ATLANTIC CITY – The marijuana industry in Atlantic City has seen rapid growth since recreational use was legalized in 2021, with dozens of dispensaries opening their doors.
However, this boom has led to increased competition, leaving some veteran shops struggling to survive.
What we know:
“Baking Bad,” a dispensary owned by Army Ranger veteran Ed Wilson, is facing tough times.
Despite opening with high hopes 18 months ago, the business has had to lay off nearly all its staff due to the influx of new dispensaries.
Dominique Landry, owner and partner, noted the oversaturation. “You look at other cities in New Jersey, they have two max three max. Cities that are comparable in size to Atlantic City, it’s like eight times the amount of dispensaries open today right now. It’s kind of crazy,” said Landry.
The backstory:
Initially, Atlantic City concentrated its marijuana businesses in a “green zone,” placing them in close proximity to each other.
As more dispensaries applied, the zone expanded, allowing newer stores to open in more convenient locations, such as the Black Horse Pike, away from direct competition.
This shift has given newer dispensaries an advantage, while early entrants like “Baking Bad” face challenges.
What they’re saying:
Ed Wilson is considering alternative business opportunities for his storefront. “Maybe it’ll be a Federal Donuts, maybe a UPS store, something else that we’ll be able to build upon but that will also be able to serve our community,” said Wilson.
Keleem Shabazz, Atlantic City Council Vice President, highlighted the ongoing challenges.”Just because cannabis is legalized doesn’t stop the illegal market… so you put all those factors together and we have the situation that we have. So now the question is what do we do from here?” asked Shabazz.
What’s next:
In response to the oversaturation, Shabazz is advocating for a moratorium on approving new dispensaries in the resort area.
“I think it’s way past time for a moratorium,” he stated, aiming to stabilize the market and address the challenges faced by existing businesses.
As Atlantic City navigates the complexities of its burgeoning marijuana industry, stakeholders are exploring solutions to ensure sustainable growth and support for local businesses.
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