After troubled start, New York is shaking up its legal marijuana market with new competitors

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New York is dramatically expanding a legal marijuana market plagued by a sluggish rollout of retail stores.

Alex Silecchia, left, a marijuana"budtender," also known as a sales associate, serves a customer at States Cannabis Company dispensary, Friday, Sept. 29, 2023, in New York. New York is set to dramatically expand its legal weed market and issue over 1,000 new licenses starting early next year, to include deep-pocketed marijuana companies.

to help applicants open shops. The rollout also was hobbled by lawsuits on behalf of people and businesses excluded from the first wave of retail licenses. Under new regulations, medical marijuana providers could begin retail recreational sales at one of their existing dispensaries as early as Dec. 29. They could begin selling recreational pot at two more dispensaries six months after that. The entry price for those companies is steep: a $20 million licensing fee, with $5 million due upfront. But multiple companies are expected to jump in.

Still, critics say the state should have allowed more time for economically and socially diverse entrepreneurs to succeed before letting in larger competitors.

 

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