Company: IIPR
Filing Date: 2025-02-26
Form Type: 424B5
Source: 0001104659-25-017454
Chunk: 66

Company: INNOVATIVE INDUSTRIAL PROPERTIES INC
Filing Date: 2025-02-26
Form: 424B5
Chunk 66
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 to
subscribe for any securities of our company. Subject to the provisions of our charter regarding the restrictions on ownership and transfer
of our stock, shares of common stock will have equal dividend, liquidation and other rights.

Under Maryland law,
a Maryland corporation generally cannot dissolve, amend its charter, merge, sell all or substantially all of its assets, engage in a
share exchange or engage in similar transactions outside the ordinary course of business, unless declared advisable by the board of directors
and approved by the affirmative vote of stockholders entitled to cast at least two-thirds of the votes entitled to be cast on the matter.
However, a Maryland corporation may provide in its charter for approval of these matters by a lesser percentage, but not less than a
majority of all the votes entitled to be cast on the matter. Our charter provides for approval of these matters by the affirmative vote
of holders of shares entitled to cast a majority of all the votes entitled to be cast on the matter, except for amendments to our charter
that would alter only the contract rights, as expressly set forth in the charter, of a specified class or series of stock (including
the Series A Preferred Stock) with respect to which the holders of such class or series of stock have exclusive voting rights as
provided in our charter.

Also, our operating
assets are held by our subsidiaries and these subsidiaries may be able to merge or sell all or substantially all of their assets without
the approval of our stockholders.

Preferred Stock

Our board of directors
may authorize the issuance of preferred stock in one or more series and may determine, with respect to any such series, the rights, preferences,
privileges and restrictions of the preferred stock of that series, including:

| · | distribution rights; |

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| · | conversion rights; |

| · | voting rights; |

| · | redemption rights and terms of redemptions; 
 and                                         |

| · | liquidation preferences. |

The preferred stock
we may offer from time to time under this prospectus, when issued, will be duly authorized, fully paid and nonassessable, and holders
of preferred stock will not have any preemptive rights.

The issuance of preferred
stock could have the effect of delaying, deferring or preventing a change in control or other transaction that might involve a premium
price for our common stock or otherwise be in the best interests of our stockholders. In addition, any preferred stock that we issue
could rank senior to our common