CALCANN SPECIAL REPORTS

CalCann is a real estate development firm that has been active in obtaining municipal marijuana licenses in Southern California.  We've prepared a comprehensive policy paper regarding the proposed LA ordinance and regulations related to Medical Marijuana. CalCann has invested over $28 million in cannabis real estate since its inception in January 2016.

The City of Los Angeles has a history of failed marijuana policy where there has been a proliferation of illegal and unlicensed dispensaries and underground cultivation facilities that have mushroomed throughout the City of Los Angeles. By some estimates, there are over 3,000 illegal dispensaries as well as thousands of unlicensed grows, many of which pay little if no taxes.   The City’s proposed policy continues to perpetuate this failed policy by 1) refusing to grant marijuana businesses affirmative licenses by insisting on continuing the failed policy of granting marijuana businesses “limited immunity”; 2) The City proposes grandfathering all illegal grows in existence as of January 1, 2016 which will create a monumental mess while favoring illegal operators who have flaunted the law, many of whom are likely affiliated with organized crime or criminal elements.  The City should adopt a “merit based” criteria to attract the best and most qualified operators.

 According to CalCann Partner and General Counsel Aaron Herzberg, “With the passage of Prop 64 and the trailer bill (MAUCRSA), the State of California is moving towards a highly regulated and licensed industry and it is difficult to fathom that the City of Los Angeles still refuses to grant only limited immunity. Only by affirmatively licensing operators can the state provide state licensure and the city of LA can rid itself of the thousands of bad actors who are not abiding by the laws of businesses. It’s time to clean up the long-failed quagmire of LA marijuana policy.