Innovative Industrial Properties (NYSE: IIPR), commonly referred to as IIP, has long prospered by capitalizing on the growth of the cannabis industry. Instead of operating as a marijuana producer, it is a real estate investment trust (REIT) renting property to medical cannabis growers.

While this approach has kept it consistently profitable and its properties 100% leased, it has not insulated IIP from all of the industry's troubles. Consequently, the stock is in the midst of a massive sell-off, but that lower stock price could actually increase its chances of delivering outsize returns over time. 

IIP differs from most other REITs in that it focuses on facilities used for growing medical cannabis in states where it is legal. This approach gives IIP a few advantages. Since it is not technically a marijuana company, it does not have to deal with the federal restrictions that hamper cannabis growers.

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Source Fool.com