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Happy Friday Pre Rollers! Welcome to another edition of The Pre Roll, the cannabis newsletter that keeps you up-to-date on the industry happenings you need to know.

Here’s what we’re rolling up this week:

• MSO trio cracks Crain’s Fast 50

• Cannabis helps home values

• Metrc makes history

…and more. Let’s get to it.

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🚨 Roll Call

Business

MS-tri-O. Chicago-based MSOs Verano, Cresco Labs, and Green Thumb Industries, three of the largest cannabis operators in the United States, made the Crain’s 2024 Fast 50, a ranking of the fastest-growing companies in Chicago.

Together, the trio made the cut for the third consecutive year and comprised half of the consumer service businesses on the list. In addition, all three cracked the top 15, with 5-year growth as follows:

• Verano: 2,918.0%

• Cresco Labs: 1,682.3%

• Green Thumb Industries: 1,587.5%

Combined, the firms generated more than $2.75 billion in revenue for 2023.

News

Home grown. According to Tomo, a digital mortgage and real estate fintech, there is often an increase in median home prices in ZIP codes where a dispensary opens, compared to median home price changes in surrounding ZIP codes. In fact, the property value increase by an average of $4,400 each year. It must be noted that ZIP codes with recreational cannabis dispensaries had significantly lower median household prices than the surrounding areas, which can coincide with outsized gains in property values over time.

This supports the results of a study done at the end of last year by Real Estate Witch, a web property of online home-buying platform Clever Real Estate, and Leafly, which found home values are 41% higher in states with legal adult-use cannabis.

Tech

Metrc system. This week, cannabis regulatory technology provider Metrc announced it inked the first-ever tribal government track-and-trace contract with the Twenty-Nine Palms Band of Mission Indians, a federally recognized Native American tribe located in Southern California.

The Tribe employs over 700 local citizens, invests in and contributes significantly to the surrounding community, and supports the Tribe’s self-determination goals through self-governance.

🇺🇸 State of the Industry

Colorado: Cannabis sales dipped in April and marked the worst April for the state since 2016.

Massachusetts: Lawmakers are likely to put off dealing with the issue of intoxicating hemp-based products until at least next year.

Missouri: Regulators created a new group, the Missouri Cannabis Regulation Collaborative, for cannabis professionals to collaborate and share information.

New Hampshire: The House struck down a cannabis legalization bill, despite reaching a compromise with the Senate last week.

New York: Governor Kathy Hochul made three new leadership appointments at the Office of Cannabis Management, including Felicia A. B. Reid as Executive Deputy Director and Acting Executive Director, and revealed 105 additional adult-use licenses have been issued.

📊 Business

COAST Cannabis steps up sustainability efforts

The cannabis edibles company introduced new chocolate bar packaging made from recycled ocean plastic, an initiative that underscores its commitment to reducing its environmental footprint while promoting a circular economy.

Samson Extracts steps into skincare

One of the nation’s largest hemp processors and CBD wholesalers launched a CBD-infused skincare brand called Wiregrass Wellness.

🌏 Around the World

Canada: The federal government proposed a set of changes to cannabis regulations in an effort to reduce the regulatory burden.

💨 Quick Hitters

• NFL linebacker Randy Gregory has sued the league and and the Denver Broncos over fines imposed on him for cannabis use.

• The West Hollywood location of cannabis retailer MedMen did not have its license revoked despite ongoing compliance issues.

• A Fox News poll found 66% of registered voters support the amendment to legalize cannabis for recreational use in Florida.

• Massachusetts islands Martha's Vineyard and Nantucket get approval to have cannabis shipped to them.

📚 What We’re Reading

• House GOP strips language aimed at protecting banks from cannabis crackdowns (The Hill)

• Colorado’s Weed Market Is Coming Down Hard and It’s Making Other States Nervous (POLITICO)

• California's pot economy is crashing. What comes next? (SFGATE)

• A Neighborhood Battles Illegal Weed Shops: ‘We’ve Been Begging for Help’ (The New York Times)

• Poland is Having a Medical Cannabis Revolution (TalkingDrugs)

• The DEA plans to reclassify cannabis. What does that mean for local dispensaries? (The Guardian)

• The Cannabis Industry Just Hit a Huge Milestone. Here's What That Could Mean for Investors (The Motley Fool)

🎙️ Potcasts

• Merger Mania (Higher Exchanges)

• Gibran Washington, CEO of ETHOS Cannabis (The Green Rush)

📼 Video of the Week

🔎 Job Board

• Digital Marketing Manager

  • Kiva Brands

  • $100,000—$125,000

• Account Executive

  • Cova

  • $58,000—$75,000

• SEO Strategist

  • Cannabis Creative Group

📨 Puff, Puff, Pass Reeferal Program

Stay tuned for more cannabis industry news next week!

💚,

The Pre Roll Team

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