Florida issues long-awaited medical marijuana licenses after two-year wait

The Florida Department of Health issued letters of intent to approve Tuesday to 22 operators; This was the first expansion of the state’s cannabis market since 2017.

Recipients of the letters included numerous out-of-state brands, including California-based STIIIIZY, Ohio’s KLUTCH Cannabis and even Colorado pioneer Star Buds. Expansion, combined With the five recently approved Black farmer licenses, the total number of operators will increase to approximately 50 from the original limit of 25 licenses.

Successful applicants must post $5 million in bonds and begin operations on tight timelines, with planting beginning within 60 days of final approval, per state regulations.

“The department will physically inspect each facility,” Sally Kent Peebles, partner at marijuana law firm Vicente LLP, said during a recent online webinar. “Operators have seven days to address any violations.”

Approvals to follow An application process that begins under emergency rules in December 2022. Applicants paid $146,000 to participate at the time.

Florida allows unlimited retail locations and manufacturing capacity, although health department last year raised annual license renewal fees from $60,000 to $1 million.

Industry experts have long expected unsuccessful applicants to face legal challenges and value licenses along with previous permits trade for tens of millions of dollars.

“A lot of people take the opportunity to fight when they fail,” Peebles said. Such litigation could also delay final approvals of this final batch of licenses.

Expansion comes weeks after Florida voters vote rejected Trulieve Cannabis Corp. Legalization of recreational marijuana despite $140 million campaign backed by (OTC: TCNNF)

Additionally, existing operators may also face tighter scrutiny under the new state’s leadership.

“They are no longer a kinder and friendlier department.” Fluent Cannabis CEO Robert Beasley said heading into the general election.

Florida’s medical market is projected to reach $2.8 billion in sales this year, and the BDSA recently predicted 12% annual growth through 2028. Andrew Livingston, Vicente’s economic director, has previously said the state’s existing infrastructure could support sales of up to $3 billion. said GMR.

Companies receiving letters of intent to approve:

1. A Good Decision LLC
2. Alamanda Farms LLC
3. East Coast Packers LLC
4. FG Operates Florida LLC
5. Florida Sports Consultants Inc. (d/b/a Belushi’s Farm Florida)
6. Gates Housing Group LLC
7. Global Investment Group Inc. (d/b/a Infinite Wellness)
8. Green Point Research LLC
9. Healing Greene FL LLC
10. KCOF LLC (d/b/a KLUTCH Cannabis)
11. King Palms Inc.
12. O’Donnell Landscape Inc.
13. Leading Breeders of Florida Inc.
14. Pure Beauty Farms Inc.
15. RAAB LLC (d/b/a Canna Direct)
16. Star Buds Florida LLC
17. Statewide Property Holding FL LLC
18. STIIZY Florida LLC
19. Sunfest Herbs LLC
20. Florist FL LLC
21. Theoretical Wellness of Florida LLC
22. Wachovia Holdings LLC (d/b/a Green Light)