Two more cannabis storefront businesses received permits to operate in Redwood City.
The recipients of the permits, as issued by City Manager Melissa Stevenson Diaz, were Flor Peninsula LLC and Element 7, which will be located at 620 El Camino Real and 615 Woodside Rd. Suite, respectively.
After an initial selection of four retail cannabis storefront businesses in March, Diaz said that the two additional businesses had also met the necessary criteria in the application process to be awarded permits.
In November 2020, the city council authorized the city manager to grant cannabis business permits for up to six cannabis storefront businesses.
“After further evaluation of the permits available, I believe Flor Peninsula and Element 7, who ranked 5th and 6th on the eligibility list, would be welcome additions to operate a storefront retail cannabis business here in Redwood City,” said Diaz.
With the recent additions, Redwood City said that the six total cannabis storefront businesses will have a significant impact in terms of bringing in revenue for the city, as well as contributing to local organizations.
“All cannabis storefront retail businesses are required to fund a 4% general tax on gross receipts paid directly to the city (this is in addition to the state’s 15% tax and the city’s almost 10% sales tax),” the city said in a press release. “Cannabis storefront retail businesses are expected to generate between $500,000 to $750,000 in revenue to fund city services in the first full year of operation, by approximately the end of 2023.
“Combined, the selected six permittees will provide a robust community benefits package in their first year of operation, which includes about $800,000 in monetary community contributions annually to a variety of Redwood City groups and organizations, and more than 5,000 hours of volunteer service.”
For more information on Redwood City’s cannabis regulations, visit www.RedwoodCity.org/Cannabis.