EMERALD COAST
HOLDING COMPANY
202
California's Medical Cannabis Market has existed since 1996, and has effectively been regulated by the State, through the adoption of the Compassionate Use Act, the Medical Marijuana Program Act, and through various Acts of Legislation, High Court Rulings and Administrative Findings issued by California.
California's Recreational Market has technically existed since 2016, but it's implementation and enforcement have only begun as of now, in 2018. Additionally, Industrial Hemp has also become legal in California, with the implementation of CA Health & Safety Code ยง 11018.5 (2016) initiated by AUMA and MAUCRSA.
It is anticipated that State and Local regulations will continue to evolve and settle, at least through 2023, when Type 5 Cultivation Licenses may be issued by California. These licenses are relatively unlimited in size, as compared to the existing Licenses available now.
California has a Population of approximately 39 million people and many Dense Census Metropolitan Areas. California's existing Medical Cannabis Market consists of approximately 750,000 - 1,500,000 qualified patients. In regards to potential recreational sales and Tourism dollars, California receives approximately 280 million visits each year, and tourists spend over $134 billion in California every year.
Our research indicates that California represented approximately 49% of the legal cannabis market in the United States, as of 2014 (with national sales totaling approximately $2.7 billion at that time), and that the State had an estimated 2800 Legal Dispensaries as of 2016, with statewide annual revenues exceeding $844 million. This number is only expected to increase, for at least several years, as more communities opt for regulation and taxation, over prohibition and local bans.