12 New Jersey stores sell $24 million worth of weed in first month

7 companies shared the massive first month of sales, with a handful of new licenses awarded today

The Garden States legal weed market is making massive numbers a month after adult cannabis sales. On April 21, 12 of New Jersey’s 13 licensed pharmacies opened their doors to long lines and delighted customers.

Today, the state’s Cannabis Regulatory Commission (CRC) released sales figures for the state’s first month of legal cannabis.

Here are Leafly’s Jersey-fresh takeaways from the raw data:

• Total sales were $24,201,875 from 212,433 orders. For comparison, the New Mexico cannabis market totaled about $22.1 million when it debuted in April. New Mexico has nearly 7 million fewer residents than New Jersey, but retail sales were not as tightly regulated as in New Jersey. Montana counted just $12.8 million in its first month last January.
• During its opening weekend (April 21-23), $3.5 million was raised from nearly 25,000 transactions.
• Week 1 totaled $5.5 million from nearly 46,000 orders; Week 2 (May 1-7) raised an additional $5 million for the state; Week 3 (May 8-14) saw the first drop in total earnings to $4.75 million; NJ rebounded in week 4 (May 15-21) with nearly 52,000 orders and $5.3 million in sales.
• 3 new licenses have been granted to storefronts in Eatontown, Union and Woodbridge owned by Ayr Wellness. You should open the wood within 70-90 days. Ayr was also approved for a second cultivation facility in Lakewood.
• Ascend Wellness added another retail location (Montclair) above the existing store in Rochelle Park.
• TerrAscend added a retail location in Lodi to support its already expanded Apothecarium locations in maple wood and Philippsburg.
• Ascend Wellness in Montclair will open 13 stores as of Wednesday (May 25), despite receiving approval to join the leisure market back in April.
• Columbia Care (MSO behind Cannabist Dispensaries) received a second cultivation license in Vineland.
• The Board issued new testing, cultivation, manufacturing and retail licenses, bringing the total number of licenses approved to 152.
• Buyers report limited selection and prices ranging from $45 to $60 per eighth flower, or 0.5 gram of concentrate. The state retail sales tax of 6.625%, plus local and excise taxes mean that about $1.6 million in taxes should flow.

A medical patient calmly checks out at RISE pharmacy in Bloomfield while hundreds of casual shoppers fill the first-day queues on the other side of the store. (Meg Schmidt, Leafly)

What’s next for the new ganja state?

The state’s Cannabis Board is currently reviewing retail license applications from micro-businesses and social justice applicants who are given the first opportunity to open purely recreational dispensaries.

The commission only began accepting applications for retail pharmacies in March and is on the verge of issuing the first 11 retail licenses to adult-only locations. New Jersey’s currently open pharmacies were already operating as medical providers known under state law as Alternative Treatment Centers.

The limited rollout strategy means Jersey’s debut numbers are far lower than they could have been.

Discover the best ganja in the Garden State

Ayr joins expanding MSOs

Ayr Wellness shared in a press release his excitement at being approved to serve adults in central New Jersey. “We are thrilled to be licensed for adult use in New Jersey and to have all three pharmacies cleared for adult use at the same time,” said Jonathan Sandelman, Founder, Chairman and CEO of Ayr.

In April, Ayr was not approved to expand with the state’s other ATCs. “We are disappointed with NJ CRC’s decision today not to approve Ayr to begin selling adult-use cannabis,” the company tweeted on April 11. The original cohort approved,” the social media account added .

Regulators delayed the first day of sales in March over concerns ATCs weren’t ready to handle the surge in demand. But a drama-free opening week should inspire more confidence in the industry’s ability to expand. According to Bloomberg, New Jersey has about 128,000 board-certified medical marijuana patients.

NJ License Data. (Cannabis Regulatory Commission)

NJ state law allows businesses to own a maximum of three retail locations. Ayr’s official statement added: “Central Jersey has the lowest number of pharmacies per capita, leaving the population underserved compared to the rest of the state. New Jersey is expected to become a very influential state for the US cannabis industry and we are honored to help shape the market landscape from the start.”

Related

New Jersey accepts cannabis license applications. How to apply

What’s next for conditional license winners?

New Jersey law and its regulators require that 30% of licenses be granted to blacks, women, and disabled veterans. According to data released last month, the vast majority of newly awarded conditional licensees represent social justice applicants who have been hardest hit by the war on drugs.

Tuesday’s new licenses are “conditional,” meaning award winners now have a few months to find permanent properties by lease or purchase and obtain approval from the local community. Applicants for conditional licenses must demonstrate annual income of less than $200,000 or $400,000 if filing jointly.

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