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Grand Rapids cannabis licensing
July 29, 2020

Michigan towns are (slowly) opening up to adult-use

Update: Detroit adult-use cannabis to open in 2021

*Update: December 2020* Detroit will begin accepting adult-use applications in January of 2021. Read our full blog post on Detroit adult-use cannabis for more details.

Michigan, which voted to legalize cannabis all the way back in the fall of 2018, has seen a somewhat slow rollout of legalization in its towns and cities. While the initial lack of opening was due in large part to local governments taking a wait-and-see approach to adult-use cannabis, the Covid pandemic has forced an outright stalling. That pause seems to be thawing in the Great Lakes State, with three municipalities all opening up for cannabis operators in short order. Let’s take a look.

Royal Oak opts for a small and controlled adult-use cannabis market

Just this week, the affluent Detroit suburb of Royal Oak passed an ordinance allowing for two retail licenses, two microbusiness licenses (with retail), and one license each for cultivation, processing, etc. While some in tony Royal Oak were concerned about property values decreasing (they don’t), or the “character” of the community upon legalization, the town should stand to benefit from tax revenues at a juncture where many local governments are facing tough budget choices brought upon by Covid.

For operators, Royal Oak represents a great opportunity to tap into a first-ring suburb of Detroit with a median income of ~$70K. Additionally, Royal Oak’s proximity to Detroit and her substantial population cannot be overstated.

Alpena, Michigan’s medical marijuana market is being overlooked

Further up the Lower Peninsula, Alpena’s medical cannabis market has seen, as of last week, ZERO applications. People, this is absurd. If you’re not familiar with Alpena please reach out directly to the MMLG blogger (a proud Midwesterner) to discuss. Northeast Michigan is a veritable cannabis desert, with, to our best knowledge, there being one operator in that region. Alpena, with its beautiful summers, tourism-driven hospitality industry and immediate proximity to gorgeous Lake Huron, is ripe for retail (or “provisioning center”), folks.

Grand Rapids cannabis licensing is Michigan’s largest adult-use market to date

Meanwhile, in western Michigan, Grand Rapids, a region of over one million in the metro area, and the state’s second-largest city, is opening for application. There are a few stipulations centered on zoning and square footage that would allow an applicant to submit by July 31. However, the majority of would-be operators, who have not previously qualified, have until September 11 to submit an application in Grand Rapids.

Grand Rapids, with its population size, strong and diverse economy, and academic institutions in town and in the region, presents a very compelling opportunity for cannabis companies looking to make a splash in the Midwest/looking to expand in America’s heartland.

Have questions about Michigan cannabis licensing? Reach out to MMLG today.