LOUISVILLE, Ky. — Medical cannabis business license applications are now open in Kentucky, but the road open to a dispensary won’t be easy for some.
Applications are open through Aug. 31, with medical cannabis becoming legal in Kentucky in Jan. 2025. Dustin Robinson, cannabis and psychedelic attorney, said some of the biggest hurdles involve finance and real estate.
“There’s a non-refundable deposit depending on which license type you apply for, so that’s money you’ll need to have,” Robinson said. “But in addition to that, there’s a requirement to have a sufficient amount of capital on hand.”
Applicants are required to pay a fee and submit appropriate documentation, which includes a business history, operation plans, ownership information, business location and site plans. The state is awarding a limited number of dispensary licenses through a lottery process.
“Each of those license types requires real estate, so you’ll have to show you have the deed, or you’ll have to show you have some sort of lease or contingent lease on the property,” Robinson said.
Each Kentucky city is responsible for coming up with its own regulations for whether businesses will be allowed to sell medical cannabis in that city. Robinson said it’s safer for businesses to find real estate in cities that already have regulations in place.
“For municipalities that haven’t made a decision on it, you need to talk to local officials to get a better understanding of what their expectations are,” he said.
If a medical cannabis business receives a license and starts operating in a city before that city decides to opt out of medical cannabis, that business will be grandfathered into the state program and allowed to continue operating.
