A developer has proposed what could become Michigan's first combined music venue and cannabis-consumption lounge near Ypsilanti. The project, preliminarily approved by the Ypsilanti Township Planning Commission on August 27th, involves transforming 3.87 acres at 2525 S. State St. into a unique space that integrates live music and cannabis use.
The plan includes a 4,300-square-foot indoor lounge, an outdoor amphitheater, and a 1,260-square-foot storage building. Michael Ludtke, the landowner and applicant, who is also developing a nearby dispensary, has named the venue "Pipeline" as a nod to the underground cannabis market, often referred to as the "black market."
Ludtke, who has long envisioned blending music with cannabis in a permanent setting, emphasized the lack of spaces where cannabis consumers can enjoy the substance in a social, experiential environment. "As a cannabis consumer, we really don't have anywhere to enjoy cannabis with any type of experience," Ludtke stated.
According to Ludtke, this venue would be the first in the state to offer both indoor and outdoor cannabis consumption. The indoor facility would host events year-round and welcome a broad range of music genres. Ludtke mentioned that Detroit's rap scene, classic hippie-style bands reminiscent of the Woodstock era, electronica, and DJ performances are among the potential genres that could be featured, all within a cannabis-friendly environment.
The outdoor amphitheater will include spaces for food trucks and will be enclosed by a non-visibility fence to comply with state regulations. The venue plans to operate three days a week, accessible to anyone aged 21 or older for a $25 entry fee, or for free with a $50 purchase at the adjoining dispensary. Planned operating hours range from noon to 10 p.m. or 5 to 10 p.m., depending on the day, with one day each week reserved for private events such as weddings or parties.
Pipeline will be situated just south of where Ludtke is establishing Frost Cannabis, a dispensary and cultivation facility at 1250 Watson Ave. Although these projects are distinct, both developments are on Ludtke's six-acre property, which was divided into two parcels in April 2023 to comply with state requirements for separate parcels.
Security at the venue will be stringent, with indoor and outdoor areas under continuous video surveillance. Footage will be stored for 60 days, with access provided to law enforcement as required by state law. Additionally, Ludtke mentioned that a noise study has been conducted, and adjustments have been made to minimize noise impact on the nearby West Willow Neighborhood.
Ludtke also commented on the broader concept of cannabis consumption lounges, describing them as a “hollow idea” if they only offer a space to consume cannabis without additional experiences. He believes that combining cannabis use with music and social activities will create a more appealing environment.
In Michigan, only three cannabis consumption lounges currently operate, the most recent of which opened in February in Kalamazoo. For the Pipeline project to proceed, developers must finalize an agreement with the township board, addressing conditions such as the number of large events, temporary parking needs, security measures, portable toilets, capacity, hours of operation, lighting, and waste management.
Employees at Lume Cannabis in Escanaba are on the verge of making history by forming the first unionized cannabis workforce in Michigan’s Upper Peninsula. The group, known internally as "luminaries," recently took significant steps toward unionizing, signaling a new chapter in the labor movement within the region’s cannabis industry.
The decision to unionize was driven by the workers themselves, as noted by Marie Werth, secretary-treasurer of UFCW Local 1473. "They were encountering issues within their company," Werth explained. "They wanted to ensure their voices were heard. Organizing into a union was the path they chose to achieve that."
Currently, there are 290 cannabis dispensaries across the country affiliated with the United Food and Commercial Workers International Union (UFCW). If successful, Lume’s Escanaba location would be the first in the Upper Peninsula to join their ranks.
The unionization process is being guided by UFCW Local 1473, with President Jake Bailey outlining the crucial steps involved. "You never file for an election until you've reached out to everyone eligible in the unit and secured support from at least 70% of them through authorization cards," Bailey said. "That support is essential before moving forward with a petition to the National Labor Relations Board."
On July 23rd, 14 out of the 18 budtenders at Lume Escanaba voted in favor of unionizing, surpassing the required threshold with a 78% approval rate.
In response, Lume Cannabis Co-President and COO Doug Hellyar expressed the company's commitment to its employees. "At Lume, we value and respect our amazing employees," Hellyar stated. He highlighted the company’s efforts to provide industry-leading wages, benefits, and professional growth opportunities. According to Hellyar, over 500 Lume employees have been promoted internally, reflecting the company's focus on developing talent from within.
Hellyar also pointed to Lume’s contributions to the Upper Peninsula, including donations of $25,000 to the Marshfield Medical Center-Dickinson Cancer Center in Iron Mountain and $17,000 to the Walton Blesch Stadium Legacy Foundation for infrastructure improvements at a historic high school field in Menominee.
For the Lume Escanaba luminaries, the primary motivations behind their unionization effort are wages, benefits, and guaranteed working hours. With the initial vote completed, negotiation meetings for the collective bargaining agreement are expected to commence in the coming months.
Update: butter has officially posted a statement over on their LinkedIn profile.
On Monday, August 26th we began a difficult transition at our cultivation facility in Flint, Mi. Due to the heightened costs of production and price compression in the Michigan market, we were faced with the unfortunate need to downsize staff and pivot our production strategy to focus more on providing exceptional products and customer service. Both butter retail facilities in Berkley and Ann Arbor are fully operational, and we look forward to continuing to service customers in those communities. Thank you for your patience while we work through this shift. We are immensely grateful for your continued support and understanding.
Rumors are spreading online that the Michigan cannabis brand butter may be shutting down its operations entirely. These claims originated from a Reddit thread on the Michigents subreddit, where users have reported that the company’s Flint-based cultivation facility was unexpectedly closed yesterday.
The initial post in the Reddit thread alleges that butter's cultivation facility was suddenly closed, catching many by surprise. The poster, who appears to have worked for the company, mentioned that employees were notified of the shutdown earlier in the day. According to the post, the sudden closure has led to concerns among staff and customers about the future of the brand.
Several Reddit users have commented on the thread, sharing their own observations and experiences with butter in recent months. Some have noted issues with product availability, suggesting that inventory levels had been inconsistent. Others mentioned that they had noticed signs of financial strain or operational difficulties within the company, which may have contributed to the alleged closure.
One user claimed that the company had been dealing with regulatory challenges, which could be a factor in the reported shutdown. However, these claims have not been verified, and no official information has been released by butter to confirm or deny these rumors.
As of now, there has been no official statement from butter regarding the alleged closure. The lack of communication from the company has fueled further speculation and concern among those who follow the Michigan cannabis industry closely. Some users on Reddit have expressed frustration at the uncertainty, particularly those who are regular customers of butter products.
If the rumors are accurate, the closure of butter would mark a significant shift in the Michigan cannabis market. butter has been a recognizable name, known for its cultivation practices and product offerings. The loss of a brand like butter could impact not only consumers but also dispensaries that rely on its products.
The situation, as described by Redditors, also highlights the challenges that cannabis companies in Michigan face, including maintaining regulatory compliance, managing financial pressures, and competing in a crowded market.
Until butter issues an official statement, the status of the company remains uncertain. The Reddit thread has certainly sparked conversation and concern, but without confirmation, it's difficult to assess the full scope of what’s happening. Those interested in the outcome will likely be monitoring both official channels and online discussions closely in the days to come.
Michigan's cannabis industry has long faced financial challenges due to federal restrictions that prevent the use of traditional banking services for transactions. Specifically, credit card companies like Visa and Mastercard, which are federally chartered, have prohibited their use in cannabis-related transactions. This has left both dispensaries and customers in Michigan grappling with limited payment options, often resorting to cash-only transactions.
In response to these challenges, New Line Processing, a New York-based company, is stepping into the Michigan market with a new financial product designed to help cannabis businesses and consumers navigate these restrictions. Founded in 2014, New Line Processing focuses on supporting regulated and restricted industries, with cannabis being one of its core competencies.
Dan Abadir, CEO of New Line Processing, recently shared details about their new product in an interview. The company is introducing a closed-loop credit system that provides cannabis consumers with revolving lines of credit, which can be used at participating dispensaries. This system, named Omn Credit, is designed to bypass the restrictions imposed by traditional credit card companies while ensuring compliance with state and federal regulations.
The credit limits offered through this system range from $250 to $1,000, depending on the creditworthiness of the applicant. This approach is particularly well-suited to the cannabis market, where the average transaction value hovers around $100 to $140. By offering modest credit limits, the system minimizes risk while providing consumers with convenient access to credit for their purchases.
When a customer enters a participating dispensary, they will be screened using a device provided by New Line Processing. This device verifies the customer’s identity and checks for any potential fraud, using data from the DMV and other sources. Once approved, the customer receives an SMS notification with a link to complete their account setup, which involves creating a user ID, password, and accepting the terms and conditions. Upon completion, the customer is issued a digital QR code, which serves as their credit account for purchases.
Unlike other financial instruments that act as intermediaries, such as stored-value cards, this revolving credit line functions similarly to traditional credit cards, except it operates entirely within the cannabis industry’s legal framework. The dispensaries benefit from this system as well, receiving free equipment from New Line Processing to facilitate the credit application and transaction process.
While initially designed to assist consumers with limited or weak credit, the Omn Credit system aims to attract a broad range of customers, including those with prime and mid-prime credit ratings. The goal is to expand the product's footprint beyond the cannabis industry, eventually making it a general-purpose financial tool available across various sectors.
This innovative solution offers a much-needed financial service to Michigan’s cannabis market, potentially setting a new standard for how transactions in regulated industries can be handled. As New Line Processing continues to grow, it aims to make Omn Credit a household name, providing consumers with a reliable and compliant way to finance their purchases in the evolving cannabis industry.
For more information about New Line Processing and their credit solutions, visit newlineprocessing.com.
Ironwood, Michigan, is welcoming yet another cannabis dispensary, bringing the total number in this small town to five. With a population of less than 5,000, Ironwood, located on the border of Wisconsin, has quickly become a hub for cannabis retail. The first dispensary to set up shop was Higher Love, followed by Rize. In more recent years, High Profile opened its doors, and The Firestation Cannabis Company also joined the lineup. Now, the latest addition is Levels Cannabis Supercenter, set to hold its grand opening on August 24th-25th.
The news of Levels Cannabis Supercenter’s arrival spread through the town via a flyer that made its way into local mailboxes. The flyer, filled with bold promotions, highlighted their aggressive marketing strategy, which includes prize giveaways, drawings, and a promise to price match. The flyer also prominently states, "21+ Out Of State Welcome," targeting potential customers from nearby Wisconsin and Minnesota, where cannabis laws are much stricter. Notably, Wisconsin has yet to legalize cannabis even for medical use, making Ironwood an attractive destination for residents from neighboring states seeking legal cannabis products.
The opening of Levels Cannabis Supercenter underscores the growing competition among dispensaries in Ironwood, each vying for a share of the lucrative cross-border market. This competition has led to creative promotions, such as High Profile's recent offer of gas money to customers who show a Minnesota driver's license, further cementing Ironwood's reputation as a key access point for cannabis in the region.
Inflation has been a significant concern across the U.S., as the cost of basic necessities has surged over the past few years. While some of these increases have stabilized, many essential items remain much more expensive than they were just a few years ago.
In the past year alone, prices have risen by an average of 3.4%, following a 3.8% increase the previous year. However, one industry in Michigan has not only avoided these inflationary pressures but has also seen a significant price reduction: the cannabis industry.
Grocery shopping has become a strain on many household budgets. A week's worth of groceries, which once cost around $50, now easily surpasses $80 or $90. Shoppers are turning to off-brand products and even abandoning organic options in an effort to save money. Despite these efforts, the higher cost of living is a reality that many Michiganders are grappling with daily.
Yet, amidst these challenges, Michigan's cannabis consumers have found some relief. While nearly everything else has become more expensive post-pandemic, cannabis prices in the state have significantly decreased.
Unlike other industries, which have been hit hard by inflation, Michigan’s cannabis market has seen prices drop. In 2020, the average cost of an ounce of cannabis in the state was $419.39, placing Michigan among the most expensive states for cannabis, behind only Illinois and Maine.
However, competition within Michigan's cannabis industry has driven prices down rapidly. Today, the average price for an ounce of cannabis in Michigan is just $91.71, making it one of the most affordable states in the country for cannabis consumers.
The unique dynamics of the cannabis industry in Michigan have contributed to this price drop. Cannabis in the state is not subject to federal taxation and is not traded on national stock markets, meaning prices are driven primarily by local supply and demand.
Michigan's robust competition among dispensaries and cultivators has been a key factor in keeping prices low. Additionally, unlike states such as Illinois, Michigan does not impose exorbitant taxes on cannabis, which further contributes to the affordability of the product.
As Michiganders navigate the challenges of rising costs in nearly every sector, the state's cannabis industry offers a rare example of prices moving in the opposite direction. For those who use cannabis, this industry not only provides some financial relief but also underscores the benefits of strong local competition and thoughtful regulation.
While the side effect of cannabis might be an increased appetite, leading to higher grocery bills, at least the cannabis itself is more affordable than ever.
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