City Awards First 33 Adult-Use Marijuana Commercial Licenses Under Updated Ordinance!

City Awards First 33 Adult-Use Marijuana Commercial Licenses Under Updated Ordinance!

The first 33 applicants for retail marijuana licenses for adults-only use in the city of Detroit have been notified of their approval. Since voters in Michigan legalized recreational marijuana usage four years ago, this news marks a significant step forward in the city’s efforts to build a marijuana sector for adults.

After two months of independent assessment and grading, the City’s Office of Marijuana Ventures & Entrepreneurship has selected the following 13 non-equity applications and 20 equity applicants as meeting all of the requirements for a license: All applicants’ names, categories, and scores can be seen on the Office of Marijuana Ventures & Entrepreneurship’s website (www.homegrowndetroit.org).

Equity Licenses

1. House of Zen 14501 Mack2. LIV Cannabis 12604 E Jefferson3. Motor City Kush 10 E 8 Mile4. Liberty Cannabis 2540 Rosa Parks5. High Profile 20327 Groesbeck6. Chronic City 6810 E. McNichols7. Plan B 20101 W 8 Mile8. DaCut 12668 Gratiot9. Blue Wave 1947 W Fort10. The Remedy 20041 W 8 Mile11. Cloud Cannabis 16003 Mack12. Gage 313 14239 W 8 Mile13. Detroit Herbal Ctr 14325 Wyoming14. Nuggets 18270 Telegraph15. Livernois Provision 8305 Livernois16. Inhale 15670 E 8 Mile17. TJM Enterprises 8600 E 8 Mile #2818. The Herbalist 15510 W Warren19. Ivy League 471 S Schaefer20. SJTC Enterprises 6640 E 8 Mile

Non-Equity Licenses

1. Luxury Loud 2520 22nd2. THC Detroit 19533 W Warren3. Det Natural 3394 Fort4. Jars Cannabis 11400 8 Mile5. House of Dank 3340 E 8 Mile6. SMOK 7461 W 8 Mile7. Oz Cannabis 16829 Harper8. MPP Services 2710 Livernois9. West Coast Meds 8620 Lyndon10. Cookies 6030 8 Mile11. Southwest Meds 6237 Federal12. Leaf and Bud 14470 Livernois13. Playa Kind 8301 St. Aubin

Detroit Mayor Mike Duggan’s administration has been working closely with Council President Pro Tem James Tate to ensure that all Detroiters get a fair shot at the $3 billion in annual revenue that is expected to come from the marijuana sector in Michigan by 2024.

According to Mayor Mike Duggan, “our aim from the day voters legalized the sale of adult-use marijuana was to make sure we had a municipal policy and mechanism in place that enables fair and equitable access to these licenses,” and the courts have confirmed that this is indeed the case.

Among those who should be thanked for today’s historic events are “Council President Pro-Tem Tate,” the Department of Civil Rights, Inclusion, and Opportunity, and the Law Department. Two lawsuits were filed after the City Council approved the amended adult-use marijuana license policy in April, delaying the City’s ability to accept applications in July, but the judge eventually reversed direction and upheld the City’s ordinance.

Council President Pro-Tem James Tate expressed gratitude to Judge Friedman for his decision to reject the Temporary Restraining Order that would have again halted Detroit from implementing its current Adult-Use Marijuana Ordinance.

A judge in Wayne County Circuit Court said that our ordinance is clear and that we have a fair licensing process three months ago. Despite the courts’ repeated findings, numerous plaintiffs persist in their baseless attempts to corner the city’s adult-use cannabis market and shut out Detroiters and other Social Equity applicants. Here’s hoping the rejection you felt today sticks with you.

Not All Applications Met Requirements

In Round One, the City could grant up to 20 retail licenses for “general use” and 20 permits for “social equality” under the code. The top 20 applicants who scored the best in the social equity area were granted permits. The 13 candidates with the highest aggregate scores were granted licenses in the category of general licenses.

The remaining 7 general licenses cannot be given in this Round due to a tie among the following 20 applicants that did not meet the ordinance’s requirements for a lottery selection. In addition, none of the Round One applications for the ten Micro-Business licenses or the ten Consumption Lounge licenses satisfied the criteria for acceptance.

When all applications have been processed, the City plans to provide the same number of general retail and equity retail licenses. Any Round One applicant who was denied a Micro Business or Consumption Lounge license may reapply for a license of the same type in Round Two. The overall number of applicants, as well as the number of approved licenses, are broken down per license type below.

Retail: Approves the sale of Marijuana and associated goods to adults over the age of 21 by licensed growers and processors.

  • 13 non-equity applications approved
  • 20 equity applications approved
  • 50 non-equity applications received (20 available licenses)
  • 40 equity applications received (20 available licenses)

Micro-Business: Allows a small enterprise to “vertically integrate” by cultivating and processing up to 150 plants for sale to adults for recreational use.

  • 0 general applications approved
  • 0 social equity applications approved
  • 0 non-equity applications received (5 available licenses)
  • 4 equity applications received (5 available licenses)

Consumption Lounge: Approves a business for hosting adults using marijuana products.

  • 0 general applications approved
  • 0 social equity applications approved
  • 0 non-equity applications received (5 available licenses)
  • 3 equity applications received (5 available licenses)

One must live in a community where at least 20% of the population is below the federal poverty level and the marijuana conviction rate is greater than the State of Michigan median of 660 in order to be considered an equity applicant under the Detroit City Code. A company in which this type of person owns at least 51% is also considered a social equity applicant.

In three distinct phases, the city of Detroit plans to grant a maximum of 160 licenses, including 100 for retail stores, 30 for microbusinesses, and 30 for consumption lounges. With City Council approval, the second application process can begin as soon as 120 days following the first. The potential license allocations for Rounds 2 and 3 are as follows.

Round 2 (Date TBD)

  • Up to 30 Retail
  • Up to 10 Micro-Business
  • Up to 10 Consumption Lounge

Round 3 (Date TBD)

  • Up to 30 Retail
  • Up to 10 Micro-Business
  • Up to 10 Consumption Lounge

After years of hard effort, the Duggan administration has finally awarded licenses to businesses that will be able to legally sell marijuana to adults. Deputy Mayor Todd Bettison and City Council President Pro Tem James Tate were present to celebrate the achievement.

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