Name: Philip Goldberg
Location: Frederick, Md.
Title: CEO, Green Leaf Medical
One word to describe your cultivation style: Intelligent
Indoor, outdoor, greenhouse or a combination: IndoorCan you share a bit of your background and how you and your company got to the present day?
Green Leaf Medical was formed in 2014 by myself and my brother, Kevin Goldberg. I had been running an advertising agency I started from the ground up in 1998 and Kevin was working at a law firm he founded shortly after graduating from Catholic University School of Law in 1995. After forming the company in 2014, we spent the next two years positioning Green Leaf to secure one of a limited number of licenses to cultivate medical cannabis in Maryland. In August of 2016, we were notified that our application had been approved and that we had received the highest score out of 146 applicants for cultivation. We then began the arduous task of raising capital to construct our 42,000-square-foot cultivation facility. We raised approximately $9 million through the sale of equity. The construction took 12 months and when it was completed, we had a state of the art, fully automated cultivation facility. We began cultivating in September 2017 and had our first harvest in January of 2018. At this point, we developed the gLeaf brand that is associated with all our products. The facility currently produces approximately 1,000 pounds of dry cannabis per month. From there, we acquired the first extraction and dispensary licenses issued in the state.
While working to build our brand in Maryland, we submitted an application for one of the limited number of cannabis licenses being issued in Pennsylvania. We won a license in the South-Central region, where we had purchased the former Seaton Leather manufacturing facility. This facility had been the largest employer in the area and economically devastated the community when it shut down nearly a decade prior. We raised an additional $13 million to convert the first 100,000 square feet of the 275,000-square-foot facility into a state-of-the-art cultivating and extraction facility. The facility became operational in April of 2019 and currently produces approximately 1,700 pounds per month of dry cannabis. In late 2019, we sold the facility to Innovative Industrial Properties for $13 million in a sale-leaseback transaction that would free up capital to continue expansion.
With Pennsylvania and Maryland operational, we turned our focus to Ohio. We were successful in winning a dispensary license in Warren, Ohio, where we serve hundreds of patients per day.
Next, we applied for one of five vertical licenses being issued in Virginia. We were successful in winning a license in Richmond, Va., and used the proceeds of the sale-leaseback in Pennsylvania to fund the buildout of an 82,000-square-foot cultivation, extraction and retail facility. Ultimately, we executed on a $20 million sale-leaseback with Innovative Industrial Properties, which completed the construction of the Richmond facility and provided us with growth and operational capital. The Richmond facility can produce 2,200 pounds of dry cannabis per month.
Finally, we recently began construction of