2 SLO cannabis shops ordered to stop work due to permit issues. Now they’re back on track
After being ordered to stop work on their new sites, two incoming San Luis Obispo cannabis retail shops have resolved permitting issues and are continuing their projects.
Natural Healing Center at 2640 Broad St. was issued a stop work order on March 11 for initiating demolition work before its permitting was formally processed.
And in December 2019, Megan’s Organic Market at 280 Higuera St. was issued a stop work order for framing construction inside the building and as well as improper construction related to its restroom permitting.
“Both went beyond the scope of the permitting,” said Michael Codron, the city’s community development director. “But each has worked with the city (to resolve the matters) and now can proceed with their permitted work.”
SLO cannabis retail shops continue work
Codron said that Natural Healing Center can proceed with demolition work, which it’s currently permitted to perform, with additional building plan reviews needed before building can start at the site that formerly housed Old Mission Thrift Shop.
The Megan’s Organic Market project is farther along in its construction progress, with ongoing work to convert its space near the intersection with High Street.
Business co-owner Megan Souza said she hopes to open the cannabis shop in July. Megan’s Organic Market would be San Luis Obispo’s first retail marijuana business; three are allowed in the city.
“I hope construction is not too terribly affected by these weird times during the coronavirus pandemic,” Souza said. “We’re definitely wondering if it might. But our intention remains to open the first week of July.”
Souza said that the contractor installed an unpermitted water line late last year that connected to the bathroom, and they did some framing inside the building as a staging tool for what the store would look like. They’ve since corrected those issues with the city, after a stop work order.
“Everything is back on track,” Souza said.
Nick Andre, Natural Healing Center’s chief operating officer, shared an email showing that a demolition permit had been issued in February, but a contractor’s missed pick-up of the permit paperwork failed to complete the process.
“This was just a miscommunication,” Andre said. “We have talked to the contractor and the city and made sure everything is good to proceed.”
Marijuana stores could open in city by end of 2020
Andre said Natural Healing Center hopes to open shop by the end of the year, but that may depend on whether construction stays on schedule during the COVID-19 outbreak.
Construction and cannabis operations are both on the list of essential businesses that may continue operations during the shelter-at-home order, Codron said.
“COVID-19 impacts are a huge wild card and we have no idea if things will remain on schedule,” Andre said. “There could be a shortage of people out there not working.”
Codron said that since the coronavirus-related precautions began taking place, the city hasn’t seen any change in the number of building inspections it’s doing, indicating that construction plans haven’t been affected.
A third cannabis business, SloCal Roots, has been approved for operational retail permitting, and plans to open at 3535 S. Higuera St.
The March 23 decision to OK SloCal Roots as the city’s third retail operator’s permit came after another business, Elemental Wellness, was disqualified over a background check in 2019.
Elemental Wellness filed a lawsuit against the city contesting its disqualification, which is pending.
“Elemental Wellness is scheduled for a (case) status conference in early May and we are working on a briefing schedule and agreement on the administrative record to try to expedite hearing and resolution of the case as quickly as possible,” said Christine Dietrick, the city’s attorney.
Coastal Delivery SLO is the only San Luis Obispo-based business licensed to deliver marijuana, with other countywide businesses based outside of the city’s limits permitted to deliver within city boundaries.
Interest in cannabis high during coronavirus pandemic
Souza, who operates CBD businesses in Morro Bay and Atascadero, said that she received numerous calls from customers asking about THC cannabis products, which she doesn’t offer because that would be illegal under her permitting.
But she believes there are people in the community who are operating in the black market by selling illegal marijuana.
“There was a flood of calls when the coronavirus situation first happened,” Souza said. “I think there are people out there selling and operating in the black market, and there has been an inundation of interest in getting weed.”
San Luis Obispo officials have been closely monitoring black market operations, they say, and cited a December 2019 arrest and seizure of more than 10,000 cannabis products.
Josephus Stallworth was arrested on suspicion of selling large amounts of unlicensed cannabis when detectives served a search warrant at his home on Rockview Place off Broad Street, police said then.
This story was originally published April 7, 2020 at 11:23 AM.
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