Albuquerque, N.M. – One year after Marijuana was legalized in New Mexico there are now more pot shops in Albuquerque than liquor stores. It seems like there are pot shops in every strip center.
We were on the verge of losing our financial security. And we opened just in time and it was a blessing,” Andre Galarza said of his family’s pot shop.
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In December 2022, the long-time Albuquerque resident will open 505 Farms at Lomas Boulevard. Attention to detail is apparent both outside and inside. He said to KRQE that he and wife would do anything to make their business successful because they had given everything to start it. “We literally invested our entire retirement, mine as well as hers. Galarza said, “We are literally all in. Like all in.”
Their mom and pop pot shop is classified as a microbusiness. This means they are only allowed to grow 200 plants. Galarza pointed to his products and said: “This flour, I’ve grown.” He added, “We support New Mexico-grown, New Mexico-extracted, New Mexico businesses, period.”
Galarza says that many of their customers come from the neighborhood. Some are walk-ins and others are repeat customers. He felt more confident about the success of their business because of the steady stream. Galarza had a high until he heard that a bigger company was planning to move in an old car lot two blocks away on Lomas Boulevard. “Yeah. There’s no sleeping. It’s. “Yeah, it’s frightening,” Galarza said.
ReLeaf Cannabis Company was denied the location by the city because it would have been within 600 feet from an existing marijuana shop. In May, however, the owner requested an exception from the rule. Galarza, along with several other cannabis-related business owners in the neighborhood, said that they learned about the hearing at the last minute. They attended the hearing and voiced their concerns.
Chris Tapia of Sawmill Cannabis Co. said, “I passed on properties that were better, but were next to a marijuana dispensary.” “But I played by the rules.”
ReLeaf claimed that by revitalizing a community with a vacant property, they could bring back the locality. Johnn Osborn said, “We’d be putting it back in – into the local community, redeveloping that area. “They also employ local people.”
Galarza was notified two weeks later that ReLeaf could move in. The company will have its second Albuquerque location. Galarza has been working on a petition.
The city reported that it had received 20 other requests to be exempted from the 600-foot rule. Fourteen have been approved so far.
Galarza is now questioning the purpose of an ordinance that he used to consider a safety blanket. He said, “They have more money than you do. Let’s park next to each other and compare our resources.” “Let’s see who’s going to win.” “If they open up next door we’re pretty done,” he said. “I mean, I’m a small company, and can’t compete with something so big, right?” It’s impossible.”
KRQE asked why this was happening. “Because they think I can do better than the other store, because their math says that.” Pat Davis explained that in some cases the new stores were right.
Davis, who is not a member of the City Council but is a co-founder of Weeds Cannabis Consulting Service, has been involved in the cannabis industry for many years. KRQE met with Davis to discuss his role in the cannabis industry and the state of the industry.
Davis stated that “the number of stores and licenses in the state has exceeded our most optimistic predictions when we looked at what we expected this to be before the legislation passed.”
KRQE received the addresses of all retail licenses in the city through a request for public records. The approval process began in February of 2022, and more than a full year later, requests are still coming in. In April 2023, after a year of legalization, 186 retailers had been approved by the city. One third of these were approved in the last six month. Albuquerque only has 146 alcohol stores.
Cannabis locations by date of approval. Map files from UNM RGIS and MRCOG.
Davis stated that Albuquerque probably has two to two-and-a-half times as many stores per capita as the market will allow. Davis said that it is likely that a third or more of these stores will not be open next year, or they may have never been opened. Another third in two years.” This would mean that by next spring, Albuquerque will have dozens of closed stores and others who simply couldn’t open. Davis stated that while it is easy to obtain a $2,500 license for retail, regulations and costs can be difficult.
Davis stated that “some of those people who got in early and were the first to get the best spots in town are doing well.” They have long lines outside their store in the morning. They’re also open late. You can see them on social media. Davis said that the stores are doing well, but they don’t have many great addresses any more. This is another reason for why the city receives requests to move within 600 ft of an established retailer. He thinks that in order to prevent the smaller shops from being cannibalized they should team up.
A different approach to attracting clients is another option.
Enchanted Botanicals LLC, owned by the Amestoy Brothers, did exactly that. In the past 18 months, Pierre & Adam have worked with the City to get approval for a cannabis lounge to be opened in their Central Avenue location on Nob Hill.
Here’s a selection of our products. Pierre Amestoy, who was standing behind the bar in the lounge, explained that there would be a staff member available to serve customers their concentrates and edibles. The lounge includes a private area and booths equipped with rolling trays.
Amestoy clarified, “It won’t just be a place to get high.” We’ll have weekly classes. We’ll be doing yoga. We’re doing movie nights…
The brothers were among the first to have their retail store approved by the City. The brothers bought the building a year before marijuana became legal, and built a consumption lounge in the original design. Both believe that this is the direction in which the industry will go. Enchanted Botanicals, one of six retailers who have received approval from the city to allow cannabis consumption on site, is among those retailers.
The Amestoys also needed the support of their neighbors. This included installing a HVAC system to sanitize the air, so that the typical cannabis smell won’t exist inside or outside of the building. It also involved having a 24-hour security guard and training staff on how to avoid overconsumption.
Amestoy stated that it would be very difficult to remove us because we have completed our supply chain, and we have protected what we built.
