Worcester Business Journal

wbjournal.com | May 14, 2018 | Worcester Business Journal 13 "We are ramping up production as quickly as we financially can. It takes a long time." Patrik Jonsson, president of Curaleaf, which has a dispensary in Oxford Member FDIC | Member DIF APY rates guaranteed through 1/31/19. All accounts will be converted to a Money Market Account on 2/1/19. A minimum deposit of $10,000 in new money is required to open this account. Rate may change after the account is opened. Fees could reduce earnings on the account. Only one account per social security number or EIN number. Daily Balances Of: $0.01 – 9,999.99 $10,000 – 49,999.99 $50,000 – 4,999,999.99 $5,000,000+ *Annual Percentage Yield 0.10% APY 1.75% APY 2.00% APY 1.75% APY Interest Rate 0.10% 1.74% 1.98% 1.74% BEST RATES AROUND. *$50,000 MIN BALANCE TO EARN THE APY 2.00% APY * Open an account now at countrybank.com/earn-up-money-market Prices at Curaleaf in Oxford show the variety of the types and styles of marijuana products, as the consumer market will have to be educated on a previously illicit industry. Cultivate Leicester Temescal Wellness Hudson Temescal Wellness Framingham Curaleaf Oxford Mission Massachusetts Worcester Mass Wellspring Acton Nature's Remedy Grafton Healthwise Foundation Charlton Caroline's Cannabis Uxbridge Atlantic Medical Partners Fitchburg Central Mass. recreational pot dispensaries Source: Worcester Business Journal, city records, property websites Company Location Based on WBJ's research of their an- nouncement and applications, these are the recreational pot dispensaries set to open in the region in the short time after the July 1 start. According to the Massachusetts Department of Public Health, the state has 16 medical marijuana companies approved to sell, and dozens more are waiting to be approved. "In talks with other cultivators to make sure, over and above what they're able to produce in house, we can also purchase product from other folks to make sure each patient can get what they want," Rebholz said. ere is a wide belief the state will very quickly run out of product, said Patrik Jonsson, president of Curaleaf, which operates an Oxford medical pot dispensary. Curaleaf is quite new to the marijuana industry as a whole. e company just opened its doors last month to medical patients. "We're ramping up production as quickly as we financially can," Jonsson said. "It takes a long time." e company is planning to open for recreational sales in late July because of those issues. "I don't know anyone that's going to be open July 1," he said. At Cultivate, Barber and his staff are building out more of the production facility to accommodate the forecasted increase. Production will just about double, and 10,000 square feet of the 24,000-square-foot facility in Leicester will be devoted to production. Preparations are being made to ensure a smooth rollout at the loca- tion, including installing a barrier to separate the medical operations from the recreational. e company has already set some product aside for the adult-use market to ensure product is actually available once the recreational doors open. However, per state regulations, medical patients must remain a priority. At least 35 percent of the inventory must be set aside for medical marijuana cardholders. "If there's ever a long line, we'll make sure medical patients are a priority," Barber said. Medical marijuana vs. retail weed Medical and recreational custom- ers will largely be able to purchase the same products, though medical products will me markedly stronger and higher in THC than recreational products. e big difference, however, is what those customers are paying. According to the DPH, a medical marijuana card costs $50 annually on top of $100 if the patient wants to grow up to 10 ounces of marijuana, which is a 60-day supply. Medical patients pay nothing in tax, while adult-use customers will be taxed up to 20 percent. "If you spend $1,000 on cannabis in a year – which is not too difficult to do – there's $200 in taxes right there," said Jim Borghesani, a major proponent of the effort to pass the law in 2016. A modest rollout Because the medical program is so established in the state, Borghesani is predicting a very modest rollout of the retail side of the business to where just a handful of companies will be up and running at first. e No. 1 reason, he said, is the small number of cultivation facilities currently up and running. "ere's going to be a limited supply available to a limited number of retail facilities," he said, echoing the con- cerns of cannabis companies. Further, finding a location suitable and allowed by law to grow or sell marijuana can be increasingly chal- lenging. At least 190 cities and towns have banned or imposed a moratorium on retail pot shops, including Milford, Northborough and Westborough. If a town hasn't outlawed the legal sale of pot, zoning restrictions could make finding a suitable piece of land difficult. "en, you have to hope the land- lord doesn't have a mortgage that he or she feels will be jeopardized because of the cannabis use," Borghesani said. Only a handful will be open on July 1, and most of them will be existing medical dispensaries given priority review from the CCC. "I anticipate long lines," Borghesani said. "I do think there will be a lot of customers competing for a limited amount of supply in limited locations where they can get that supply." W PHOTO/EDD COTE

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