San Luis Obispo is entering the cannabis dispensary market.
After the passing of California’s Proposition 64, the statewide legalization of recreational cannabis, San Luis Obispo is issuing a limited amount of permits to interested businesses.
Storefront dispensaries that sell cannabis and are allowed to cultivate the product may be opening in San Luis Obispo soon. The city may see their profit margins increase similar to the earnings generated by Grover Beach’s dispensaries, which generated nearly a million dollars of tax revenue.
California passed the legalization of recreational marijuana in November 2016, with the legislation taking effect in January 2018. The recreational marijuana industry has been growing rapidly in California, with various communities throughout San Luis Obispo County starting to express interest. Two other cities, Morro Bay and Grover Beach, have already established several cannabis retail store fronts or cannabis delivery services, and the city of San Luis Obispo is continuing in their footsteps.
Grover Beach is receiving nearly a million dollars in tax revenue from the operating dispensaries. The city is using the revenue to upgrade their local parks and public services, such as fire and police protection. San Luis Obispo would like to see the same benefits happen to their city, but it may initially start off at a slower pace.
Once known as a gateway drug, cannabis has found its place in today’s society through recreational and medicinal dispensaries that are being managed by local businesses and city governments. Charlene Rosales, Economic Development Manager of San Luis Obispo, is excited to begin this new adventure into the cannabis industry, but confesses that they are just getting their feet wet in a commercial enterprise that is new to everyone involved. Rosales anticipates the cannabis industry to gain both in customer potential and tax revenue.
Published: November 12, 2019