Iced Out Genetics, a Michigan-based virtual dispensary, has expanded its operations to provide mail order cannabis services across all 50 states. This development follows a pivotal decision recognizing the medical benefits of cannabis, marking a considerable progression in the industry. The company boasts an expansive catalog of over 900 premium cannabis strains, catering to a broad audience.
The expansion into nationwide shipping is a direct response to the increasing trend of cannabis legalization in various states. A spokesperson from Iced Out Genetics shared their perspective on the change, stating, "Previously, our products were limited to states where cannabis was legally available. However, with the evolving legal landscape, there is now a significant opportunity for growth in the mail order sector of our industry. As we approach potential federal legalization, we are ready to serve the expanding market, which is projected to reach substantial financial milestones annually."
Iced Out Genetics distinguishes itself as the sole mail order cannabis provider that offers same-day shipping throughout the country. Their service is particularly vital for residents in rural areas, where access to cannabis can be limited. The company's online platform, icedoutgenetics.com, provides a convenient solution for customers to purchase cannabis, including seeds and flowers.
In an effort to simplify the purchase process and enhance accessibility, Iced Out Genetics has removed the requirement for medical identification for its customers. This move is part of the company's commitment to ensuring that high-quality cannabis products are accessible to a wider customer base.
Wrestling icon Ric Flair is making a striking entrance into Michigan's cannabis market through a partnership with local brand Goldkine. The collaboration introduces Flair's "Ric Flair Drip" brand to the state, aiming to merge his flamboyant persona with Goldkine's reputation for quality cannabis offerings.
The initial product rollout features a diverse selection, including premium cannabis flower and infused pre-rolls, tailored to meet various consumer preferences. These products will be available from May 3rd at dispensaries across Michigan such as Puff, Consume, Exclusive, and Joyology. Plans to expand the lineup later in the year include the introduction of edibles.
Ric Flair shared his excitement about the venture, emphasizing the brand's ethos: "Wooooo! Ric Flair Drip Cannabis is about bringing flair to every moment. It's not just about the product, it's about the experience, the style, and living life to the fullest. Michigan, get ready to drip with the Nature Boy!"
Goldkine's co-founder, Jimmy Smith, expressed enthusiasm for this partnership, highlighting it as a testament to their commitment to quality and innovation in the cannabis industry. "This collaboration reflects our dedication to providing the highest quality cannabis products and creating unique experiences for our customers. We believe this partnership will set a new standard in the industry," said Smith.
Carma HoldCo, a significant entity in the Michigan cannabis sector and home to premium brands like TYSON 2.0 and Evol by Future, is also playing a crucial role in this launch. By introducing Ric Flair Drip to Michigan through their partnership with Goldkine, Carma aims to enrich the state's cannabis market.
Adam Wilks, Chairman and CEO of Carma HoldCo, commented on the expansion: "We are proud to be a part of this exciting venture, bringing the Ric Flair Drip cannabis brand to Michigan. This expansion represents Carma's commitment to providing our customers with diverse and high-quality options. We look forward to the positive impact this collaboration will have on Michigan's cannabis landscape."
In the burgeoning landscape of Michigan's legal cannabis market, a shift is noticeable from the days of caregiver-operated stores that championed the motto, "Good weed ain't cheap, and cheap weed ain't good." During the pre-legalization era, with around 90 retail stores in Lansing alone, the absence of regulatory barriers enabled a fiercely competitive environment. This often led retailers to slash prices, though not to the rock-bottom levels observed today.
Conversely, a segment of operators concentrated on enhancing product quality. These businesses invested in superior additives for cultivation, ensured plants were properly cured, and focused on critical quality indicators such as taste, terpene profiles, and overall effects. As is generally true, quality came at a higher cost. Unlike today's large-scale legal operators, caregivers worked on a smaller scale, somewhat cushioned by the lack of regulatory fees, yet they could not match the production output we see in the current market.
The state also experienced variable access to the market, driven by differing municipal enforcement levels against gray-market dispensaries. This variability allowed cities like Flint, Lansing, Detroit, and Traverse City to emerge as cannabis hubs without saturating the market, thus maintaining price stability that paralleled the traditional illicit market.
However, the landscape has drastically changed. The push for lower costs has initiated a "race to the bottom" in terms of both quality and price. Many producers now resort to using ozone or radiation to treat their cannabis, aiming to maximize profitability. Remarkably, during recent holiday sales, several retailers reported just breaking even.
This inequality in market access persists in the legal framework, as municipalities decide on the presence of cannabis businesses in their communities. Despite a greater number of retailers and a more even distribution across Michigan, the dynamics of market access have significantly evolved.
The rise of well-capitalized corporate entities has further transformed the market. These companies, driven by a quest for market share, are well-prepared for dramatic price fluctuations, spurred by an increase in cultivation capacity following legalization. Michigan's relatively laissez-faire approach to cannabis has enabled numerous operators to enter the cultivation arena, leading to an oversupply and intense competition for retail market share.
For consumers, this means lower prices—often below the cost of production—which, while increasing accessibility, raises questions about the long-term impacts on the market and community. Many small operators struggle to compete with these artificially low prices.
In the alcohol industry, Michigan has set minimum shelf prices, a measure that has supported the craft sector by stabilizing pricing against larger competitors. Growing voices within the cannabis industry suggest that a similar approach might be beneficial for cannabis, potentially curbing predatory pricing practices of large operators and fostering higher quality standards.
As discussions about introducing minimum pricing on cannabis gain traction, it could represent a significant step towards a more sustainable industry, benefiting both small and large operators and ensuring a diverse, quality product range for consumers. Even in the absence of such regulations, it is worthwhile for consumers to consider the broader implications of their purchasing choices within the cannabis market.
In Monroe Charter Township, Michigan, a transformation is taking place at the long-neglected Monroe Factory Shops on LaPlaisance Road. Once bustling with retailers and eateries, the area had succumbed to vacancy and disrepair. However, thanks to a change in direction led by local entrepreneur Chris Harter, the site is set to become a new hub for cannabis cultivation and retail.
Originally known as the Manufacturers Market Place, and later as the Horizon Outlet Center, the 22-acre site had seen better days with its primary retail space mostly abandoned since 2015. As nearby fast-food outlets closed one by one, the area seemed destined for continued decline. However, Harter, a Monroe native with business ties in both Michigan and Atlanta, saw potential for revival not through traditional retail, but through Michigan's burgeoning cannabis industry.
Harter's vision emerged following unsuccessful attempts to revitalize the outlet center with traditional retail formats. After Michigan legalized medicinal cannabis in 2008 and moved towards legalizing recreational cannabis in 2019, Harter pivoted towards transforming the site into a location suitable for growing and dispensing cannabis. His plan includes the establishment of at least two cultivation facilities and three dispensaries.
One of these dispensaries is set to occupy the former Burger King building, with substantial renovations already underway to repurpose the internal spaces for their new role. Harter's former business associates, now operating under Terra Lusso LLC, have committed to developing 15,000 square feet of the center for similar purposes. Additional groups involved include a collaboration between a Toledo real estate investor and a Detroit celebrity, as well as another led by a Detroit businessman.
While nearly 70 percent of the site's space has been pre-leased, all tenants are currently in a holding pattern as they await the passing of local ordinances crucial for operational guidelines and community safety standards. The legislative process faced delays after initial attempts to pass the necessary ordinances were met with local resistance and procedural setbacks.
Monroe Charter Township Supervisor Alan Barron is optimistic about the project's impact, suggesting that the presence of dispensaries might catalyze further commercial activity, drawing in additional businesses and potentially replicating the multi-attraction draw seen in tourist locations like Frankenmuth, Michigan.
As the township works towards finalizing the marijuana ordinances, with key meetings and hearings scheduled across the coming months, the project's progress reflects a broader trend of repurposing underutilized retail spaces to accommodate new industries. This development not only promises a revival of the once-thriving outlet center but also represents a significant shift in local business dynamics, potentially setting a precedent for similar transformations elsewhere.
The Village of Holly is experiencing enhancements in its recreation offerings thanks to a notable contribution from Lume Cannabis Company, a prominent cannabis retailer in Michigan. The company has committed $50,000 to support the village's parks department and various community initiatives, including a scholarship program. This funding effort is partly sourced from the annual sales at Lume's store located on Grange Hall Road in Holly.
Out of the total donation, $10,000 will be allocated directly to the village's parks department, with an additional $7,000 designated for the acquisition of new playground equipment. Jerry Walker, the Village of Holly Manager, expressed gratitude for the partnership with Lume, highlighting the positive impact of the company's involvement since it began operations last year. "Lume has been an incredible partner since their doors opened last year and the company's investment in our community is allowing us to create family-friendly amenities at our parks," Walker said. He also noted that the funds would support educational scholarships aimed at helping local residents pursue careers as police officers and firefighters, as well as backing the village's Fourth of July fireworks celebrations.
The presence of cannabis retailers like Lume not only boosts local economies through such direct contributions but also benefits Michigan communities through the shared tax revenue generated from cannabis sales.
Lume operates 38 locations across Michigan, including four additional stores in Oakland County. Doug Hellyar, the President and COO of Lume, reiterated the company's commitment to community support. "At Lume, we are dedicated to being a good neighbor and serving our loyal customers," said Hellyar. "The Village of Holly has been so welcoming since we opened and we are thrilled to have an opportunity to help support the community by investing in local parks and scholarships."
This partnership exemplifies how cannabis companies can play a pivotal role in fostering community development and support through strategic investments and engagement with local programs.
Grown Rogue International Inc. has recently enhanced its stake in its Michigan operations by increasing its ownership from 52.2% to 80%. The company executed this expansion through two key transactions, totaling a value of $2.8 million.
The financial structure of the deal included an upfront cash payment of $200,000, with the remaining $2.6 million covered through sellers' notes, repayable over four years. This acquisition targets the company's subsidiary, Golden Harvests, LLC, which oversees its Michigan facilities. These facilities boast an 80,000 square foot space, of which approximately 15,000 square feet is dedicated to the flowering of cannabis.
Further details of the transaction reveal a complex structure of ownership and investment. Grown Rogue's related entity, Canopy Management, LLC, currently holds a 60% interest in Golden Harvests. Notably, Canopy itself is 87% owned by Grown Rogue indirectly. As part of the agreement, Grown Rogue acquired the remaining minority interest in Canopy for $800,000. This payment plan includes a 20% down payment in cash and subsequent monthly payments over a four-year period at an interest rate of 5.2% per annum.
Additionally, Grown Rogue purchased a 20% minority stake in Golden Harvests directly for $2 million, agreeing to minimum quarterly cash payments across four years. This strategic move places Golden Harvests at a valuation of $10 million, reflecting its significant market potential. The company plans to fund these payments using its existing cash reserves and through cash generated from ongoing operations.
Moreover, Grown Rogue retains the option to acquire the final 20% of Golden Harvests, ensuring future control is based on fair market evaluations. It's noteworthy that Dave Pleitner, an insider at Grown Rogue, holds the minority interest in Golden Harvests, and certain directors of the company possess 8% interest in Canopy.
CEO Obie Strickler emphasized the strategic importance of Michigan to Grown Rogue, noting the state as a pivotal market where the company first demonstrated its operational capabilities beyond its original base in Oregon. He expressed enthusiasm about the increased ownership and discussed potential plans to further develop and maximize the facility's additional 25,000 square feet of space.
In response to these developments, Grown Rogue's shares saw an 8.9% increase so far today, trading at $0.71 per share, illustrating positive investor sentiment following the announcement of the expansion.
Helpful Links Categories Recent News