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Chicago

Chicago okays controversial cannabis store relocation

Owner PTS partnered with social equity company Bio-Pharm

cannabis, River North, downtown, politics
605 North Clark Street (Loopnet, Getty)

Chicago’s River North is getting another cannabis dispensary despite residents’ concerns that it would turn the neighborhood into a “pot district.”

The city’s Zoning Board of Appeals granted a special-use permit to PTS Corp. and Bio-Pharm to open a recreational cannabis store in the former Rainforest Cafe at Clark and Ohio streets, the Chicago Tribune reported. The decision came after a daylong meeting that dragged on until 1 a.m., and a subsequent four-hour hearing.

In addition, the board also approved a permit for a former alderman and state representative to open a Green Rose dispensary in the South Loop and a High Hopes Chicago dispensary near the University of Illinois Chicago.

PTS’s previous attempts to move its dispensary to 605 North Clark Street were rejected because of a state law that prohibits new dispensaries from opening within 1,500 feet of an existing cannabis store. PTS countered by partnering with Bio-Pharm, a company with a social equity license that would be exempt from the state law. The agreement means Bio-Pharm will run the new dispensary and pay PTS for its expertise and up to $10 million for renovations.

Social equity companies, which are generally headed by someone who had a prior low-level cannabis arrest or conviction or who lived in an area with high poverty or multiple cannabis arrests, are usually exempt from the distance requirements.

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Some residents argued that the co-application was illegal as the state law doesn’t explicitly include co-applicants in the law’s exceptions. Opponents of the dispensary’s move said the approval would set a precedent for future cannabis companies wanting to set up shop in Chicago.

State officials still need to approve the project and decide whether or not to allow it to be located so close to four other dispensaries.

PTS plans to remove the decorative mushrooms and giant frog outside of the former Rainforest Cafe as well as completely renovate the interior and exterior. In response to community concerns, there will also be 90 surveillance cameras with motion detectors and silent alarms as well as 24/7 armed security.

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— Victoria Pruitt

Tags
CannabisDowntownPoliticsRiver North