Crop Infrastructure’s (CROP.C) San Bernardino dispensaries will soon be ready for prime time.
The company’s proposed dispensaries are rounding out the final stage of the municipal application review process.
California dispensaries sold $2.75 million worth of cannabis products in 2017. That’s more than double the amount made in Colorado, nearly triple that of Washington, and almost five times that of Oregon, according to Forbes. It only makes sense that Crop would want a piece of that pie.
Michael Yorke, Crop’s CEO, says that the Emerald Heights dispensaries will provide the largest returns from a brand licencing perspective in addition to deepening Crop’s real estate portfolio.
“Crop has high expectations for Emerald Heights at this location. The team has done its market and location research very well and are now in the final phase of the application process in San Bernardino. We believe the community will enjoy the opportunity to share an elevated adult retail experience that the Emerald Heights brand will provide,” Michael Yorke, the CEO of CROP said.
Crop fulfilled the requirements necessary to reach the third-stage of the review process back in September.
Overcoming the final barrier to approval involves a three-minute presentation in front of the mayor and city council, followed by a question and answer period.
If the meeting goes well, Emerald Heights will receive its full license, and open the doors to their newest location on the city’s busiest intersection.
Crop’s portfolio at a glance:
- A hybrid rec/med cultivation facility in California.
- Two properties in Washington State.
- Cannabis and hemp CBD interests in Nevada
- Extraction capabilities in Nevada with international expansions in Jamaica and Italy.
- A joint venture with West Hollywood and San Bernardino dispensaries.
Prior to the proposed venture in San Bernardino, the Emerald Heights brand had already established itself elsewhere with two locations in Italy and one in Nevada.
Crop Infrastructure is poised to take advantage of the emerging California cannabis market, which is projected to reach $7.7 billion courtesy of the recreational cannabis market which went live in 2018.
The total economic impact of the California cannabis industry could be nearly $15 billion in the next four years.
Recreational use is projected to account for over half of total concentrate sales in California, and will continue to increase in proportion to overall category sales.
In contrast, medical cannabis sales are expected to dip down to $600 million as people move to the adult-use market to avoid medical identification fees.
Crop Infrastructure closed at $0.32 today with a valuation of $43,220,000.
— Joseph Morton
Full disclosure: Crop Architecture is an Equity.Guru marketing client.