Innovative Industrial Properties downgraded to Market Perform at JMP Securities

JMP Securities analyst Aaron Hecht downgraded Innovative Industrial Properties to Market Perform from Outperform with no price target after the company put out a business update that highlighted rental collections, tenant issues, and investment activity that sent the shares down nearly 20%. Operator issues appear to be intensifying as there were five operators highlighted in the release that are either in default, receiving deferrals, or looking to restructure, said Hecht, who is concerned that the company appears to be battling two of its larger tenants – Parallel and Green Peak Industries – over rent structure.