PART I

The following management's discussion and analysis of financial condition and results of operations should be read in conjunction with our audited consolidated financial statements and related notes thereto included elsewhere in this report.

Executive Overview and Plan of OperationItem 1. Business

Company Background

We were originally incorporated on November 17, 2006, as Securitas EDGAR Filings, Inc. under the laws of the State of Nevada. Prior to the formation of Securitas EDGAR Filings Inc., the business was operated as Xpedient EDGAR Filings, LLC, a Florida Limited Liability Company, formed on October 31, 2005. On November 21, 2005, Xpedient EDGAR Filings LLC amended its Articles of Organization to change its name to Securitas EDGAR Filings, LLC. On January, 21 2009, Securitas Edgar Filings LLC merged into Securitas Edgar Filings, Inc., a Nevada corporation. Our fiscal year is a calendar year ending December 31.

Our principal executive offices are located at 4141 NE 2nd Avenue Suite 204A, Miami, Florida 33137, and our telephone number is (305) 455-1800.

Since its incorporation the Company has generated revenues from operations of $38,951 and has incurred operating losses of $172,630. There are currently 12,218,205 shares of common stock par value $0.001 issued and outstanding.

How We Plan to Generate Revenue

Since our inception and until February 2014, we operated as an EDGAR filing agent, wherein we assisted companiescompany's in preparing and filing periodic reports with the United States Securities and Exchange Commission ("SEC") on the EDGAR, (electronic data gathering analysis retrieval) platform. On February 14, 2014, we amended and restated our Articles of Incorporation and changed our name to MJ Holdings, Inc., concurrent with our name change, we changed our business model.model and began exploring opportunities in the legal marijuana industry, principally in real estate opportunities in connection therewith. Our fiscal year is a calendar year ending December 31.

Our principal executive offices are located at 4141 NE 2nd Avenue Suite 204A, Miami, Florida 33137, and our telephone number is (305) 455-1800 . Our website is located at www.mjholdingsinc.com.

Our Business

MJ Holdings acquires and leases real estate to licensed marijuana operators, including but not limited to providing complete turnkey growing space and related facilities to licensed marijuana growers and dispensary owners. Additionally, MJ Holdings plans to explore ancillary opportunities in the regulated marijuana industry.

The Company does not and will not, until such time as Federal law allows, grow, harvest, distribute or sell marijuana or any substances that violate the laws of the United States of America.

Our Properties

As of the date of this report, we owned the following properties:

States where Marijuana is Legal

As of 2014, 24 US States have passed laws permitting state licensed healthcare practitioners to recommend marijuana for medical use and permit its residents the use of marijuana for medical and or therapeutic purposes; of which four states and the District of Columbia permit recreational use and an additional 11 states have laws permitting low tetrahydrocannabinol THC, high cannabidiol (CBD) strains for limited conditions.

Business Strategy

MJ Holdings acquires and leases real estate to licensed marijuana operators, including but not limited to providing complete turnkey growing space and related facilities to licensed marijuana growers and dispensary owners. Additionally, MJ Holdings plans to explore ancillary opportunities in the regulated marijuana industry.

The Company does not and will not, until such time as Federal law allows, grow, harvest, distribute or sell marijuana or any substances that violate the laws of the United States of America.

As a participant in the regulated marijuana industry, we intend to:

• Acquire and lease real estate zoned for legalized marijuana operations;
• Lease and manage turnkey grow, retail and commercial kitchen solutions for licensed marijuana operators;
• Finance real estate acquisitions and facilitate loan programs backed by real estate assets;
• Offer real estate structures that maximize working capital to legal marijuana operators;
• Establish marijuana grow and retail operations in jurisdictions where we are legally allowed to do so, ie. Canada and Uruguay; and,
• Position ourselves to operate legal marijuana operations in the U.S. if and when Federal laws reconcile with state laws and marijuana becomes legal under federal law.

We have devised our current business strategy based on certain limitations related to the legal status of marijuana under federal law and the fact that we are a public company and make certain representations and warranties in connection with our public filings with the United States Securities and Exchange Commission. We recognize the significant opportunities in the legalized marijuana space and believe that using our current business model, we can position ourselves to not only develop a significant business along our current path, but be able to leverage our position, relationships and assets to capitalize on additional opportunities in the future, if and when federal law reconciles with state law; resulting in the federal legalization of marijuana.

Acquire and Lease Real Estate zoned for legalized marijuana operations.

We plan to acquire and lease real estate, including retail and industrial space, to licensed marijuana operators. We believe that with continued growth in the marijuana industry licensed marijuana; operators will seek to expand their operations to service the growing demand, which will expand the need for real estate zoned for marijuana operations. We intend to capitalize on the opportunity that exists, due to the fact that certain landlords have been resistant to lease to marijuana operators due to its status under federal law, and as a result landlords who are willing to lease to marijuana tenants may be able to lease the property at a premium to current market rents, that is not to say that we wouldn't enter into leases with qualified tenants at the market rent.

Finance real estate acquisitions and facilitate loan programs backed by real estate assets.

We believe that there is an opportunity to offer hard money loans to marijuana operators to acquire property and or to lend on property already owned to finance the acquisition of additional property or for working capital. A hard money loan is a type of real estate loan collateralized against the quick-sale value of the property for which the loan is made. In a hard money loan arrangement we would hold the first lien position, meaning that in the event of a default, we would be secured by the property and be the first creditor to receive payment upon liquidation of the asset. We would make loans based on a percentage of the quick-sale value of the property; the

so called loan-to-value or LTV ratio. LTV ratios will be established on a case by case basis, based on the particulars of each loan. We believe that we can generate income based on a mix of fees and interest spreads based on the cost of money and the interest rate charged to the borrower.

Offer Real Estate Structures that Maximize Working Capital to Legal Marijuana Operators.

We plan to offer sale-and-leaseback programs to qualified licensed operators. A sale-and-leaseback is a commercial real estate transaction in which one party, in our case a licensed marijuana grower/dispensary, sells its corporate real estate assets to us, and we agree to lease the property back to the seller.

The advantage to the licensed marijuana operator of executing a leaseback is freeing up cash that is otherwise tied up in their real estate assets to:

• Help finance expansion of their business, purchase new equipment and or invest in new business opportunities.
• Help pay down debt and improve the company's balance sheet.
• Help reduce the seller/lessee's business income tax liability caused by the appreciation in value (land only) of its corporate real estate assets. In addition, the seller/lessee as a tenant can deduct all rent payments as a business expense on its annual tax returns.

The advantages for the Company are:

• Fair return on the investment in the form of rent during the lease term, and ownership of a depreciable asset already occupied by a reliable tenant.
• Long-term, fully leased asset with a guaranteed income stream.
• For income-tax purposes, we can take an expense deduction for an investment in a depreciable property to allow for the recovery of the cost of the investment.

Financing Real Estate Transactions

We plan to issue debt and or equity to finance real estate acquisitions. As needed, we may employ additional financing and ownership structures and incentives to secure financing for acquisitions. 

Competition

We face significant competition from a diverse mix of market participants, including but not limited to, other public companies with similar business models, independent investors, hedge funds and other real estate investors, hard money lenders, as well as would be clients, marijuana operators themselves, all of whom, who may compete against us in our efforts to acquire real estate zoned for marijuana grow and retail operations. In some instances, we will be competing to acquire real estate with persons who have no interest in the marijuana business, but have identified value in a piece of real estate that we may be interested in acquiring. Our greatest competitive threat will likely come from banks, if and when they begin servicing marijuana operators, as the interest rates offered by banks are typically lower than those we can offer.

Availability of Suitable Properties

We believe that the opportunity exists to acquire suitable properties of different sizes to accommodate the varying needs of prospective tenants.

Intellectual Property

We don't own any intellectual property, other than common law rights to our logo and trade dress. We do own various internet domain names which we may develop into internet properties and brands at some point in the future.

Government Regulation

Federal Laws

The U.S. Government classifies marijuana as a schedule-I controlled substance; and as a result in accordance to Federal law marijuana is an illegal substance. Even in those jurisdictions in which the use of medical marijuana has been legalized at the state level, its prescription is a violation of federal law. The United States Supreme Court has ruled in United States v. Oakland Cannabis Buyers' Coop. and Gonzales v. Raich that it is the federal government that has the right to regulate and criminalize cannabis, even for medical purposes. Therefore, federal law criminalizing the use of marijuana pre-empts state laws that legalizes its use for medicinal purposes. Federal prosecutions of marijuana crimes, where the operators are acting in accordance with state law are rare, this is as a result of U.S. Justice department policies of the current presidential administration, to allow states to implement these laws and not prosecute anyone operating in accordance with applicable state law.

While different presidential administrations may maintain a similar policy position towards marijuana, and while as a growing number of states vote to legalize marijuana for medical and recreational use, which may result in a reconciliation of Federal and state laws legalizing marijuana, it is possible that a future presidential administration could reverse course on the progress made towards marijuana legalization, and seek to enforce federal laws and thereby eliminating the legal marijuana industry. 

As of the date of this annual report, the Company derives revenue from state-approved marijuana growers and dispensary facilities. While we do not grow or distribute marijuana; deriving rental income from state-approved marijuana growers and dispensary facilities could be deemed to be aiding and abetting illegal activities, a violation of federal law. We intend to remain within the guidelines outlined in the Cole Memo (see the “Risk Factors”), which does not alter the Department of Justice’s authority to enforce federal law, including federal laws relating to marijuana, but does recommend that U.S. Attorneys prioritize enforcement of federal law away from the marijuana industry operating as permitted under certain state laws, so long as certain conditions are met.  Where the individual state framework fails to protect the public, the Justice Department has instructed federal prosecutors to enforce the Controlled Substances Act of 1970. However, we cannot provide assurance that the Company is in full compliance with the Cole Memo or any other federal laws or regulations.

The Company’s ongoing and future business plans rely in part, on our ability to successfully establish and maintain effective controls that follow the United States Treasury Department’s Financial Crimes Enforcement Network (“FinCEN”) Guidance, “BSA Expectations Regarding Marijuana-Related Businesses,” in vetting and monitoring potential tenants, customers and clients of the Company.  On February 14, 2014, FinCEN issued guidance to clarify Bank Secrecy Act (“BSA”) expectations for financial institutions seeking to provide services to marijuana-related businesses. FinCEN issued this guidance in light of certain state initiatives to legalize certain marijuana-related enforcement priorities. The FinCEN guidance clarifies how financial institutions can provide services to marijuana-related businesses consistent with their BSA obligations, and aligns the information provided by financial institutions in BSA reports with federal and state law enforcement priorities. This FinCEN guidance is intended to enhance the availability of financial services for, and the financial transparency of, marijuana-related businesses.

While we are not subject to the BSA or FinCEN guidelines, we expect to implement policies and procedures that mirror the stated goals of the FinCEN guidelines to comply with the federal government’s stated objectives with respect to the potential conflict of law. The Company anticipates using  FinCEN Guidelines, as may be amended, as the basis for assessing its relationships with potential tenants.

State Laws

As of 2014, 24 US States have passed laws permitting state licensed healthcare practitioners to recommend marijuana for medical use and permit its residents the use of marijuana for medical and or therapeutic purposes; of which four states and the District of Columbia permit recreational use and an additional 11 states have laws permitting low tetrahydrocannabinol THC, high cannabidiol (CBD) strains for limited conditions.

Local Laws; Zoning

Local laws at the city, county and municipal level add an additional layer of complexity to legalized marijuana. Despite a State's having adopted legislation legalizing marijuana, cities, counties and municipalities, within the state seem to have the ability to otherwise restrict marijuana activities, including but not limited to cultivation, retail or consumption.

The effect of local laws and changes based on legal challenges or policy changes will have a direct effect on the values of property we seek to acquire, as more properties are zoned for marijuana operations and or as cities with large populations that may have previously restricted marijuana, ease those restrictions, properties within those cities may become more attractive and real estate prices in

neighboring communities, outside those populist hubs, may decline and the corresponding rents they draw. In the event that we have long term leases in place and our tenants remain in good standing, this should not affect our short term cash-flows.

Zoning sets forth the approved use of land in any given city, county or municipality. Zoning is set by local governments and may otherwise be restricted by state laws, for example, under certain state laws a seller of liquor may not be allowed to operate within 1,000 feet of a school. There are and or will be similar restrictions imposed on marijuana operators, which will restrict how and where marijuana operations can be located and the manner and size of which they can grow and operate. Additionally, zoning is subject to change, properties can be re-zoned and a given zoning may be withdrawn. How properties are zoned will have a direct impact on our business operations, additionally we expect to require the assistance of local counsel, as needed to ensure that properties we may acquire are properly zoned. We intend to seek to purchase property that has the appropriate zoning in place for our tenants operations.

Employees

As of December 31, 2014, we had no employees.

Item 1A. Risk Factors

Various portions of this report contain forward-looking statements that involve risks and uncertainties. Actual results, performance or achievements could differ materially from those anticipated in these forward-looking statements as a result of certain risk factors, including those set forth below and elsewhere in this report. These risk factors are not presented in the order of importance or probability of occurrence.

Risks Related to Our Business

We Have a limited Operating History Within this Industry, and we may not Succeed.

We have a limited operating history or experience in procuring, building out or leasing real estate for agricultural purposes, specifically marijuana grow facilities and as such, within this industry we may not succeed. Moreover, We are subject to all risks inherent in a developing a new business enterprise. Our likelihood of success must be considered in light of the problems, expenses, difficulties, complications, and delays frequently encountered in connection with establishing a new business and the competitive and regulatory environment in which we operate. For example, the medical marijuana industry is a new industry that as a whole may not succeed, particularly should the Federal government change course and decide to prosecute those dealing in medical marijuana under Federal law. If that happens there may not be an adequate market for our properties. 

You should further consider, among other factors, our prospects for success in light of the risks and uncertainties encountered by companies that, like us, are in their early stages. For example, unanticipated expenses, delays and or complications with build outs, zoning issues, legal disputes with neighbors, local governments, communities and or tenants. We may not successfully address these risks and uncertainties or successfully implement our operating strategies. If we fail to do so, it could materially harm our business to the point of having to cease operations and could impair the value of our common stock to the point investors may lose their entire investment.

We may be unable to identify and or successfully acquire properties which are suitable for our business, we will rely on local real estate professionals and our own due diligence to ensure we are acquiring the right properties and at the right price; zoning; market for properties.

We may be unable to identify and or successfully acquire properties which are suitable for our business, we will rely on local real estate professionals and our own due diligence to ensure we are acquiring the right properties and at the right price; zoning; market for properties.

Our business plan involves the identification and the successful acquisition of properties which are zoned for marijuana businesses, including grow and retail, the properties we acquire, will be leased to licensed marijuana operators. There can be no assurance that we will be able to identify and or obtain the capital needed to purchase any properties. Additionally, local governments must approve and adopt zoning ordinances for marijuana grow facilities and retail dispensaries. A lack of properly zoned real estate may reduce our prospects and limit our opportunity for growth and or increase the cost at which suitable properties are available to us, conversely a surplus of real estate zoned for marijuana establishments may reduce demand and prices we are able to charge for properties we may have previously acquired.

Going concern report of independent certified public accountants.

Our limited history of operations, our operating losses, and negative cash flows from operations raise substantial doubt about our ability to continue as a going concern. In this regard, see the Report of Independent Certified Public Accountants accompanying our audited financial statements appearing elsewhere herein which cites substantial doubt about our ability to continue as a going concern. There can be no assurance that we will achieve profitability or generate positive cash flow in the future. As a result of these and other factors, there can be no assurance that our proposed activities will be successful or that the Company will be able to achieve or maintain profitable operations. If we fail to achieve profitability, our growth strategies could be materially and adversely affected.

Additional capital will be required to finance and expand our operations in the future, but that capital may not be available when it is needed and could be dilutive to existing stockholders.

We will require additional capital for future operations including acquiring properties, which we intend to build out and lease to tenants. We plan to finance our property acquisitions and accompanying build-outs through the issuance of secured convertible notes, we anticipate we will be able to meet ongoing expenses and capital requirements with funds generated from the following sources:

• cash provided by operating activities;
• capital raised through debt and equity offerings.

We intend to raise capital through the issuance of equity and debt to acquire real estate zoned for marijuana grow and retail sale (dispensary). Debt issued may be securitized by the real estate and any fixtures and improvements to the real estate. Revenue generated by the real estate, less a management fee and any spread between the cost of the loan and the proceeds from our leases, will be used to service the debt, beyond which we expect the debt to be non-recourse against the Company. Debt holders may have the opportunity to convert their note to the Company's Common Stock, depending on the terms of the conversion, conversion of  debt may dilute the holdings of our existing stockholders, reduce the market price of our common stock, or both.

Our ability to raise additional capital, if needed, will depend on conditions in the capital markets, economic conditions and a number of other factors, many of which are outside our control, and on our financial performance. Accordingly, we cannot assure you that we will be able to successfully raise additional capital at all or on terms that are acceptable to us. If we cannot raise additional capital when needed, it may have a material adverse effect on our liquidity, financial condition, results of operations and prospects. Further, if we raise capital by issuing stock, the holdings of our existing stockholders will be diluted.

If we raise capital by issuing debt securities, such debt securities would rank senior to our common stock upon our bankruptcy or liquidation. In addition, we may raise capital by issuing equity securities that may be senior to our common stock for the purposes of dividend and liquidating distributions, which may adversely affect the market price of our common stock. Finally, upon bankruptcy or liquidation, holders of our debt securities and shares of preferred stock and lenders with respect to other borrowings will receive a distribution of our available assets prior to the holders of our common stock. Additional equity offerings may dilute the holdings of our existing stockholders or reduce the market price of our common stock, or both.

Our failure to obtain the capital, which we require to execute our business plan, will result in the slower implementation of our business plan, lost opportunities to other market participants, each of which could have a detrimental impact on our business, operations and financial condition.

We will need to refinance promissory notes we issue as they mature.

Our success is dependent on our ability to refinance the promissory notes we issue to acquire real estate as those notes mature. We expect that promissory notes will have a maturity between three to five years and upon maturity we will be required to refinance the properties to repay the principal borrowed under the notes. If we are unable to procure replacement financing, either from banks or private investors, we may need to sell those properties, which in turn may have an adverse affect on our cash flow from operations; furthermore, if we sell those properties and those properties have depreciated in value, we will not profit form the appreciation of our equity interest in the properties and any and all of the proceeds from the sale will be used to repay the principal borrowed under the note.

Our business is dependent upon continued market acceptance by consumers.

We are substantially dependent on continued market acceptance and proliferation of consumers of medical marijuana. We believe that as marijuana becomes more accepted the stigma associated with marijuana use will diminish and as a result consumer demand will continue to grow. And while we believe that the market and opportunity in the marijuana space continues to grow, we cannot predict the future growth rate and size of the market.

The alternative medicine industry faces strong opposition.

We believe that the pharmaceutical industry may be an opponent of medical marijuana. If medical marijuana is a commercial success it may adversely affect the market for Marinol, the current "marijuana pill" which is sold by large and established pharmaceutical companies. To protect its interests, Big Pharma may in turn focus its considerable resources in lobbying efforts to curtail medical marijuana. If the pharmaceutical companies were successful in their attack on medical marijuana, we would likely see a reduction in demand for grow and dispensary space, and the industry in general may suffer which could have a detrimental impact on our business, operations and financial condition.

We plan to pursue additional opportunities in the legal marijuana space. The success of these endeavors is uncertain.

We expect to commit resources and capital to explore and develop new opportunities within the marijuana space. We hope to position ourselves as a diversified marijuana holding and operating company in anticipation of a reconciliation of federal law with state law, which we believe will come as more states legalize marijuana. We cannot assure you that we will be successful in our efforts in establishing operations  or that our ownership of certain marijuana businesses or investments will be permitted as a matter of law, or that we will achieve market acceptance for our ventures and or associated products and services, or other new products and services that we may offer in the future. Moreover, these and other new products and services may be subject to significant competition with offerings by new and existing competitors in the business of dispensing regulated pharmaceutical products. In addition, new products, services and enhancements may pose a variety of technical challenges and require us to attract additional qualified employees. The failure to successfully develop and market these new products, services or enhancements could seriously harm our business, financial condition and results of operations.

Potential competitors could duplicate our business model, and others are engaged in similar of not exact businesses.

There is no aspect of our business which is protected by patents, copyrights, trademarks, or trade names. As a result, potential competitors could duplicate our business model with little effort.

We depend upon key personnel, the loss of which could seriously harm our business.

Our operating performance is substantially dependent on the continued services of our executive officers, Mr. Shawn Chemtov, our Co- Chief Executive Officer and co-chairman of our Board of Directors and Adam Laufer, our Co- Chief Executive Officer and co-chairman of our Board of Directors. We believe Messrs. Chemtov and Laufer possess valuable knowledge about and experience in real estate and securities law and capital markets respectively, and that their knowledge and relationships would be difficult to replicate. We have not entered into an employment agreement with either Messrs. Chemtov or Laufer and, although we are considering doing so, have not acquired key-person life insurance on either such executive officer. The unexpected loss of the services of Messrs. Chemtov or Laufer could have a material adverse effect on our business, operations, financial condition and operating results, as well as the value of our common stock.

Risks Related to Government Regulation

Marijuana is illegal under federal law.

The U.S. Government classifies marijuana as a schedule-I controlled substance; and as a result in accordance to Federal law marijuana is an illegal substance. Even in those jurisdictions in which the use of medical marijuana has been legalized at the state level, its prescription is a violation of federal law. The United States Supreme Court has ruled in United States v. Oakland Cannabis Buyers' Coop. and Gonzales v. Raich that it is the federal government that has the right to regulate and criminalize cannabis, even for medical purposes. Therefore, federal law criminalizing the use of marijuana pre-empts state laws that legalizes its use for medicinal purposes.

As of January 31, 2014, 21 states and the District of Columbia allow its citizens to use medical marijuana. Additionally, voters in the states of Colorado and Washington approved ballot measures last November to legalize cannabis for adult use. The state laws are in conflict with the federal Controlled Substances Act, which makes marijuana use and possession illegal on a national level. The Obama

administration has effectively stated that it is not an efficient use of resources to direct federal law enforcement agencies to prosecute those lawfully abiding by state-designated laws allowing the use and distribution of medical marijuana.  However, there is no guarantee that the administration will not change its stated policy regarding the low-priority enforcement of federal laws.

Additionally, any new administration that follows could change this policy and decide to enforce the federal laws strongly. Any such change in the federal government's enforcement of current federal laws could cause significant financial damage to us and its shareholders.

Should such a change occur, our business operations would be affected to some degree. If our marijuana tenants are forced to shutter their operations, we would need to seek to replace those tenants with non marijuana tenants, who would likely expect to pay lower rents, moreover if the marijuana industry were forced to shutter at once, it would result in a high amount of vacancies at once and create a glut of supply, driving leases and property values lower. Additionally, we'd almost certainly realize an economic loss on any and all improvements made to the properties that were specific to the marijuana industry and we would likely lose any and all investments in the US market that were marijuana related.

Further, and while we do not intend to harvest, distribute or sell cannabis, by leasing facilities to growers of marijuana, we could be deemed to be participating in marijuana cultivation, which remains illegal under federal law, and exposes us to potential criminal liability, with the additional risk that our properties could be subject to civil forfeiture proceedings.

Laws and regulations affecting the regulated marijuana industry are constantly changing, which could detrimentally affect our proposed operations, and we cannot predict the impact that future regulations may have on us.

Local, state and federal medical marijuana laws and regulations are broad in scope and subject to evolving interpretations, which could require us to incur substantial costs associated with compliance or alter our business plan. In addition, violations of these laws, or allegations of such violations, could disrupt our business and result in a material adverse effect on its operations. In addition, it is possible that regulations may be enacted in the future that will be directly applicable to our proposed business. We cannot predict the nature of any future laws, regulations, interpretations or applications, nor can we determine what effect additional governmental regulations or administrative policies and procedures, when and if promulgated, could have on our business.

Our proposed business is dependent on state laws pertaining to the marijuana industry.

Continued development of the marijuana industry is dependent upon continued legislative authorization of marijuana at the state level. Any number of factors could slow or halt progress in this area. Further, progress, while encouraging, is not assured. While there may be ample public support for legislative action, numerous factors impact the legislative process. Any one of these factors could slow or halt use of marijuana, which would negatively impact our proposed business.

As of January 13, 2015, 23 states and the District of Columbia allow their residents to use medical marijuana. Voters in the states of Colorado and Washington approved and implemented regulations to legalize cannabis for adult use. The state laws are in conflict with the federal Controlled Substances Act, which makes marijuana use and possession illegal on a national level. The Obama administration has made numerous statements (as memorialized in the "Cole Memo") indicating that it is not an efficient use of resources to direct federal law enforcement agencies to prosecute those lawfully abiding by state-designated laws allowing the use and distribution of medical marijuana. However, there is no guarantee that the administration will not change its stated policy regarding the low-priority enforcement of federal laws. Additionally, any new administration that follows could change this policy and decide to stringently enforce the federal laws. Any such change in the federal government’s enforcement of current federal laws could cause significant financial damage to the Company and its stockholders.

The Company derives revenue from state-approved marijuana growers and dispensary facilities.

While we do not grow or distribute marijuana we derive rental income from state-approved marijuana growers and dispensary facilities which could be deemed to be aiding and abetting illegal activities, a violation of federal law. If the Federal government sought to enforce marijuana laws in states that have legalized, the same, we could be prosecuted under federal law, which could result in fines, penalties, potential forfeitures and a cessation of  our current business activities.

FDA regulation of marijuana under the Food, Drug and Cosmetic Act, GMPs and possible registration of facilities where medical marijuana is grown.

Should the Federal government legalize marijuana for medical use, it is possible that the U.S. Food and Drug Administration would seek to regulate it under the Food, Drug and Cosmetics Act of 1938. Additionally, the FDA may issue rules and regulations including CGMPs (certified good manufacturing practices) related to the growth, cultivation, harvesting and processing of medical marijuana. Clinical trials may be needed to verify efficacy and safety. It is also possible that the FDA would require that facilities where medical marijuana is grown be registered with the FDA and comply with certain federally prescribed regulations. In the event that some or all of these regulations are imposed, we do not know what the impact would be on the medical marijuana industry, what costs, requirements and possible prohibitions may be enforced. If we or our tenants are unable to comply with the regulations and or registration as prescribed by the FDA, we and or our tenants may be unable to continue to operate their and our business in its current form or at all.

Our clients may have difficulty accessing the service of banks, which may make it difficult for them to contract with us for their real estate needs.

On February 14, 2014, The U.S. government issued rules allowing banks to legally provide financial services to state-licensed marijuana businesses. A memorandum issued by the Justice Department to federal prosecutors re-iterated guidance previously given, this time to the financial industry that banks can do business with legal marijuana businesses and "may not" be prosecuted. The Treasury Department's Financial Crimes Enforcement Network (FinCEN) issued guidelines to banks that "it is possible to provide financial services" to state-licensed marijuana businesses and still be in compliance with federal anti-money laundering laws. The guidance falls short of the explicit legal authorization that banking industry officials had pushed the government to provide and to date it is not clear what if any banks have relied on the guidance and taken on legal marijuana companies as clients. The aforementioned policy may be administration dependent and a change in presidential administrations may cause a policy reversal and a retraction of current policies, wherein legal marijuana businesses may not have access to the banking industry. The inability of potential clients in our target market to open accounts and otherwise use the service of banks may make it difficult for them to contract with us.

Risks Related to Real Estate

We will be subject to general real estate risks.

We will be subject to risks generally incident to the ownership of real estate, including: (a) changes in general economic or local conditions; (b) changes in supply of, or demand for, similar or competing properties in the area; (c) bankruptcies, financial difficulties or defaults by tenants or other parties; (d) increases in operating costs, such as taxes and insurance; (e) the inability to achieve full stabilized occupancy at rental rates adequate to produce targeted returns; (f) periods of high interest rates and tight money supply; (g) excess supply of rental properties in the market area; (h) liability for uninsured losses resulting from natural disasters or other perils; (i) liability for environmental hazards; and (j) changes in tax, real estate, environmental, zoning or other laws or regulations. For these and other reasons, no assurance can be given that we will be profitable.

The economic success of an investment in  the Company depends directly upon the results of operations of our properties.

Fluctuations in vacancy rates, rent schedules and operating expenses can adversely affect operating results or render the sale or refinancing of the properties difficult or unattractive. We cannot assure that certain assumptions as to the future levels of occupancy of our properties, cost of repositioning our properties in the marketplace or future costs of operating our properties will be accurate since many of such matters will depend on events and factors beyond our control. Such factors include, without limitation: continued validity and enforceability of the leases; vacancy rates for properties similar to our properties; financial resources of tenants and rent levels near our properties; adverse changes in local population trends, market conditions, neighborhood values, local economic and social conditions; supply and demand for property such as our properties; competition from similar properties; interest rates; real estate tax rates, governmental rules, regulations and fiscal policies; the enactment of unfavorable real estate, rent control, environmental or zoning laws and hazardous material laws; and uninsured losses and effects of inflation.

Our business model depends upon the availability of private financing.

Our ability to acquire, operate and sell properties and achieve the targeted financial performance for such properties depends, in large measure, on its ability to obtain financing in amounts and on terms that are favorable and in some instances, allow for significant leverage at reasonable interest rates. The capital markets in the United States have recently undergone a turbulent period in which lending was severely restricted. Although there appears to be signs that financial institutions are resuming lending, the market has not yet returned to its pre-2008 state; obtaining favorable financing in the current environment remains challenging. If this market does not improve over the next few years, or if it worsens, our financial performance could be adversely affected.

A general economic downturn could adversely affect the economic performance of the properties we own.

Weakness in regional and national economies could materially and adversely impact the tenants in our properties and their business operations. If tenants were to suffer a serious economic setback, they might not be able to pay rent due under their leases. If a number of tenants are unable to pay the rent, we may not receive the anticipated amount of income from our properties or may not be able to pay the debt service to the lenders. In a worst case scenario, this could result in a complete loss of those properties if the lenders were to foreclose. Further, a general or local weakness in economic conditions may reduce the demand for buyers of those properties. There is no assurance that any general appreciation in real estate values or our properties (and currently relatively low capitalization rates) will continue.

We will compete with others for suitable properties.

We will experience competition for real estate investments from individuals, corporations and other entities engaged in real estate investment activities, many of whom have greater financial resources than us. Competition for investments may have the effect of increasing costs and reducing returns to our investors.

Loans the we obtain may prohibit prepayment or require additional payments.

Property loans obtained may prohibit prepayment prior to maturity or some earlier date. If we sought to voluntarily prepay a loan, it may be required to make a defeasance payment to the lender. The defeasance payment is intended to provide the lender with a sum of money that would earn an amount comparable to the interest payments due on the loan through maturity. If interest rates declined prior to defeasance, the defeasance payment generally would be higher; if interest rates increased, the defeasance payment generally would be lower. The inability to prepay loans for a number of years and the defeasance payments described above may adversely impact our ability to sell certain of our properties as contemplated, although a qualified buyer approved by a lender may be able to assume a loan.

There may be restrictions on transfer and encumbrance of our properties.

The terms of any loan are expected to prohibit the transfer or further encumber the properties or any interest in our properties except with a lender's prior consent, which consent each lender is expected to be able to withhold. When borrowing arrangements are entered into by the company, the resulting loans may include provisions that restrict our activities in the management of the the properties. The loans may provide that upon violation of these restrictions on transfer or encumbrance, a lender may declare the entire amount of the loan to be immediately due and payable. If we are unable to obtain replacement financing or otherwise fails to immediately repay the loan in full, the lender may invoke its remedies under the loan, including proceeding with a foreclosure sale that could result in our losing our entire interest in the property.

Indebtedness and high leverage could adversely affect our profits.

Our properties may be leveraged. Such leverage could have negative consequences, including the following: (a) our ability to obtain additional financing for working capital, capital expenditures, or other purposes may be impaired in the future; (b) certain borrowings may be at variable rates of interest, which will expose the company to the risk of increased interest rates; and (c) leverage may limit our flexibility to adjust to changing economic or market conditions, reduce our ability to withstand competitive pressures, make us more vulnerable to a downturn in general or local economic conditions and substantially increase our risk of loss.

If debt payments to note holder are not made, we could lose our investment in our real estate properties.

Loans obtained from investors to fund the acquisition of real estate properties will in most cases be secured by a first mortgage on the properties. If debt service payments are not made as required, a lender could foreclose on the property securing its debt. This could cause the Company to lose part or all of its investment, which in turn would adversely affect our financial performance.

Lenders may require restrictive covenants.

The loan instruments may contain financial and other restrictive covenants that will limit the company's ability to, among other things, borrow additional funds.

Financial arrangements may involve balloon payment obligations.

It is anticipated that many of the financing arrangements will require a lump-sum or “balloon” payment at maturity. The ability to make a balloon payment at maturity is uncertain and may depend upon the borrower's ability to obtain additional financing. At the time the balloon payment is due, the borrower may or may not be able to refinance the existing loan on favorable terms. The effect of an unfavorable refinancing or a forced sale could adversely affect the company's financial performance.

High interest rates may make it difficult to finance or refinance properties.

If debt is unavailable at reasonable rates, we may not be able to finance acquisition of real estate properties, refinance debt when the loan comes due, or refinance such debt on favorable terms. If interest rates are higher upon refinancing debt, income or gain would be reduced. We may be unable to refinance such debt at appropriate times, which could result in the foreclosure of our properties. If any of these events occur, cash flow would be reduced. This, in turn, would materially impair the results of operations of the company.

Property purchase agreements may not provide adequate protection.

Properties may be sold to us in an “as is” condition. Further, representations and warranties in a property purchase agreement typically do not survive the closing. Accordingly, we will engage third parties to conduct the required due diligence involving engineering, radon, environmental, title and other inspections during the applicable due diligence investigation period. However, upon acquisition of properties, we will have limited recourse with respect to conditions affecting the property that were not discovered during this investigation period. The cost of unexpected repairs and remediation work could be material and would therefore have an adverse effect on the Company’s financial condition and results of operations. If claims arising as a result of a breach of a representation or warranty are discovered after this period, we may not be able to seek indemnification from the seller and would therefore suffer the financial consequences of such a breach, which could be material. Further, even if we were entitled to indemnification from the seller, no assurance can be given that the seller would have sufficient funds to satisfy any such indemnification claims.

Non-refundable deposits and costs may be incurred if acquisitions fail to close.

Property acquisition transactions may require deposits and costs to be incurred by the company which may be non-refundable if such transactions fail to close, thereby reducing funds otherwise available to us.

Environmental liabilities are possible and can be costly.

Federal, state and local laws impose liability on a landowner for releases or the otherwise improper presence on the premises of hazardous substances. This liability is without regard to fault for, or knowledge of, the presence of such substances. A landowner may be held liable for hazardous materials brought onto a property before it acquired title and for hazardous materials that are not discovered until after it sells the property. Similar liability may occur under applicable state law. Sellers of properties may make only limited representations as to the absence of hazardous substances. If any hazardous materials are found within our properties in violation of law at any time, we may be liable for all cleanup costs, fines, penalties and other costs. This potential liability will continue after we sell the property(ies) and may apply to hazardous materials present within the property(ies) before the we acquire the property(ies). If losses arise from hazardous substance contamination which cannot be recovered from a responsible party, the financial viability of the property(ies) may be adversely affected. It is expected that each lender will require us to obtain, and we plan to obtain before any purchase, a Phase I environmental site assessment (“ESA”) to determine the existence of hazardous materials and other environmental problems prior to entering into a loan. However, a Phase I ESA generally does not involve invasive testing, but instead is limited to a physical walk through or inspection of the property(ies) and a review of governmental records. It is possible that we will purchase property(ies) with known or unknown environmental problems which may require material expenditures for remediation.

Uninsured losses may be experienced by the Company.

While we intend to carry comprehensive insurance on our properties, including fire, liability and extended coverage insurance, there are certain risks that may be uninsurable or not insurable on terms that management believes to be economical. For example, management may not obtain insurance against floods, terrorism, mold-related claims, or earthquake insurance. If such an event occurs to, or causes the damage or destruction of, a property, we could suffer financial losses.

Non-compliance with the Americans with Disabilities Act may create liabilities.

If any of our properties are not in compliance with the Americans with Disabilities Act of 1990, as amended (the “ADA”), we may be required to pay for any required improvements. Under the ADA, public accommodations must meet certain federal requirements related to access and use by disabled persons. The ADA requirements could require significant expenditures and could result in the imposition of fines or an award of damages to private litigants. We cannot assure that ADA violations do not or will not exist at any of our properties.

Risks Related to Our Stock

Our common stock is currently deemed a "penny stock," which makes it more difficult for our investors to sell their shares.

Our common stock is subject to the "penny stock" rules adopted under Section 15(g) of the Exchange Act. The penny stock rules generally apply to companies whose common stock is not listed on the Nasdaq Stock Market or other national securities exchange and trades at less than $4.00 per share, other than companies that have had average revenue of at least $6,000,000 for the last three years or that have tangible net worth (i.e., total assets less intangible assets and liabilities) of at least $5,000,000 ($2,000,000 if the company has been operating for three or more years). These rules require, among other things, that brokers who trade penny stock to persons other than "established customers" complete certain documentation, make suitability inquiries of investors and provide investors with certain information concerning trading in the security, including a risk disclosure document and quote information under certain circumstances. Many brokers have decided not to trade penny stocks because of the requirements of the penny stock rules and, as a result, the number of broker-dealers willing to act as market makers in such securities is limited. If we remain subject to the penny stock rules for any significant period, it could have an adverse effect on the market, if any, for our common stock. If our common stock is subject to the penny stock rules, investors will find it more difficult to dispose of our common stock.

Volatility in our common stock price may subject us to securities litigation.

The market for our common stock is characterized by significant price volatility when compared to seasoned issuers, and we expect that our share price will continue to be more volatile than a seasoned issuer for the indefinite future. In the past, plaintiffs have often initiated securities class action litigation against a company following periods of volatility in the market price of its securities. We may, in the future, be the target of similar litigation. Securities litigation could result in substantial costs and liabilities to us and could divert our management's attention and resources from managing our operations and business.

Our management controls a large block of our common stock that will allow them to control us.

As of March 18, 2015, members of our management team beneficially own approximately 86% of our outstanding common stock. As such, management owns approximately 86% of our voting power and controls the Company. As a result, management has the ability to control substantially all matters submitted to our stockholders for approval including:

• election of our board of directors;
• removal of any of our directors;
• amendment of our articles of incorporation or bylaws; and
• adoption of measures that could delay or prevent a change in control or impede a merger, takeover or other business combination involving us.

In addition, management's stock ownership may discourage a potential acquirer from making a tender offer or otherwise attempting to obtain control of us, which in turn could reduce our stock price or prevent our stockholders from realizing a premium over our stock price.

Our board of directors can issue additional shares of common and preferred stock which will dilute existing shareholders.

We can sell additional shares of common stock without consulting stockholders and without offering shares to existing stockholders, which would result in dilution of existing stockholders' interests in MJ Holdings and could depress our stock price.

Our articles of incorporation authorize 95,000,000 shares of common stock, of which 13,886,794 are outstanding as of March 18, 2015, and 5,000,000 shares of preferred stock, of which none are outstanding. Our Board of Directors is authorized to issue additional shares of our common stock and preferred stock. Although our Board of Directors intend to utilize its reasonable business judgment to fulfill its fiduciary obligations to our stockholders in connection with any future issuance of our capital stock, the future issuance of

additional shares of our common stock or preferred stock convertible into common stock would cause immediate, and potentially substantial, dilution to our existing stockholders, which could also have a material effect on the market value of the shares.

We have never paid dividends on our Common Stock and We do not expect to pay any cash dividends in the foreseeable future.

We have never paid dividends on our Common Stock and we intend to retain our future earnings, if any, in order to reinvest in the development and growth of our business and, therefore, do not intend to pay dividends on our common stock for the foreseeable future. Any future determination to pay dividends will be at the discretion of our board of directors and will depend on our financial condition, results of operations, capital requirements, and such other factors as our board of directors deems relevant. Accordingly, investors may need to sell their shares of our common stock to realize a return on their investment, and they may not be able to sell such shares at or above the price paid for them.

Our board could issue "blank check" preferred stock without stockholder approval with the effect of diluting existing stockholders and impairing their voting rights, and provisions in our charter documents could discourage a takeover that stockholders may consider favorable.

Our certificate of incorporation authorize the issuance of up to 5,000,000 shares of "blank check" preferred stock with designations, rights and preferences as may be determined from time to time by our board of directors. Our board is empowered, without stockholder approval, to issue a series of preferred stock with dividend, liquidation, conversion, voting or other rights which could dilute the interest of, or impair the voting power of, our common stockholders. The issuance of a series of preferred stock could be used as a method of discouraging, delaying or preventing a change in control. For example, it would be possible for our board of directors to issue preferred stock with voting or other rights or preferences that could impede the success of any attempt to effect a change in control of our company.

Our bylaws also allow our board of directors to fix the number of directors. Our stockholders do not have cumulative voting in the election of directors.

Any aspect of the foregoing, alone or together, could delay or prevent unsolicited takeovers and changes in control or changes in our management.

There is no established market four our stock and our common stock is not listed on a stock exchange; as a result, stockholders may not be able to resell their shares at or above the price paid for them.

There is not established market for our common stock. Our common stock trades on the OTC market under ticker symbol MJNE; stocks which trade on the OTC markets tend to be illiquid and volatile and could be subject to significant fluctuations due to changes in sentiment in the market regarding our operations or business prospects, among other factors. Further, our common stock is not listed on a stock exchange, nor do we currently intend to list the common stock on a stock exchange. There are no assurances that an active public market for our common stock will develop. Therefore, stockholders may not be able to sell their shares at or above the price they paid for them.

Among the factors that could affect our stock price are:

• industry trends and the business success of our vendors;
• actual or anticipated fluctuations in our quarterly financial and operating results and operating results that vary from the expectations of our management or of securities analysts and investors;
• our failure to meet the expectations of the investment community and changes in investment community recommendations or estimates of our future operating results;
• announcements of strategic developments, acquisitions, dispositions, financings, product developments and other materials events by us or our competitors;
• regulatory and legislative developments;
• litigation;
• general market conditions;
• other domestic and international macroeconomic factors unrelated to our performance; and
• additions or departures of key personnel.

Sales by our stockholders of a substantial number of shares of our common stock in the public market could adversely affect the market price of our common stock.

A substantial portion of our total outstanding shares of common stock may be sold into the market at any time. While most of these shares are held by two of our principal stockholders, who are also executive officers, and we believe that such holders have no current intention to sell a significant number of shares of our stock, if either of these principal stockholders were to decide to sell large amounts of stock over a short period of time such sales could cause the market price of our common stock to drop significantly, even if our business is doing well.

Further, the market price of our common stock could decline as a result of the perception that such sales could occur. These sales, or the possibility that these sales may occur, also might make it more difficult for us to sell equity securities in the future at a time and price that we deem appropriate. We currently have 13,886,794 shares of common stock outstanding, 319,000 of which are freely tradable without restriction under the Securities Act.

Having no independent directors on our board limits our ability to establish effective independent corporate governance procedures.

We do not have any independent directors on our board of directors nor do we maintain a standing audit committee, compensation committee or nominating and governance committee. Accordingly, without independent directors, we cannot establish effective standing board committees to oversee functions such as audit, compensation and corporate governance. In addition, our executive officers are also directors, Shawn Chemtov, and Adam Laufer are co-chairmen of our board of directors and our co-CEOs respectively. This structure gives our executive officers significant control over all corporate issues.

Unless and until we have a larger board of directors that would include a majority of independent members, there will be limited oversight of our executive officers' decisions and activities and little ability for you to challenge or reverse those activities and decisions, even if they are not in your best interests.

If we fail to maintain an effective system of internal control over financial reporting, we may not be able to accurately report our financial results. As a result, we could become subject to sanctions or investigations by regulatory authorities and/or stockholder litigation, which could harm our business and have an adverse effect on our stock price.

As a public reporting company, we are required to comply with the Sarbanes-Oxley Act of 2002 and the related rules and regulations of the SEC, including periodic reports, disclosures and more complex accounting rules. As directed by Section 404 of Sarbanes-Oxley, the SEC adopted rules requiring public companies to include a report of management on a company's internal control over financial reporting in their Annual Report on Form 10-K. Based on current rules, we are required to report under Section 404(a) of Sarbanes-Oxley regarding the effectiveness of our internal control over financial reporting.

Requirements associated with being a reporting public company will require significant company resources and management attention.

We are a voluntary filer under the Securities Exchange Act of 1934, as a result of having filed a Registration Statement on Form S-1 on June 28, 2010, which was declared effective on April 18, 2011, pursuant to section15(d) of the Securities Exchange Act of 1934. As a voluntary filer we intend to continue to file periodic reports to maintain current information with the SEC on Forms 10-Q, 10-K and 8-K as prescribed by the rules and Regulations of the Securities Exchange Act of 1934. We work with independent legal, accounting and financial advisors to ensure adequate disclosure and control systems to manage our growth and our obligations as a company that files reports with the SEC. These areas include corporate governance, internal control, internal audit, disclosure controls and procedures and financial reporting and accounting systems. However, we cannot assure you that these and other measures we may take will be sufficient to allow us to satisfy our obligations as an SEC reporting company on a timely basis.

In addition, compliance with reporting and other requirements applicable to SEC reporting companies will create additional costs for us, will require the time and attention of management and will require the hiring of additional personnel and legal, audit and other professionals. We cannot predict or estimate the amount of the additional costs we may incur, the timing of such costs or the impact that our management's attention to these matters will have on our business.

Our officers and directors have limited liability, and we are required in certain instances to indemnify our officers and directors for breaches of their fiduciary duties.

We have adopted provisions in our Articles of Incorporation and Bylaws, which limit the liability of our officers and directors and provide for indemnification by us of our officers and directors to the full extent permitted by Nevada corporate law. Our articles generally provide that our officers and directors shall have no personal liability to us or our shareholders for monetary damages for breaches of their fiduciary duties as directors, except for breaches of their duties of loyalty, acts or omissions not in good faith or which involve intentional misconduct or knowing violation of law, acts involving unlawful payment of dividends or unlawful stock purchases or redemptions, or any transaction from which a director derives an improper personal benefit. Such provisions substantially limit our shareholders' ability to hold officers and directors liable for breaches of fiduciary duty, and may require us to indemnify our officers and directors.

Any future litigation could have a material adverse impact on our results of operations, financial condition and liquidity, particularly since we do not currently have director and officer insurance. Our lack of D&O insurance may also make it difficult for us to retain and attract talented and skilled directors and officers.

From time to time we may be subject to litigation, including potential stockholder derivative actions. Risks associated with legal liability are difficult to assess and quantify, and their existence and magnitude can remain unknown for significant periods of time. To date we have not procured directors and officers liability ("D&O") insurance to cover such risk exposure for our directors and officers. Such insurance generally pays the expenses (including amounts paid to plaintiffs, fines, and expenses including attorneys' fees) of officers and directors who are the subject of a lawsuit as a result of their service to the Company. While we are currently seeking such insurance, there can be no assurance that we will be able to do so at reasonable rates or at all, or in amounts adequate to cover such expenses should such a lawsuit occur. While neither Nevada law nor our articles of incorporation or bylaws require us to indemnify or advance expenses to our officers and directors involved in such a legal action, we expect that we would do so to the extent permitted by Nevada law. Without D&O insurance, the amounts we would pay to indemnify our officers and directors should they be subject to legal action based on their service to the Company could have a material adverse effect on our financial condition, results of operations and liquidity. Further, our lack of D&O insurance may make it difficult for us to retain and attract talented and skilled directors and officers, which could adversely affect our business.

Item 1B. Unresolved Staff Comments

None

Item 2. Properties

The following table provides certain summary information about our real estate properties as of December 31, 2014:

We currently are using office space, provided to us by our co-CEO Shawn Chemtov, at no cost.

Item 3. Legal Proceedings

There are no legal proceedings which are pending or have been threatened against us or any of our officers, directors or control persons of which management is aware.

Item 4. Mine Safety Disclosures

Not applicable 

PART II

Item 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities

Market Information

Our shares of common stock are currently quoted on the OTC Bulletin Board under the symbol MJNE. The following table sets forth the high and low closing bid prices of our common stock for the quarterly periods for the years ended December 31, 2014 and 2013. These bid prices represent prices quoted by broker-dealers on the OTC Bulletin Board. The quotations reflect inter-dealer prices, without retail mark-up, mark-down or commissions, and may not represent actual transactions.

Holders

As of March 18, 2015, there were 21 shareholders of record. However, we believe that there are more beneficial holders of our common stock as beneficial holders may hold their stock in "street" name.

Dividends

We did not pay any cash dividends on our common stock during 2014 or 2013 and have no intention of doing so in the foreseeable future. We intend to retain any earnings for use in our operations and the expansion of our business. Any future determination to declare and pay cash dividends will be made at the discretion of our board of directors, subject to applicable laws and will depend on our financial condition, results of operations, liquidity, capital requirements, general business conditions, any contractual restriction on the payment of dividends and other factors that our board of directors may deem relevant.

Securities Authorized for Issuance Under Equity Compensation Plans

None.

Item 6. Selected Financial Data

Smaller reporting companies are not required to provide the information required by this item.

Item 7 . Management's Discussion and Analysis of Financial Condition and Results of Operations

The following management's discussion and analysis of financial condition and results of operations should be read in conjunction with our audited consolidated financial statements and related notes thereto included elsewhere in this report.

Executive Overview and Plan of Operation

We were originally incorporated on November 17, 2006, as Securitas EDGAR Filings, Inc. under the laws of the State of Nevada. Prior to the formation of Securitas EDGAR Filings Inc., the business was operated as Xpedient EDGAR Filings, LLC, a Florida Limited Liability Company, formed on October 31, 2005. On November 21, 2005, Xpedient EDGAR Filings LLC amended its Articles of Organization to change its name to Securitas EDGAR Filings, LLC. On January, 21 2009, Securitas Edgar Filings LLC merged into Securitas Edgar Filings, Inc., a Nevada corporation. Since our inception and until February 2014, we operated as an EDGAR filing agent, wherein we assisted company's in preparing and filing periodic reports with the United States Securities and Exchange Commission ("SEC") on the EDGAR, (electronic data gathering analysis retrieval) platform.

On February 14, 2014, we amended and restated our Articles of Incorporation and changed our name to MJ Holdings, Inc., concurrent with our name change, we changed our business model and began exploring opportunities in the legal marijuana industry, principally in real estate opportunities in connection therewith. Our fiscal year is a calendar year ending December 31.

Our principal executive offices are located at 4141 NE 2nd Avenue Suite 204A, Miami, Florida 33137, and our telephone number is (305) 455-1800.

How We Plan to Generate Revenue

MJ Holdings acquires and leases real estate to licensed marijuana operators. Additionally, MJ Holdings plans to explore ancillary opportunities in the regulated marijuana industry.

As of December 31, 2014, we have acquired two real estate properties in Colorado that are leased to state licensed marijuana operators and generating $44,268 in monthly rental income. The following table provides certain summary information about our real estate properties:

The Company does not and will not, until such time as Federal law allows, grow, harvest, distribute or sell marijuana or any substances that violate the laws of the United States of America.

As a participant in the regulated marijuana industry, we intend to:

• Acquire and lease real estate zoned for legalized marijuana operations;
• Finance real estate acquisitions and facilitate loan programs backed by real estate assets;
• Offer real estate structures that maximize working capital to legal marijuana operators; and,
• Position ourselves to operate legal marijuana operations in the U.S. if and when Federal laws reconcile with state laws and marijuana becomes legal under federal law.

Critical Accounting Policies, Judgments and Estimates

This

Our discussion and analysis of our financial condition and results of operations areis based upon our consolidated financial statements, which have been prepared in accordance with accounting principles generally accepted in the United States of America ("GAAP"U.S. Generally Accepted Accounting Principles (“GAAP”). The preparation of these consolidated financial statements in conformity with GAAP requires managementus to make estimates, judgments and assumptions that affect the reported amounts of assets, liabilities, revenues and liabilitiesexpenses, and the related disclosure of contingent assets and liabilities. We base our estimates on historical experience and on various other assumptions that we believe are reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates.

An accounting policy is considered to be critical if it requires an accounting estimate to be made based on assumptions about matters that are highly uncertain at the date oftime the estimate is made, and if different estimates that reasonably could have been used, or changes in the accounting estimate that are reasonably likely to occur, could materially impact the consolidated financial statements, andstatements. We believe that the reported amounts of net revenue and expenses duringfollowing critical accounting policies reflect the reporting periods. Actual results could differ from those estimates. Thesemore significant estimates and assumptions include valuing equity securities, derivative instruments, hybrid instruments, share based payment arrangements, deferred taxes and related valuation allowances. Certain of our estimates could be affected by external conditions, including those unique to our industry, and general economic conditions. It is possible that these external factors could have an effect on our estimates that could cause actual results to differ from our estimates. The Company re-evaluates all of its accounting estimates at least quarterly based on these conditions and records adjustments when necessary.

Stock-Based Compensation

We account for stock-based compensation under Accounting Standard Codification Topic ("ASC")718, "Compensation-Stock Compensation" ("ASC 718"). These standards define a fair value based method of accounting for stock-based compensation. In accordance with ASC 718,used in the cost of stock-based compensation is measured at the grant date based on the valuepreparation of the awardconsolidated financial statements.

Deferred Leasing Costs

Commissions and is recognized overother direct costs associated with the vesting period. The valueacquisition of the stock-based award is determined using the Black-Scholes-Merton valuation model, whereby compensation cost is the estimated fair value of the award as determined by the valuation model at the grant datetenants, or other measurement date. The resulting amount is charged to expenselessees, are capitalized and amortized on thea straight-line basis over the periodterms of the related leases. Costs associated with unsuccessful leasing opportunities are expensed.

Leasing commissions of $205,077 and $0 were deferred during the years ended December 31, 2014 and 2013, respectively. Deferred leasing costs charged to property expenses  for the years ended December 31, 2014 and 2013, were $2,532 and $0, respectively. As of December 31, 2014, $202,545 of deferred leasing costs are included on the Balance Sheet as a deferred asset.

Debt Issuance Costs

Costs associated with obtaining, closing, and modifying loans and/or debt instruments such as, but not limited to placement agent fees, attorney fees and state documentary fees are capitalized and charged to interest expense over the term of the loan.

Debt issuance costs of $19,152 and $0 were capitalized during the years ended December 31, 2014 and 2013, respectively. Debt issuance costs charged to interest expense for the years ended December 31, 2014 and 2013, were $5,218 and $0, respectively. As of December 31, 2014, $13,934 of debt issuance costs are included on the Balance Sheet within the Prepaid expenses and other assets.

Real Estate Property

Real estate property is recorded at cost, less accumulated depreciation and amortization. Real estate property, excluding land, is depreciated using the straight-line method over the estimated useful life of the respective assets. Leasehold improvements are amortized using the straight-line method over the shorter of the related lease term or useful life. Maintenance, repairs, and minor improvements are charged to expense as incurred; major renewals and betterments that extend the useful life of the associated asset are capitalized. When real estate property is sold or retired, the related cost and accumulated depreciation are removed from the accounts and any gain or loss is included in which we expect to receiveresults of operations for the benefit, which is generally the vesting period.

Revenue Recognition

Before revenue can be recognized, four basic criteria must be met: persuasive evidence of an arrangement exists; the delivery has occurred or services have been rendered; the fee is fixed or determinable; and collectability is reasonably assured.

The Company's revenues are rental income generated by leasing acquired real estate properties to licensed marijuana operators. All leases are classified as operating leases. Rental income is recognized on a straight-line basis over the terms of the leases. Straight-line rent is recognized for all tenants with contractual fixed increases in rent. Deferred rent receivable represents rental revenue recognized on a straight-line basis in excess of billed rents. Reimbursements from tenants for real estate taxes and other recoverable operating expenses are recognized as rental income in the period the applicable costs are incurred. 

Stock-Based Compensation

The Company estimates the fair values of share-based payments on the date of grant using a Black-Scholes option pricing model, which requires assumptions for the expected volatility of the share price of our common stock, the expected dividend yield, and a risk-free interest rate over the expected term of the stock-based financial instrument.

Since the number of outstanding and free-trading shares of the Company’s common stock is limited and the trading volume is relatively low, we do not have sufficient company specific information regarding the volatility of our share price on which to base an estimate of expected volatility. As a result, we use the average historical volatilities of similar entities within our industry as the expected volatility of our share price.

The expected dividend yield is 0% as the Company has not paid any dividends on its common stock and does not anticipate it will pay any dividends in the foreseeable future.

The risk-free interest rate is based on the U.S. Treasury yield curve in effect at the time of the grant date with a remaining term equal to the expected term of the stock-based award.

For stock-based financial instruments issued to parties other than employees, we use the contractual term of the financial instruments as the expected term of the stock-based financial instruments.

The assumptions used in calculating the fair value of stock-based financial instruments represent our best estimates, but these estimates involve inherent uncertainties and the application of management judgment. As a result, if factors change and we use different assumptions, our stock-based compensation expense could be materially different in the future.

Income Taxes

Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss, capital loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date.

The Company recognizes the effect of income A valuation allowance on deferred tax positions only if those positions areassets is established when management considers it is more likely than not that some portion or all of the deferred tax assets will not be realized.

Tax benefits from an uncertain tax position are only recognized if it is more likely than not that the tax position will be sustained on examination by the taxing authorities, based on the technical merits of the position. The tax benefits recognized in the financial statements from such a position are measured based on the largest benefit that has a greater than fifty percent likelihood of being sustained. Recognized income tax positions are measured at the largest amount that is greater than 50% likely of being realized. Changes in recognition or measurement are reflected in the period in which the change in judgment occurs. The Company records interestrealized upon ultimate resolution. Interest and penalties related to unrecognized tax benefits are recorded as incurred as a component of general and administrative expenses. Our consolidated federalincome tax return and any state tax returns are not currently under examination.

Derivative Instruments

expense. The Company accountshas not recognized any tax benefits from uncertain tax positions for free-standing derivative instruments and hybrid instruments that contain embedded derivative features in accordance with ASC Topic No. 815, "Accounting for Derivative Instruments and Hedging Activities," ("ASC 815") as well as related interpretations of this topic. In accordance with this topic, derivative instruments and hybrid instruments are recognized as either assets or liabilities in the balance sheet and are measured at fair values with gains or losses recognized in earnings. Embedded derivatives that are not clearly and closely related to the host contract are bifurcated and are recognized at fair value with changes in fair value recognized as either a gain or loss in earnings. The Company determines the fair value of derivative instruments and hybrid instruments based on available market data using appropriate valuation models, giving consideration to allany of the rights and obligations of each instrument.reporting periods presented.

The Company estimates fair values of derivative instruments and hybrid instruments using various techniques (and combinations thereof) that are considered to be consistent with the objective of measuring fair values. In selecting the appropriate technique, the Company considers, among other factors, the nature of the instrument, the market risks that it embodies and the expected means of settlement. For less complex instruments, such as free-standing warrants, the Company generally uses the Black-Scholes-Merton valuation model, adjusted for the effect of dilution, because it embodies all of the requisite assumptions (including trading volatility, estimated terms, dilution and risk free rates) necessary to fair value these instruments. Estimating fair values of derivative financial instruments requires the development of significant and subjective estimates that may, and are likely to, change over the duration of the instrument with related changes in internal and external market factors. In addition, option-based techniques (such as the Black-Scholes-Merton valuation model) are highly volatile and sensitive to changes in the trading market price of the Company's common stock. Since derivative financial instruments are initially and subsequently carried at fair values, the Company's income (loss) going forward will reflect the volatility in these estimates and assumption changes. Under ASC 815, increases in the trading price of the Company's common stock and increases in fair value during a given financial quarter result in the application of non-cash derivative expense. Conversely, decreases in the trading price of the Company's common stock and decreases in trading fair value during a given financial quarter result in the application of non-cash derivative income.

Other Contingencies

In the ordinary course of business, we are involved in legal proceedings regarding contractual and employment relationships, product liability claims, trademark rights, and a variety of other matters. We record contingent liabilities resulting from claims against us, including related legal costs, when a loss is assessed to be probable and the amount of the loss is reasonably estimable. Assessing probability of loss and estimating probable losses requires analysis of multiple factors, including, in some cases, judgments about the potential actions of third party claimants and courts. Recorded contingent liabilities are based on the best information available and actual losses in any future period are inherently uncertain. If future adjustments to estimated probable future losses or actual losses exceed our recorded liability for such claims, we would record additional charges as other (income) expense, net during the period in which the actual loss or change in estimate occurred. In addition to contingent liabilities recorded for probable losses, we disclose contingent liabilities when there is a reasonable possibility that the ultimate loss will materially exceed the recorded liability. Currently, we do not believe that any of our pending legal proceedings or claims will have a material impact on our financial position or results of operations.

Results of Operations For the Year Ended December 31, 2013 Compared to the Year Ended December 31, 2012

The Company's previous business strategy as an edgar filing agent yielded no income during the years ended December 31, 2013 and 2012.  The lack of income from its edgar conversion and submission business was due to a shift in technology as the SEC adopted XBRL and interactive data formatting requirement for reporting companies and the Company was not successful in retaining any of its customer base through the transition.

General and administrative expensesRevenue

Revenue for the year ended December 31, 2013 were $24,958. This2014, was an increase$108,871 compared with revenue of $11,350, or 83%, as compared to general and administrative expenses of $13,608$0 for the year ended December 31, 2012.2013. Revenue for 2014 was generated as a result of rental income from operating leases for two real estate properties acquired in June 2014 and September 2014.

Certain property expenses are reimbursable to the Company through our existing leasing arrangements. During the year ended December 31, 2014, the Company recorded $13,157 of revenue pursuant to operating lease agreements to offset a portion of the property expenses incurred during the respective periods.

Operating Expenses

Property expenses consist of those costs associated with acquiring and leasing real estate properties. These expenses include costs for commissions, appraisals, real property taxes, insurance, repairs and maintenance. For the year ended December 31, 2014, we incurred property expenses of $72,859 compared with $0 for the year ended December 31, 2013. The property expenses for 2014 were the result of costs incurred from the two real estate properties acquired in 2014 and from costs incurred analyzing potential real estate acquisition opportunities.

General and administrative expenses for the year ended December 31, 2014, increased by $1,033,611 to $1,058,569 compared with general and administrative expenses of $24,958 for the year ended December 31, 2013. The increase in general and administrative expenses was primarily attributableattributed to an increaseincreases in officeprofessional fees, legal fees, and overhead expense.expenses due to the ramp up of our business during 2014, of which $862,476 was associated with non-cash stock-based compensation for consulting services.

During the year ended December 31, 2013, we incurred interest expenses of $4,200. This was a decrease of $49, or 1%, as compared to interest

Depreciation expense of $4,249 for the year ended December 31, 2012.  The slight decrease in interest2014, was $38,173 compared with depreciation expense was due to our decreased borrowing from our shareholder loansof $0 for the year ended December 31, 2013 as compared to2013. Depreciation expense for 2014 was associated with the year ended December 31, 2012.  deprecation of two real estate properties acquired in June 2014 and September 2014.

Depreciation

Other Expenses

Interest expense for the year ended December 31, 2013 was $1,427. This was a decrease of $657, or 32%, as2014, increased by $100,050 to $104,350 compared to depreciationwith interest expense of $2,084$4,200 for the year ended December 31, 2012.  2013. The increase in interest expense for 2014 was primarily due to $95,918 of interest expense incurred on a $1.8 million promissory note from a related party used to fund a $2.2 million real estate property acquisition in June 2014.  

We had a net loss of $32,946 (or$1,165,080, or a basic and diluted loss per share of $(0.001)$0.09, for the year ended December 31, 2014, compared with a net loss of $32,946, or a basic and diluted loss per share of $0.00, for the year ended December 31, 2013. This was an increase of $15,089, or 84% as compared to a net loss of $17,857 (or basic and diluted loss per share of $(0.001) for the year ended December 31, 2012. The increase in the net loss

was primarily due to an increaseincreases in operating expenses, general and administrative expenses.expenses, depreciation expense, and interest expense as a result of the change in our business model in 2014 to acquire and lease real estate to licensed marijuana operators.

Liquidity and Capital Resources

We

The following table summarizes the cash flows for the years ended December 31, 2014 and 2013:

The Company had total current assetscash of $175,792 at December 31, 2014, compared with cash of $478 as of December 31, 2013. Which consisted of cash of $478. This was a decrease of $80, or 14%, as compared to current assets of $558 as of December 31, 2012. We had a net working capital deficit of $103,222 as of December 31, 2013. This was an increase of $2,946, or 46%, as compared to a net working capital of $70,276, as of December 31, 2012.

We had total liabilities of $103,700 at December 31, 2013, which consisted of current liabilities of $51,338 and long term liabilities related to shareholder loans of $52,362. This was an increase of $27,910 or 37%, as compared to total liabilities of $75,790 as of December, 31, 2012. This$175,314. The increase in cash during 2014 was primarily dueattributed to additional advances made toproceeds of $1,800,000 received from a promissory note and proceeds of $1,615,000 received from the Companysale of common stock, offset by our officerthe purchase of two real estate properties for $2,993,439, debt issuance costs of $19,152 and majority stockholder.cash used in operating activities of $227,295.

We had a deficit accumulated during the development stage of $172,630 as of December 31, 2013. This was an increase of $32,946, or 24%, as compared to a deficit accumulated during the development stage of $139,684 as of December 31, 2012.

Operating Activities

We had net cash used in operating activities of $22,731$227,295 for the year ended December 31, 2013,2014, which consisted of a net loss of 32,946, interest accrued on stockholder loans$1,165,080, an increase of $4,200, depreciation$205,077 in deferred leasing costs, and an increase of $1,427, loss on disposal$59,443 in prepaid and other assets, partially offset by non-cash charges of fixed assets$901,463, an increase of $3,788, and$198,797 in accounts payable and accrued liabilities, and receipt of $800. $102,045 in security deposits associated with new operating leases.

The net cash used in operating activities of $227,295 for the year ended December 31, 2014, represented an increase of $204,564 compared with net cash used in operating activities of $22,731 for the year ended December 31, 2013 represented an2013. the increase of $9,250, or 69%, as compared toin net cash used in operating activities for 2014 was the result of $13,481the ramp up our new business model in 2014 to acquire and lease real estate to licensed marijuana operators.

Investing Activities

In June 2014 and September 2014, we acquired real estate properties for $2,970,806 in Denver and Aurora, Colorado. Pursuant to the terms of the lease agreement for the year endedreal estate property located in Aurora, the Company agreed to contribute $150,000 to improvements to the property. In December 31, 2012.
We had $0 in net cash used in investing activities2014, we incurred $22,633 of the $150,000 commitment for the year ended December 31, 2013, as compared to $1,494 for the year ended December 31, 2012, which consisted solely of acquisition of updated EDGAR conversion software.building improvements.

Financing Activities

We had $22,910$3,396,048 in net cash provided by financing activities for the year ended December 31, 2013.2014. This was an increase of $7,926, or 53%, as$3,373,138 compared towith net cash provided by financing activities of $14,984$22,910 for the year ended December 31, 2012.2013. The increase in net cash provided by financing activities consisted solelywas primarily due to proceeds of $1,800,000 from the issuance of a promissory note and proceeds of $1,615,000 received from shareholder loans.the sale of common stock, partially offset by debt issuance costs of $19,152 during 2014.

We have

Although we can provide no specific commitments for any futureassurances, we believe our cash on hand, coupled with revenues generated by rental income and our ability to refinance our equity in the real estate we own, will provide sufficient liquidity and capital expenditures. However, we will continueresources to incur normal operating expenses and routine fees and expenses incident tofund our reporting duties as a public company. Our cash requirementsbusiness for the next twelve months are relatively modest, principally advertising,months. In the event we experience liquidity and capital resources constraints because of unanticipated operating and accounting expenses.
Unlesslosses, we receivemay need to raise additional capital we will only be able to pay our future debts and meet operating expenses by conducting profitable operations and management and shareholder capital commitments, or otherwise generating positive cash flow. As a practical matter, we are unlikely to generate positive cash flow by any means other than successful and profitable operations.

On January 1, 2008, our board of directors determined that it was in the best interestsform of the Company to issue a Commercial Promissory Note ("Note"), whereby the Company would enter into credit agreements with the majority stockholders Mr. Pearman and Mr. Sarfoh (collectively referred to as "Creditors") to obtain credit for working capital and other general business purposes ("Credit Agreements"). Pursuant to the terms of the Credit Agreements, the Creditors agreed to extend credit to the Company in the amount of up to $30,000, with Mr. Pearman and Mr. Sarfoh entering into separate Credit Agreements of $10,000 and $20,000, respectively.

On January 1, 2008, in consideration for the Credit Agreements, the Company executed and delivered in favor of Creditors a Commercial Promissory Note ("Note") providing with respect to the Loans a maturity date of December 30, 2014 and interest is accruing on the principal balance outstanding from time to time at an annual rate of eight percent (8%) payable. All outstanding principal and unpaid interest under the Note and all other amounts due and payable under this Note shall become automatically due and payable, without demand equity and/or notice, on December 31, 2014. The Note can be prepaid without premium or penalty. The documents representing the terms of the Notes and Credit Agreements (collectively referred to as "Shareholder Loans") were filed as Exhibits 10.11 through 10.15 to the Company's S-1 Registration Statement.

Pursuant to the Shareholder Loans, for the years ended December 31, 2013 and December 31, 2012, the Company borrowed $22,910 and $13,734, respectively, of which accrued interest has been recorded in the amounts of $13,694 and $9,474, respectively.

Outside of these Shareholder Loans, we do not have any other identified sources ofdebt financing. If such additional capital from third parties or from other shareholders. There can be no assurance that additional capital will beis not available on terms acceptable to us or that, if available, it will beat all then we may need to curtail our operations and/or take additional measures to conserve and manage our liquidity and capital resources, any of which would have a material adverse effect on terms satisfactory to us. Any additional financing may involve dilution to our shareholders.business, results of operations and financial condition.

PART III

Item 10. Directors, Executive Officers and Corporate Governance.

Directors & Executive Officers

The names of our directors and certain information about them as of March 10, 2014, are set forth below:

Shawn Chemtov was appointed Co-CEO and a member of the Board of Directors of the Registrant on February 10, 2014. Mr. Chemtov is an active commercial real estate developer who owns and manages a portfolio of income producing commercial and residential property. Mr. Chemtov is also the CEO of CMG Capital, a licensed mortgage lender, which he founded in 2004. CMG Capital is a direct correspondent lender and an FHA licensee and portfolio lender which has closed more than a billion dollars in residential and commercial property loans since its inception and has raised and is currently servicing approximately $50,000,000.00$50,000,000 in real estate loans. Mr. Chemtov is a member of, the Florida Association of Mortgage Professionals and Entrepreneurs Organization respectively.

Adam Lauferwas appointed as Co-CEO and a member of the Board of Directors of the registrant on February 10, 2014. Mr. Laufer, is an entrepreneur and corporate securities attorney. In 2013, Mr. Laufer, prior to his resignation as CEO and a director of Soleil Capital LP (OTC:JOBI,) successfully negotiated and executed the acquisition of a portfolio of electronic cigarette and personal vaporizer patents. In 2009, Mr. Laufer executed a reverse merger transaction with Vapor Corp. (OTC:VPCO), an electronic cigarette company. And from 2009-2013, Mr. Laufer continued to serve the electronic cigarette company as an advisor; consulting on matters of corporate strategy and regulatory issues related to electronic cigarette products, during which time the company's revenues grew from approx $1M to approx $23M. Mr. Laufer has significant experience in working with, start-up and development stage businesses in defining their corporate strategy, identifying funding and growth opportunities, and in implementing liquidity strategies. Mr. Laufer is a member in good standing of the Florida Bar.

Board Committees

Our board does not have a standing audit committee, a compensation committee or a nominating and governance committee.

Director Compensation

Our board does not have any non-employee directors and no additional compensation is paid to any of our employee directors for serving as a director.

Section 16(a) Beneficial Ownership Reporting Compliance

We are a voluntary filer and Section 16(a) of the Securities Exchange Act of 1934 is not applicable to us.

Code of Ethics

The Company has a code of ethics, "Business Conduct: "Code of Conduct and Policy," that applies to all of the Company's employees, including its principal executive officer, principal financial officer and principal accounting officer, and the Board. The Company intends to disclose any changes in or waivers from its code of ethics by posting such information on its website or by filing a Current Report on Form 8-K.

Item 11. Executive Compensation

EXECUTIVE COMPENSATION

Summary Compensation Table

The following table provides certain summary information concerning the compensation earned for services rendered to the Company for the fiscal years ended December 31, 20132014 and 20122013, by our Chief Executive Officer and our two other most highly compensated executive officers (the "named executive officers") who served in such capacities at the end of the fiscal year ended December 31, 2013.2014. Except as provided below, none of our named executive officers received any other compensation required to be disclosed by law in excess of $10,000 annually.

(1) Mr. Pearman was our former President, CEO and CFO, Mr. Pearman resigned from the Company on February 10, 2014 when he resigned to cede the position to Messrs. Shawn Chemtov and Adam Laufer, who we engaged on that date to assume such positions.

Outstanding Equity Awards at Fiscal Year-End

The following table provides information with respect to outstanding stock option awards for shares of our common stock classified as exercisable and unexercisable as of December 31, 20132014 for the named executive officers.

Item 12. Security Ownership of Certain Beneficial Owners and Management

The following table sets forth information regarding the beneficial ownership of our common stock as of the date of this report by:March 18, 2015:

•    each person whom we know beneficially owns more than 5% of our common stock;

•    each of our named executive officers and directors; and

•    all of our executive officers and directors as a group.

Beneficial ownership and percentage ownership are determined in accordance with the rules and regulations of the SEC and include voting or investment power with respect to shares of stock. This information does not necessarily indicate beneficial ownership for any other purpose. In computing the number of shares beneficially owned by a

Except as otherwise indicated, each person and the percentage ownership of that person, shares of common stock subject to warrants, options and other convertible securities held by that person that are currently convertible or exercisable, or convertible or exercisable within 60 days of the date of this report are deemed outstanding. Such shares, however, are not deemed outstanding for the purposes of computing the percentage ownership of any other person. The percentage of beneficial ownership is based on 12,218,205 shares of common stock outstanding on the date of this report. Unless otherwise indicated and subject to community property laws where applicable, we believe that all persons namedeach group shown in the table havehas sole voting and investment power with respect to allthe shares of common stock indicated. For purposes of the table below, in accordance with Rule 13d-3 under the Securities Exchange Act of 1934, as amended, a person is deemed to be the beneficial owner, of any shares of our common stock over which he or she has or shares, directly or indirectly, voting or investment power or of which he or she has the right to acquire beneficial ownership at any time within 60 days. As used in this prospectus, “voting power” is the power to vote or direct the voting of shares and “investment power” includes the power to dispose or direct the disposition of shares. Common stock beneficially owned by them.and percentage ownership was based on 13,886,794 shares outstanding on March 18, 2015, plus 166,665 shares deemed outstanding pursuant to Rule 13d-3, for a total of 14,053,459 shares outstanding.

Unless otherwise indicated, the address for each person is our address at 4141 NE 2nd Avenue Suite #204A., Miami, Florida 33137.

Item 13. Certain Relationships and Related Transactions, and Director Independence.

The following is a description of transactions since January 1, 2011,2013, to which we have been a party in which:

• the amounts involved exceeded or will exceed the lesser of $120,000 or one percent of the average of our total assets at year end for the last two completed fiscal years; and
• our directors and executive officers or holders of more than 5% of our common stock, or any member of the immediate family of the foregoing persons or entities affiliated with them, had or will have a direct or indirect material interest.

Our

In February 2014, in connection with the change of control of the Company, our Co-CEOs and Co-Chairman of our board of directors, Messrs. Chemtov and Laufer, respectively, jointly own allpurchased the outstanding stockholder loans from Messrs. Peraman and Sarfoh. On August 31, 2014, the outstanding stockholder loans and accrued interest of our outstanding debt; $96,035 as$99,450 were converted to 19,890 shares of the Company's common stock at a conversion price of $5.00 per share.

In June 2014 the Company acquired real estate property in Denver, Colorado for $2,214,000. The acquisition was partially funded with proceeds from the issuance of a secured promissory note in the amount of $1,800,000. The promissory note is held by Chemtov Mortgage Group ("CMG"), an entity wholly-owned by the Company's co-CEO, Shawn Chemtov. During the year ended December 31, 2013, which they acquired contemporaneous2014, the Company paid $80,918 of interest due pursuant to the promissory note held by CMG. CMG serves solely as a pass-through entity to third-party investors and derives no financial benefit in connection with the acquisition of the controlling interest in the Company on February 10, 2014.transaction.

Board Composition and Director Independence

Our business and affairs are managed under the direction of the board of directors. Our board of directors is currently comprised of threetwo members, Messrs. Chemtov and Laufer. Because of their relationships with us, none of them are "independent" under the rules of any national securities exchange or Rule 10A-3 under the Securities Exchange Act of 1934, or the Exchange Act.

Item 14. Principal Accountant Fees and Services.

Paritz & Company, P.A. ("Paritz") has served as the Company’s independent registered public accounting firm for the years ended December 31, 2014 and 2013. In accordance with the requirements of the Sarbanes-Oxley Act of 2002, all audit and audit-related

services and all non-audit services performed by our current independent public accounting firm Partiz & Co.("Paritz") isare approved in advance by our Board of Directors, including the proposed fees for any such service, in order to assure that the provision of any such service does not impair the accounting firm's independence. The Board of Directors is informed of each service actually rendered.

Independent Auditor Fees

The aggregatefollowing table sets forth fees billed, andor expected to be billed, to the Company by Paritzthe Company’s independent auditors for professionalthe years ended December 31, 2014 and 2013, for (i) services rendered for the audit of ourthe Company’s annual consolidated financial statements for the fiscal year ended December 31, 2013 and for the review of ourthe Company’s quarterly financial statements during the fiscal year ended December 31, 2013 are $8,865.

The aggregate fees billed by Paritz for professionalstatements; (ii) services rendered forthat are reasonably related to the auditperformance of our annual consolidated financial statements for the fiscal year ended December 31, 2012 and for the review of our quarterly financial statements during the fiscal year ended December 31, 2012 were $7,555.

Audit-Related Fees

The aggregate fees billed by Paritz for assurance related services in connection with the audit or review of the Company’s financial statements for the fiscal years ended December 31, 2013 and 2012 were $0 and $0, respectively.

Tax Fees

There were no fees billed by Paritz for professionalthat are not reported as Audit Fees; (iii) services rendered forin connection with tax preparation, compliance, tax advice or tax planning during fiscal years ended December 31, 2013 and 2012.

All Other Fees

The aggregate fees billed by Paritz forassistance; and (iv) all other fees for the fiscal years ended December 31, 2013 and 2012 were $0 and $0.services:

PART IV

Item 15. Exhibits, Financial Statement Schedules

(a) List of Documents filed as part of this report:

(1) Financial Statements

Report of Paritz & Co., Independent Registered Public Accounting Firm

Consolidated Balance Sheets as of December 31, 20132014 and 20122013

Consolidated Statement of Operations for the years ended December 31, 20132014 and 20122013

Consolidated Statement of Changes in Stockholders' Equity (Deficiency)(Deficit) for the years ended December 31, 20132014 and 20122013

Consolidated Statements of Cash Flows for the years ended December 31, 20132014 and 20122013

Notes to Consolidated Financial Statements

(2) Financial Statement Schedules

Schedule III - Real Estate and Accumulate Depreciation

All financial statementother schedules have beenare omitted sincebecause they are not applicable, or because the required information is not applicable or is not present in amounts sufficient to require submission of the schedule, or because the information required is included in the audited consolidated financial statements and relatedor notes thereto included elsewhere herein.thereto.

(b) Exhibits.

The following exhibits are filed herewith or incorporated herein by reference.

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Board of Directors and
Stockholders of MJ Holdings, Inc (f/k/a Securitas Edgar Filings,Holding, Inc.)

We have audited the accompanying balance sheets of MJ Holdings,Holding, Inc. (f/k/a Securitas Edgar Filings, Inc.) as of December 31, 20132014 and 2012,2013, and the related statements of operations,income, stockholders’ deficiency,equity (deficit), and cash flows for each of the years in the two year period ended December 31, 2013 and from the period from inception (October 31, 2005) to December 31, 2013.2014. MJ Holdings Inc’sHolding’s management is responsible for these financial statements. Our responsibility is to express an opinion on these financial statements based on our audits.

We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. The company is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. Our audit included consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the company’s internal control over financial reporting. Accordingly, we express no such opinion. An audit also includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion.

In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of MJ HoldingsHolding, Inc. (f/k/a Securitas Edgar Filings, Inc.) as of December 31, 20132014 and 2012,2013, and the results of its operations and its cash flows for each of the years in the two year period ended December 31, 2013 and from the period from inception (October 31, 2005) to December 31, 20132014, in conformity with accounting principles generally accepted in the United States of America.

The accompanying financial statements referred to above have been prepared assuming that MJ Holdings, Inc. (f/k/a Securitas Edgar Filings, Inc.) will continue as a going concern. The ability of the Company to continue as a going concern is dependent upon, among other things, its successful execution of its plan of operations and ability to raise additional financing. There is no guarantee that the Company will be able to raise additional capital or sell any of its products or services at a profit. As discussed in note 43 to the financial statements, the Company posted a net loss of $32,946$1,165,080 for the year ended December 31, 20132014 and a loss since inceptionan accumulated deficit of $172,360 and has generated no revenue in 2013 and 2012, its current liabilities exceed its current assets by $50,860.$1,337,710 as of December 31, 2014.   These factors, among others, raise substantial doubt regarding the Company’s ability to continue as a going concern. The accompanying financial statements do not include any adjustments that might result from the outcome of this uncertainty

/s/Paritz & Company, P.A.
Hackensack, NJ
March 25, 20142015