Harlem cannabis dispensary faces legal and regulatory challenges to open
NEW YORK (PIX11) – The Dynasty Commodities cannabis dispensary in Harlem is nice, bright, and clean.
But for the last ten months, this glistening retail space has been more like a debutante dressed up for the ball with nowhere to go, no one to serve, and no way to pay a growing pile of expenses—all thanks to legal and bureaucratic red tape.
“Right now, we’re waiting for the OCM’s approval. Unfortunately, we can’t open yet,” said investor Jahkaya Pugh.
Jahkaya Pugh and Anthony Gonzalez say they and two other investors are now almost a million dollars in the red, and no opening date is in sight.
“We don’t own the building. We’re paying the lease and rent, every month. Extremely frustrating. I was incarcerated. I was a victim of stop and frisk. I thought this was supposed to benefit us,” said Gonzalez.
But more significant, established cannabis industry players are suing the New York State Office of Cannabis Management, accusing the agency of giving justice system-involved individuals like Anthony an unfair advantage in obtaining a dispensary license.
An injunction continues to prevent up-and-comers like Anthony and Jahkaya from opening their businesses.
Industry expert Ed DeVeaux, also a former president of the NJ Canna-business Association, says the road to success has been much rockier in New York compared to what’s been rolled out in New Jersey.
“This is, in fact, private enterprise. It does come with an assortment of risks. And so you do want to see success, you want to see those who the industry was legalized for – to experience success, especially at greater rates,” said DeVeaux.
Gonzalez added, “We’re the little guys. We put our own money into this place. We’re not getting any money from the city or the state to build this out.”
The New York State Office of Cannabis Management did not comment on active litigation but did send PIX11 News a statement that reads in part:
“We’ve heard from many New Yorkers eager to get into the legal cannabis market that we can do better. As such, over the last few months, the Office has significantly increased staffing in Licensing and other operational areas, implemented a single-point-of-contact review for applicants, and we are building a dedicated customer service practice to make sure…applicants and licensees are able to get the information they need to make the best decisions for their businesses.”