On December 11, 2017, Culver City Council voted to approve an ordinance that allows for the establishment of medicinal and recreational commercial cannabis businesses. Culver City becomes the fourth city in Los Angeles (including West Hollywood, Los Angeles, and Maywood) to implement a framework for regulating both medical and adult-use cannabis.
Since January 1 and the legalization of adult-use cannabis in California, clients have been asking us constantly about licensing their businesses. As we have explained time and again, getting local approval is paramount before getting a state license.
Here is how the rest of Los Angeles County currently looks:
- The City of Los Angeles is only accepting Prop M Priority Applications until at least March 4, 2018. The city has stated that applications for the general public probably will not be available until mid-2018.
- West Hollywood has been processing applications, but the city is known for having high rents and minimal property space.
- Maywood is one of the smallest incorporated cities in Los Angeles County. Although they allow commercial cannabis businesses, there is not a lot of space to establish one.
Culver City expects to have an application process open soon, sometime during the first quarter of 2018. The ordinance allows for the establishment of storefront retail, delivery only retail, manufacturing, distribution, laboratory testing, and indoor commercial cultivation. There will be limits placed on the number of permits issued for each type of business, so it will be important to be ready once the application process opens. The city expects that getting a storefront retail business permit will be competitive.
The ordinance additionally lays out strict standards for business permits. A commercial cannabis business permit is not transferable to other persons, projects, or locations. Businesses will not be able to relocate unless approved by the City Council. The ordinance also sets forth rules for changing ownership and changing the form of the entity. These types of things will be important to get organized before applying for a commercial cannabis business permit in Culver City.
Located in the heart of West LA and easily accessible by many major freeways, Culver City offers a great alternative to those seeking business licenses in the City of Los Angeles. Anyone interested should continue to monitor closely, and be ready to move quickly.