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A 6 minute read edited by Jay Rosenthal and Jeremy Berke
NEW YORK CRACKING DOWN
On out-of-state brands, that is
Driving the news: New York State is cracking down on out-of-state brands that have proliferated since the Empire State legalized cannabis in 2021.
Until now, established California brands could enter the market through simple white-labeling and licensing deals.
That’s all changing, John Kagia, the policy director of the state’s Office of Cannabis Management, told Green Market Report in an interview.
They’ll now have to apply for a formal license to operate.
Why it's happening: Craft-scale and larger cannabis growers are struggling in New York.
There aren’t enough stores to distribute the cannabis already grown in the state, and cannabis flower doesn’t last long as inventory — the value of the product diminishes the more it’s left to sit.
This move is a way to protect these growers and “cultivate” opportunities for New York brands instead of those out of state.
Read more: A November investigation from NY Cannabis Insider found that out-of-state brands are breaking state regulations to secure market share and boxing out the state’s growers.
OHIO GOES LEGAL
Buckeye State residents will be able to consume legally
What's happening: Ohio residents over the age of 21 will be able to legally consume cannabis on Thursday.
The state voted to legalize cannabis in November by a healthy margin. But the rollout of the recreational market won’t come until the middle of 2024 as the state’s lawmakers work on — and argue about — the proper regulations, reports the Dayton Daily News.
What's next: Despite the hand-wringing from Ohio Republicans about the bill, including social equity provisions, it’s a big win for cannabis that Ohio is joining the legal fold.
ILLINOIS SMASHES RECORDS
Illinois residents are buying more weed than ever before
Legal dispensaries in the state sold over 3.7 million cannabis products totaling over $105 million to in-state residents. For out-of-state residents, that number was $33.6 million.
Why it matters: Every state has growing pains when they first open their doors to legal cannabis.
Regulations guiding the industry are a matter of tradeoffs, and balancing interests for all stakeholders. Illinois is far from perfect — and many problems remain — but the fact that the industry has become viable and profitable in the state is something neighboring Midwestern states will be sure to look at when building their own policies.
Current trends in thematic real estate
Our friends at MJ REIT are hosting a webinar today at 1pm Eastern focused on thematic real estate. Real estate ranks as the third largest asset class in the US behind stocks and bonds with an estimated value of over $21 trillion.
While most investors have exposure to the basic categories of real estate, there exist niche areas within the real estate market that may offer differentiated returns.
Join them for an in-depth look at thematic real estate as they share their outlook for 2024 and beyond.
WHAT WE’RE READING
🥊 Quick hits