Company: IIPR
Filing Date: 2025-02-26
Form Type: 424B5
Source: 0001104659-25-017454
Chunk: 105

Company: INNOVATIVE INDUSTRIAL PROPERTIES INC
Filing Date: 2025-02-26
Form: 424B5
Chunk 105
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 However,
indemnification for an adverse judgment in a suit by us or in our right, or for a judgment of liability on the basis that personal benefit
was improperly received, is limited to expenses.

In addition, the MGCL permits us to advance reasonable
expenses to a director or officer upon our receipt of:

| · | written affirmation by the director or officer of his                                                            
 or her good faith belief that he or she has met the standard of conduct necessary for indemnification by us; and |

| · | a written undertaking by the director or officer or                                                                    
 on the director’s or officer’s behalf to repay the amount paid or reimbursed by us if it is ultimately determined that 
 the director or officer did not meet the standard of conduct.                                                          |

Our charter authorizes us to obligate ourselves
and our bylaws obligate us, to the fullest extent permitted by Maryland law in effect from time to time, to indemnify and, without requiring
a preliminary determination of the ultimate entitlement to indemnification, pay or reimburse reasonable expenses in advance of final
disposition of a proceeding to:

| · | any present or former director or officer who is made                                                                 
 or threatened to be made a party to or witness in the proceeding by reason of his or her service in that capacity; or |

| · | any individual who, while a director or officer of                                                                                       
 our company and at our request, serves or has served as a director, officer, partner, manager, member or trustee of another corporation, 
 REIT, partnership, limited liability company, joint venture, trust, employee benefit plan or any other enterprise and who is made        
 or threatened to be made a party to or witness in the proceeding by reason of his or her service in that capacity.                       |

Our charter and bylaws also permit us to indemnify
and advance expenses to any individual who served any predecessor of our company, in any of the capacities described above and any employee
or agent of our company or a predecessor of our company.

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We have entered into indemnification agreements
with each of our executive officers and directors, and expect to enter into indemnification agreements with future executive officers
and directors, that provide for indemnification to the maximum extent permitted by Maryland law.

Insofar as the foregoing provisions permit indemnification
of directors, officers or persons controlling us for liability arising under the Securities Act, we have been informed that, in the opinion
of the SEC, this indemnification is against