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Huerfano – The Cannabis Friendly Colorado County for Growers

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The Colorado Cannabis Growers Association, located in Walsenburg, CO  has been a strong promoter for progressive commercial regulations to attract the cannabis industry to Southern Colorado and specifically Huerfano County.  Huerfano County’s cannabis regulations allow for larger outdoor commercial cannabis production at a lower cost with a greener model than other counties. Several large cannabis companies have grow facilities located in the county.  The county’s cannabis regulations are less restrictive on water sources and allow for the complete process of cultivation, testing and manufacturing of cannabis products.

Recently, Power REIT (NYSE-AMEX: PW and PW.PRA) acquired a 35 acre grow facility in Huerfano County.  The property has multiple greenhouses and land for future expansion.  After some redevelopment, Power REIT’s facility will comprise of approximately 102,800 square feet of greenhouse and related space.  One of the reasons Power REIT was interested in this acquisition was the favorable business requirements in the county and the growing conditions in Huerfano County for sustainable greenhouse cultivation.  This property can quickly become a large-scale producer of cannabis and cannabis related products to serve the Colorado market.  Power REIT’s focus is on becoming a low-cost producer of high-quality cannabis.

In addition to Power REIT’s acquisition, it was announced recently that Schwazze, (OTCQX: SHWZ) has agreed to acquire the assets of Southern Colorado Growers (“SCG”) in Huerfano County.   The proposed transaction includes 34 acres of land with outdoor cultivation capacity, including indoor, greenhouse, and hoop house cultivation facilities and equipment.  Schwazze will provide high-end, premium cannabis directly to its Star Buds dispensaries and significant production of biomass for its PurpleBee’s extraction and manufacturing facility. PurpleBee’s is Colorado’s largest supplier of wholesale distillate for the Consumer Packaged Goods (CPG), providing quality distillate to leading vaporizer, concentrates and edibles companies.  The acquisition is expected to close in 3rd quarter of 2021.

There are approximately nine commercial cannabis grows facilities currently in Huerfano county. These facilities are having a positive impact on the local economy.

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