How cannabis can save small towns – and make you a lot of money in the process…
It has roughly 300 residents and is smaller than a square mile.
If you blink, you might miss it when you drive by to get to Denver.
Or somewhere much more populated and known for its tourism.
I used to drive through Garden City as a kid when we took ski trips to Colorado. And let me tell you, all I remember was feedlots that stretched for miles. When the wind was right, you smelled the town before you saw it.
With cracked sidewalks, run-down businesses, and no dedicated law enforcement, this wasn’t a must-visit place on anyone’s “Bucket List.”
But fast forward to today, and 900 people are lining up on weekends and paydays to visit 4 very specific shops in Garden City.
The taxes from the increased economic activity helped build three blocks worth of new sidewalks. Those same taxes created new benches for folks to sit, enjoy nature, and view the newly planted trees that line the town. The local pizza shop transformed into an entirely new business, with an upgraded exterior that includes new windows and an awning.
On top of all that, Garden City residents went from relying on a county sheriff’s office to its very own four-person police force.
The town even threw a party to celebrate its success; there were horse-drawn carriage rides, an ice-skating rink in the middle of the town, and a few hot toddies to enjoy.
This was thanks to Garden City meeting a pent-up demand – a demand the rest of the country will start to meet.
And it is going to make you a lot of money…
The Plant That Saved Garden City Will Also Make You Rich
You’ve guessed it by now. It wasn’t orchids or peace lilies that saved Garden City.
It was cannabis.
When I mentioned earlier that 900 people are visiting 4 very specific shops on weekends and paydays, those are the 4 dispensaries in town. Before cannabis legalization, Garden City collected $360,000 in tax revenue. In 2017, thanks to those dispensaries, it collected $2 million.
It’s proof that cannabis can revitalize an entire town: the dispensaries employ 225 people in a town with a population of 265 people, made a new 4-person police force possible, and the city now provides grants of up to $8,000 to help local businesses pay for property investments.
And this is all smack-dab in the middle of a Bible Belt state, surrounded by nothing but cornfields and cow pastures for 100 miles in any direction.
But it’s also a hint at the true money-making power of cannabis.
The 900 people flooding the 265-person town each weekend is just one small example of the pent-up demand to buy safe, regulated cannabis products.
Spread this demand across the entire country – where 97% of the population now has access to legal cannabis – and you see why entrepreneurs from established industries and high-flying professions are getting into cannabis any way they can.
And they aren’t setting up mom-and-pop dispensaries with grow rooms in the back. They are building vertically integrated consumer packaged goods companies that will one day be worth billions of dollars.
And with our list of cannabis stock “best buys” for 2020, identifying which of those recommended companies could make you the most money has never been easier.
Because it’s not just happening in Garden City.
Indiana, Kentucky, and Iowa have some of the most restrictive cannabis laws in the United States. But just a hop, skip, and a jump away is Illinois, which allowed adult-use cannabis sales in January.
It just set a record for out-of-state cannabis sales in August with $17.2 million.
In January, that number was $8.6 million.
People are willing to line up around the block if it means they can buy safe, regulated products.
And it should come as no surprise that, with all the money flooding in, some of our biggest gains over the last few months have come from multi-state operators (MSOs) that are dominating Illinois: Cresco Labs Inc. (OTC: CRLBF) and Curaleaf Holdings Inc. (OTC: CURLF).
Cresco Labs has nine dispensaries in Illinois with another on the way. Curaleaf added eight new dispensaries in Illinois to its footprint thanks to its $830 million acquisition of Grassroots in July.
On July 28 of this year, our NICI Membership subscribers had the chance to cash out of Cresco for a 93% gain (just missed being a triple-digit winner!) and the chance to follow that with a 120% gain on Curaleaf August 13.
We held each of those positions in the model portfolio for less than five months.
So, as companies like Cresco and Curaleaf expand to new states and build more dispensaries to fill the demand of cannabis consumers across the country, those gains above will only represent two of the countless potential profit opportunities that could lie ahead of you.
Executive Director, National Institute for Cannabis Investors
6 responses to “The Plant That Saved a Small Town Will Also Make You Rich”
September 28 2020