With the decriminalization of marijuana in the works on the state level since the 1970’s, the movement towards the legalization of marijuana started to see results in the 1990s. California became the first state to legalize marijuana for medicinal use in 1996. To date, medicinal marijuana has been legalized in 16 states, however, only four states (Colorado, Washington, Alaska and Oregon), have legalized recreational use of cannabis. However, other states are beginning to take notice of the profitability of the cannabis industry, particularly the tax revenue generated by retail marijuana sales. In fact, Canadian company Marapharm Ventures Inc. ($MDM:CNX), is currently preparing for a legislative shift that may take place next year in Nevada.
Marapharm Las Vegas LLC, a wholly owned subsidiary of Marapharm Ventures, will begin construction of a 5,000-square-foot medical marijuana plant. The Las Vegas based project, which will be constructed on Marapharm’s 5.9 acres within Apex industrial Park, will be used for hiring, training, and cultivation until the main 80,000 square-feet facility is completed.
The Marijuana Industry is No Gamble in Las Vegas
To most visitors, the busy 24-hour city of Las Vegas appears to be an isolated destination for fun and recreation. However, Las Vegas also has significant residential and industrial areas as well. Marapharm’s facility in Apex Industrial Park is located less than 30 minutes from McCarran International airport, and five hours away from the Port of Los Angeles. Highway 93 and the Union Pacific Railroad connect Apex, located just North of Las Vegas, to other major cities, making it a prime location for business.
Although the first legal dispensary just opened its doors in Clark County this past August, medical marijuana became legal in Nevada in 2000. As of 2001, with a doctor’s permission and a state-issued card, patients are even allowed to grow in their homes. Further still, Nevada legislature granted safe access to regulated cannabis in 2013. With 40 approved dispensaries now on the Nevada map, registered medical marijuana users are expected to increase from 8,000 to 50,000 by the end of 2015.
Once Marapharm’s entire development is constructed, it has the potential to become one of the most predominant industrial developments in the western United States. The initial construction of the marijuana plant alone is expected to generate $3.5-million in revenue. Furthermore, the entire cultivation of the 80,000-square-feet development is contracted to various Las Vegas dispensaries. With recreational marijuana on the 2016 ballot currently showing a 54% chance of passing, Marapharm is aimed to thrive in this booming industry.
To learn more about Marapharm Ventures, visit www.marapharm.com.
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