Cresco Labs Secures $45 Million Through Brookville Property Transaction with Aventine

Cresco Labs has finalized a significant sale-leaseback arrangement involving its Pennsylvania cultivation and production facility, generating $45 million in non-dilutive capital. The transaction, executed with real estate investment firm Aventine Property Group, represents a strategic move to strengthen the cannabis operator’s financial position without diluting shareholder equity.

Transaction Details and Asset Specifications

The Brookville, PA property at the center of this deal comprises approximately 135,000 square feet of operational cultivation, manufacturing, and production infrastructure. Operating as a licensed cannabis cultivation and processing facility since 2017, the location continues under the operational control of Cresco Yeltrah, LLC, a Cresco Labs subsidiary, through a long-term triple-net lease arrangement with Aventine.

This marks the first collaborative capital structure between Cresco Labs and Aventine Property Group, though it reflects a broader market trend where cannabis operators leverage real estate holdings to unlock working capital while maintaining operational control.

Strategic Capital Positioning

The $45 million proceeds contribute to what management describes as an enhanced capital position for the multistate operator. Charles Bachtell, CEO and co-founder of Cresco Labs, emphasized that the transaction demonstrates the company’s ability to secure favorable financing terms through quality operational assets, even amid market volatility. The capital injection arrives alongside anticipated proceeds from pending asset sales related to the Columbia Care acquisition, positioning the company to pursue high-return growth opportunities across cultivation, retail, and wholesale channels.

Market Context and Company Operations

Cresco Labs operates as one of the largest vertically integrated multistate cannabis operators in the United States, employing a consumer-packaged goods distribution model as the country’s leading cannabis product wholesaler. The company’s portfolio includes recognized national brands such as Cresco, High Supply, Mindy’s Edibles, Good News, Remedi, Wonder Wellness Co., and FloraCal Farms, alongside the Sunnyside dispensary retail network.

Beyond commercial operations, the company has established SEED (Social Equity and Educational Development), described as the industry’s largest social equity initiative, designed to build workforce skills and business ownership opportunities within the cannabis sector.

Raymond Lewis, CEO of Aventine Property Group, expressed confidence in the partnership, highlighting the operational excellence of Cresco Labs’ Brookville facility and the company’s established market position in Pennsylvania and beyond.