately 5.2% of IIPR's total annualized contractual rent and income as of March 31, 2026.
• Next Steps: The company holds security deposits that may be applied to cover the defaulted amount and intends to coordinate an orderly transition of the properties while reserving all legal rights.