The first legal dispensary for recreational pot in New York opens Thursday in Manhattan, marking a long-awaited launch of a marijuana industry that could become one of the country's most lucrative.
Housing Works Cannabis Company was preparing for a grand opening the likes of which the city has never seen.
"It is extremely surreal, there's a lot going on," said Sasha Nugent, the retail sales manager at Housing Works. "I think it is an adjustment period, a lot of people are like, 'Is this OK?'...But we are going to tell people it's legal, everything has been tested."
Get Tri-state area news and weather forecasts to your inbox. Sign up for NBC New York newsletters.
Customers will find a range of prices and products, from $20 for an edibles container to a "flower" or plant — which you can roll into a joint — for between $40-$95. Cannabis vape kits will also sell for $95.
"All proceeds from purchases go back to fund our services and advocacy, which include housing, health care and people living with HIV and chronic illness," Housing Works Creative Director Elizabeth Koke. "So many communities have suffered under cannabis criminalization."
Gov. Kathy Hochul announced on Dec. 21 that Housing Works, a minority-controlled nonprofit in Manhattan that serves people with HIV and AIDS, will be the first of 36 recently licensed dispensaries to begin selling cannabis to the general public — even though dozens of illegal shops have been in operation for many months.
"We set a course just nine months ago to start New York's adult-use cannabis market off on the right foot by prioritizing equity, and now, we're fulfilling that goal," Hochul said. "The industry will continue to grow from here, creating inclusive opportunity in every corner of New York State with revenues directed to our schools and revitalizing communities."
The 4,400-square foot corner building at Broadway and Astor Place, which used to be a Gap store, was the winner of the first location — the very first place in New York State where people can legally purchase recreational marijuana.
"They were just the first to get their paper in order there’s a bunch of others right behind them," said Chris Alexander of the state's Office of Cannabis Management.
The announcement was made one month after the state's Cannabis Control Board took a monumental step in establishing a legal marketplace for marijuana by issuing the first round of licenses, in which it greenlit three dozen businesses. In the coming months, the state is expected to issue an additional 139 licenses, with about 900 applicants waiting to learn their fate.
“The industry will continue to grow from here, creating inclusive opportunity in every corner of New York State with revenues directed to our schools and revitalizing communities," Hochul said in her announcement.
New York legalized the recreational use of marijuana in March 2021.
Mayor Eric Adams lauded the opening of the dispensary in a statement Thursday, calling it a "major milestone in our efforts to create the most equitable cannabis industry in the nation."
"The opening of the first legal dispensary in our state right here in New York City is more than just a promising step for this budding industry — it represents a new chapter for those most harmed by the failed policies of the past," the Democrat said. "The legal cannabis market has the potential to be a major boon to New York’s economic recovery — creating new jobs, building wealth in historically underserved communities, and increasing state and local tax revenue."
"At the same time, we will continue our efforts to educate unlicensed operators about the law and hold bad actors accountable," Adams added. "We are proud to celebrate this significant moment with Housing Works, lawmakers, and the advocates who made this day possible."
Housing Works, which also serves homeless and formerly incarcerated people, was one of eight nonprofits among the initial licensees. The dispensary will be open every day starting Dec. 29, from 11 a.m. to 7 p.m. It will start with a VIP opening in the morning, then begins with public sales in the afternoon.
"There's definitely going to be a line, we are prepared with crowd control things in place," said Nutgent.
“This opportunity will not only give our team the resources to further our overall mission, but to feature and elevate products coming from LGBTQ+, BIPOC and women-led cannabis brands across the state," said Charles King, chief executive officer of Housing Works.
The state reserved its first round of retail licenses for applicants with marijuana convictions or their relatives, plus some nonprofit groups. It also planned a $200 million public-private fund to aid “social equity” applicants.
But it has been a slow process to get legal weed off the ground, which has left dozens of cannabis growers (many upstate and in the Hudson Valley) in limbo. They’ve grown tons and tons of product, but had nowhere to sell it — until now.
"It’s a step in the right direction but practically for us it doesn’t mean much because it’s just one," said Alex Keenan of Hudson River Kemp.
Growers have also been facing illegal competition from shops that have been selling marijuana even though the state hadn't yet given the green light. State officials said consumers should not trust what they find at unlicensed trucks, bodegas or stands on the street.
"You wouldn't go to a barber shop selling milk. You'd have questions about where that milk is coming from and how fresh it is," said Alexander. "Not going into a bodega, where you don't know what that product is — instead there's a place where you have a tested and safer product."
In a one-on-one interview with NBC New York, Mayor Eric Adams addressed the importance of the new legal marketplace.
"Cannabis — if it's done correctly, we go after the illegal collection — then it's an economic boost," Adams said. "I think it's a real win, but done correctly."
State officials told NBC New York that other dispensaries, including locations in the other boroughs and around the state, can open in January.
