Exclusive: Cannabis-Focused Koach Capital Launches $100M Fund, Adds Mitch Kahn To Team

Koach Capital has launched a new $100 million fund, Benzinga has learned.

The Michigan-based sale-leaseback provider, focused on retail locations for the cannabis industry, will leverage the success of its first fund to continue to pursue transactions of this nature, building on the more than $40 million it has already invested via its first fund.

“Fund II will allow us to continue providing sale-leasebacks at even more attractive rates,” said founding partner Sandy Kronenberg. “Koach has always prided itself on being the best in the business at understanding cannabis property valuations and underwriting. Mitch’s cannabis and real estate expertise will allow us to further hone our offerings.”

In addition to launching Koach Capital Fund II, the firm appointed Grassroots Cannabis founder and CEO Mitch Kahn to be partner and chair of Koach’s Investment Committee.

Kahn is also the former president and CEO of Hilco Real Estate.

Some Background: Koach has become a prominent player in the cannabis space in recent years. So far, the firm has invested more than $40 million across more than a dozen properties, providing growth capital to mid-and-large sized operators.

Koach offers sale-leaseback transactions at or below market rates, and can often provide significant tenant improvement allowances to its partners.

“I am very excited to bring both my real estate expertise and cannabis experience and relationships to the team at Koach,” Kahn told Benzinga. “The team at Koach has developed a great model and will build upon its prior success in the space with Fund II. I look forward to continuing to help the cannabis industry grow by providing capital to successful entrepreneurs and companies.”

On Feb. 24-25, Benzinga will be holding its virtual Cannabis Capital Conference, the premier gathering of cannabis entrepreneurs and investors in North America!