CBD Chain Retailer Lands 2nd Major Mall Expansion Deal

Green Growth Brands is staying true to its name and expanding in a major way.

GGB, which sells health, beauty and lifestyle products infused with cannabidiol under several different brands, has entered into an agreement with Brookfield Properties to open more than 70 stores in malls Brookfield owns by the end of the year, CNBC reports. Cannabidiol, or CBD, is the non-psychoactive compound in cannabis that many claim provides an array of health benefits and has driven a major retail trend to target younger shoppers.

The partnership deal is the second GGB has signed this year, the first being a 108-store agreement with Simon Property Group, the largest mall owner in the country. Combined, GGB expects to hit 280 locations before 2019 is over. It already has seven stores open within Brookfield's portfolio, including at The Fashion Show mall in Las Vegas.

As malls struggle with the closures of legacy brands and anchor tenants, GGB is heading in the other direction, believing it can set itself apart by more closely aligning with beauty and lifestyle stores like Sephora or Ulta. Both have been surveyed as among the most popular with millennials and Generation Z.

“We know that consumers prefer to buy personal care and beauty products from physical stores, and this partnership will allow us access to millions of consumers,” GGB CEO Peter Horvath said in a statement provided to CNBC.

Mall landlords like Simon and Brookfield — which acquired mall REIT GGP last year — are all too happy to bring in Green Growth Brands like Seventh Sense and the forthcoming Green Lily to connect with the current generation of shoppers who have spurned department stores and formerly solid anchors.