In February 2019, the City of Willits had 24 non-dispensary, cannabis-related permits submitted for review. Cultivators, distributors, processors, and manufacturers had either been accepted or were waiting for approval to begin operating. In addition, Willits City Council was voting to amend the existing standard which limited the production and use of cannabis to exclusively medical needs within city limits. Realizing that the distinction between medical and adult use would be nearly impossible to enforce, local government agreed to discuss another approach.
By March of the same year, the City of Willits invited cannabis entrepreneurs to submit applications to open and operate “Medical Cannabis Dispensaries.” The term “Medical Dispensary” is a holdover from Proposition 215: “Compassionate Use Act of 1996.” For the past 23 years medical dispensaries operated much more like doctor’s offices than the retail locations we see today. Willits municipal code 17.85 states that a “medical cannabis dispensary includes any facility or location where medical cannabis is made available and/or distributed to a primary caregiver, a qualified patient, or a person with an identification card, in strict accordance with Health and Safety Code Section 11362.5.” The intended locations must carry medical grade, cannabis-based products in multiple forms (that may or may not contain THC) and ideally provide knowledgeable staff to help customers navigate options.
The City has capped the number of allowable dispensaries at three causing tight competition between the applicants. Only those who could manage the tasks, paperwork, deadlines, financials, and specific criteria would be considered. Examples of an operational plan for the facility, a security plan, proof of neighborhood compatibility, experience and knowledge, a business plan, initial operating costs coverage, location, and product safety all within State, County, and City compliance were mandatory. Several applications were submitted and within six months, three were chosen.
Boxcar Supply Company: boxcarsupplyco.com, LEEF Holdings, LLC., leeforganics.com
The only dispensary location north of downtown currently houses a site both impressively built and under construction a quarter mile up North Lenore Avenue. The modern industrial architecture has just begun to hint at what will be a 15-acre “Canna Park,” a complex that sees the cycle of cannabis production from raw product to retail. Plans include a distribution center for both in-house and outside products which the owners said is six months away from functioning. Cannabis testing, tissue cultures, and a dispensary are also planned for construction in the next 18 months.
As of now, the primary structure on the campus is a closed-system extraction plant which is as impressive as it sounds. A closed system has no interaction with elements outside of itself. Imagine a gas or liquid circulating around a loop with no end, without any openings or interruptions – loss of that system’s stock would be minimal. Boxcar has achieved this level of efficiency, and they plan to extend that professionalism and detail to future Canna Park operations. “I have been in the business since Prop 215… a long time. I started working on a business plan knowing that I wanted to based in Willits,” said Micah Anderson, CEO of LEEF Holdings, LLC which is based in La Jolla. Anderson has lived in Willits for the past 13 years. “I think Mendocino has the opportunity to become the Napa of cannabis. Being here, in Willits, lends to the credibility of what we want to do.” Anderson has facilities in several locations throughout California including six various brands.
Regarding the dispensary, Anderson wants a space where he can showcase local products, and plans to attach a heritage museum to the building in recognition of the farming that has taken place in the region for generations. “More than anything, the dispensary will be used as a way to draw traffic. We’ll invite people from all over for events so they can see firsthand what Willits has to offer.” Boxcar Supply Company and other affiliated brands plan to hire 100 to 130 people within the next two years.
Kure Wellness: kuremendocino.com
Russ Green, Willits native and owner/operator of Kure Wellness dispensary in Ukiah is bringing his already successful business model to Willits.
“The experience at the new location will be similar to Kure Wellness in Ukiah, but there are a few changes. It will be retail only. We won’t be able to package onsite and there will be no consumption lounge [onsite cannabis use area],” explained Green. However, he said there will potentially be a shared infusion kitchen for people who want to learn to make infused cannabis at home or possibly develop their own product.
Green is knowledgeable when it comes to understanding and navigating state and local regulations, and does so either alone or with staff to help him. One of his greatest concerns is the effects of nonlinear evolution regarding legalization. “There’s some product that I just can’t get. Some people [local growers] are permitted for cultivation, but they don’t want to wait for the testing or tissue culture, so I miss an opportunity with this would-be legal, superior flower that I can’t sell. There needs to be more support. There’s good medicine here. I want the chance to share it with everyone who walks into my store.”
When it comes to sourcing products, Green is clear, “If you’re a Mendo farmer, you have a place on my shelf. If you have a cultivation permit, I’ll put you on my shelf. If you make a superior product, let customer demand be the vote.”
Located at GlenMark Storage facility, the new dispensary has been planned for the past few years. Comfortable, well lit, and already laid out in painter’s tape, Green intends to hire a few “Budtenders” and open for business in March or April of 2020.
Element 7: e7ca.com
Josh Black, Head of Global Operations for Element 7, went into great detail regarding the company’s understanding and intentions toward Willits as a community as well as their new dispensary. When asked why a company with global outlook decided to do business in rural Mendocino County, Black replied, “We chose Willits because Mendocino, Humboldt, and Trinity counties are ground zero for cannabis culture. There are real generational roots here where farmers have been developing the art of cultivation for decades. No one understands the plant better than these farmers.” Element 7 is currently the largest growing cannabis retailer in California. They have a total of 12 locations in the Golden State.
The Element 7 dispensary will be located at Browns Corner, well integrated into the existing businesses. “Cannabis is a local issue, so we connect with locals from day one.” They stand by their “cannabis with a conscience” business model, which returns a large percentage of profit made back to the community.
The dispensary cornerstones of Element 7 will be community, education, balance and healing. “We’re a holistic wellness company that acknowledges the role cannabis plays when it comes to health,” explained Black. Due to their mission, Element 7 has incorporated several unique services into their business model. Customers new to cannabis or who would rather have a discrete experience can duck into a private shopping nook and meet with a Budtender alone to discuss strains, products, ailments, and more. There will also be a small wellness spa (E7 Wellness Lab) where local healers can book time with their clients in this open space. “This is for that man or woman in their sixties who has chronic pain and cannot sleep. That person meets with a healer, has a chance to become educated about product options that might help with pain and sleep, and then that person can begin to experience relief,” mused Black. There will be other services available as well for the cannabis community and the general public.
Employment opportunities will include 80 hours of training, which is five times the industry standard, in order to help customers new to cannabis or legalized cannabis understand what is available to them and why it might bring them results. The dispensary is set to open in March or April of 2020.
