Ms. Linda Sampson reports
Marapharm Ventures Inc. is planning construction for a third building, which will be 65,635 square feet on the seven-acre property located in Las Vegas, adjacent to two existing cultivation buildings. The ground prep pad is ready to build on, most infrastructure is designed and in place, and building plans go for bid in October, 2017. Construction will begin soon thereafter. This building is slated to be the first three-storey cannabis building in the state of Nevada.
"Current pricing and comparable facilities in Nevada indicate that revenue from the new three-storey building will potentially be $50-million gross and $30-million net, after operating costs, for the first year (source: Kurt Keating). We will be at about 20 per cent build-out with regard to the square footage of the licences we have. Marapharm is the largest marijuana licence holder in Nevada," said Linda Sampson, chief executive officer, Marapharm.
Marapharm engaged Mr. Keating to do the evaluation of this project. Mr. Keating won two High Times Cannabis Cups in 2014 while cultivating medical cannabis, and he has been consulting, evaluating and growing cannabis for several years. The market price for this type of marijuana at present is approximately $2,300 wholesale per pound in Nevada. The evaluation for the three floors is 22,600 pounds per year.
The Sept. 28, 2017, edition of the Las Vegas Review Journal stated that dispensaries in Nevada raked in more than $27-million during the first month of recreational marijuana sales, generating more than $3.6-million in taxes, according to figures released by the Nevada Department of Taxation. The state also pulled in $6.5-million in marijuana licence and application fees. How does this stack up against the other states with legal marijuana? It's double.
Department of Taxation to open additional retail marijuana licence application period in 2017
The Nevada Department of Taxation will be accepting additional applications for retail marijuana establishment licences in the near future. Temporary regulation T002-17 provides that the department may open for additional applications for not more than five days prior to the end of the year. "We intend to open the window for applications in October or November. The application window will not necessarily be for five days, but we will give at least two weeks notice of our intent to open the application period with the number of days that we will accept applications."
Marapharm has engaged a real estate agent to source and secure storefront properties in Las Vegas for retail sales. Marapharm will apply for three dispensaries in Nevada in October and/or November, 2017.
The two existing buildings of 5,000 square feet each are nearing completion. Mother plants will transition from the interim buildings located on the Marapharm property to the completed buildings within 45 days. Photos are on the Marapharm website.
About Marapharm Ventures Inc.
Marapharm is a publicly traded company primarily investing in the medical and recreational cannabis space, with corporate operations based in British Columbia, Canada. Since 2016 it has rapidly expanded its footprint to include production locations in the key North American states of Washington, Nevada and California. It actively seeks expansion opportunities worldwide.
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