New York Cannabis Market Updates: OCM Progress, New Dispensary Openings & Industry Insights

New York’s cannabis industry continues to make strides toward building an equitable and sustainable market, with recent updates highlighting key milestones and future plans for the sector. At the Joint Legislative Budget Hearing on Economic Development held on February 26, 2025, Acting Executive Director of the Office of Cannabis Management (OCM), Felicia A.B. Reid, provided testimony on the progress, challenges, and economic impact of the state’s cannabis market.

Progress and Vision for New York’s Cannabis Market

During the hearing, Acting Executive Director Reid highlighted the state's commitment to social and economic equity in its cannabis program. She emphasized the importance of ensuring that small and medium-sized businesses thrive alongside larger operations, and stressed the OCM's ongoing efforts to strengthen social and economic equity. Reid also discussed enforcement efforts and future initiatives aimed at improving the regulated cannabis industry, ensuring a balance between growth and community impact.

New Adult-Use Dispensaries Opened

In line with the expansion of New York’s cannabis market, several new adult-use dispensaries have recently opened their doors across the state:

  • Lucky Green Ladies (Kingston, NY)
    Located at 365 S Wall Street, Kingston, NY 12401, Lucky Green Ladies opened for in-person and delivery sales on February 18, 2025.
    Hours of Operation:
    Monday through Saturday: 9 AM - 9 PM
    Sunday: 9 AM - 7 PM
    Website
  • The THC Shop (Rosedale, NY)
    Situated at 144-07 243rd Street, Rosedale, NY 11422, The THC Shop opened its doors for in-person sales on February 21, 2025.
    Hours of Operation:
    Monday through Sunday: 10 AM - 8 PM
    Website
  • 716 Cannabis (Hamburg, NY)
    Originally an existing dispensary, 716 Cannabis relocated to a new location at 5161 Camp Road, Hamburg, NY 14075, and opened for in-person sales on February 21, 2025.
    Hours of Operation:
    Monday through Saturday: 8 AM - 10 PM
    Sunday: 12 PM - 9 PM
    Website

These new openings bring the total number of adult-use cannabis dispensaries in New York to 309. With more dispensaries expected to open soon, New York is making significant strides in improving access to safer, licensed cannabis products for consumers.

The OCM’s adult-use cannabis program is designed not only to provide consumers with safer cannabis options but also to lay the foundation for an equitable industry. One of the key tools in this effort is the Dispenser Verification Tool, which is displayed in storefronts at all licensed dispensaries. Before making a purchase, consumers are encouraged to use the tool to verify that the dispensary is licensed, ensuring that they are purchasing from a regulated source.

New York Cracks Down on Illicit Operators: $6 Million Judgment Against Big Chief Smoke Shop

In a significant enforcement action, New York Attorney General Letitia James secured a $6 million judgment against Big Chief Smoke Shop, an unlicensed cannabis retailer located in Brooklyn. This case highlights the state's ongoing crackdown on illegal cannabis operations that undermine the legal market.

Big Chief Smoke Shop had repeatedly ignored cease-and-desist orders and continued to sell unlicensed cannabis products, putting consumers at risk with untested and potentially unsafe products. Authorities seized over 600 pounds of illicit cannabis from the shop, resulting in substantial financial penalties. The judgment includes nearly $5.9 million in penalties, along with a $121,000 disgorgement of illegal profits and $44,000 in legal costs.

Felicia A.B. Reid, Acting Executive Director of the OCM, stated, “Illicit operators like Big Chief undermine businesses that are following the law and put consumers at risk by selling untested products.” This case underscores New York's commitment to ensuring a fair and safe cannabis market by taking strong enforcement actions against those who operate outside of the legal framework.

The Industry’s Perspective on the OCM

While there is broad support for the OCM’s efforts to regulate and shape New York's cannabis industry, there are also mixed sentiments about the agency’s role.

Positive Sentiment:

  • Commitment to Social Equity: One of the strongest points in favor of the OCM is its focus on social equity, with programs designed to help communities that were disproportionately affected by cannabis prohibition. The state's emphasis on giving marginalized groups opportunities within the legal cannabis market has been welcomed by many industry leaders.
  • Regulatory Clarity: Many businesses appreciate the structured regulatory framework the OCM has worked to establish, which provides clear guidelines for legal operations. This clarity is crucial for businesses to navigate and thrive in the evolving market.
  • Support for Small Businesses: The OCM has been recognized for prioritizing small and medium-sized cannabis businesses, helping them with licensing and access to capital, ensuring that the market doesn’t become dominated by large corporations.

Areas of Concern:

  • Regulatory Delays: However, the pace at which licenses are issued has drawn criticism. The slow-moving process has left some businesses frustrated, particularly those waiting for licensing approval to start or expand their operations.
  • Accessibility of Licensing: Smaller businesses, particularly social equity applicants, have expressed concerns about the accessibility of the licensing process. High application costs and the complexity of navigating the system have led to some feeling that the process favors those with more resources.
  • Enforcement Practices: While some appreciate the OCM’s efforts to ensure compliance, others feel that the enforcement measures disproportionately target smaller businesses while larger illegal operators remain unaffected.
  • Transparency and Communication: Industry participants have also called for better communication from the OCM, especially when it comes to policy changes and new regulations. Greater transparency could help businesses better understand their obligations and avoid unnecessary roadblocks.

Looking Ahead

As New York continues to navigate its evolving cannabis market, the state remains focused on supporting businesses, promoting equity, and ensuring consumer safety. With the ongoing expansion of dispensaries and the state’s commitment to an inclusive approach, the future of cannabis in New York looks promising. However, as the market matures, industry players and the OCM will need to work together to address existing concerns and refine the regulatory framework.

For more information on dispensary locations or to use the Dispensary Verification Tool, visit the official New York State Office of Cannabis Management website.