Hero Technologies' BlackBox subsidiary has signed a purchase agreement to acquire 120 acres of Michigan farmland for cannabis cultivation. The purchase agreement is contingent on financing for the target property's $1,500,000 purchase price. The deal would substantially expand the company's footprint in Michigan, which in 2018 became the first state in the US Midwest to legalize recreational cannabis.
The company plans to allocate some acreage for an initial outdoor grow while it builds greenhouses on the land for long-term, year-round cultivation. The company believes it could use up to 10 acres for an outdoor grow in time for this Fall's harvest. Under a Class C license, the company could grow up to 1,500 plants. The company could have revenue this year from the Blackbox project if licensing occurs in time for planting. The BlackBox expects to file its formal application with Michigan's cannabis regulators within one month.
To facilitate the deal and assist with Michigan licensing, Hero Technologies has engaged Barton Morris, Esq., principal attorney at Cannabis Legal Group. The law firm has specialized in cannabis-related business law, licensing, and land use in Michigan for over 10 years.
Cannabis Legal Group is assisted by Vincente Sederberg LLP as outside counsel. Sederberg is a leading legal advocate for the cannabis industry, and has been called by Rolling Stone magazine "the country's first powerhouse cannabis law firm."
In conjunction with its Michigan business transactions, Hero Technologies has changed the legal name of its BlackBox subsidiary, from BlackBox Technologies and Systems LLC to BlackBox Systems and Technologies. BlackBox specializes in growing cannabis with leading-edge aeroponic technology.
"We are very optimistic about our momentum in Michigan," said Hero Technologies' CEO Gina Serkasevich. "Expanding our cannabis cultivation acreage in this key Midwestern state, with the help of some of the finest legal minds in the cannabis industry, should contribute to our strategy of integrating cannabis operations from seed to sale across growing geographical markets."