Colorado  Marijuana  Market  Report    Paul  Seaborn,  Ph.D.  Daniels  College  of  Business  December  2016  

   

Colorado  Marijuana  Market  Report  -­  December  2016    

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December  2016    

 Colorado  Marijuana  Market  

Report    

based  on    

License  data  from  the  Colorado  Marijuana  Enforcement  Division  (MED)        

   

conducted  by    

Paul  Seaborn,  Ph.D.    

of  the    

Daniels  College  of  Business,    

The  University  of  Denver          

Copyright  2016        

Colorado  Marijuana  Market  Report  -­  December  2016    

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Notable  Observations  •   The  total  number  of  active  marijuana  business  licenses  issued  by  the  Colorado  Marijuana  Enforcement  Division  (MED)  continues  to  grow  and  is  now  at  an  all-­time  record  high  of  2,913.  

•   54%  of  active  licenses  are  for  medical  marijuana  businesses  and  46%  for  recreational/retail  businesses.  

•   Of  the  eight  categories  of  licenses,  the  two  fastest-­growing  categories  since  January  2016  have  been  Retail  Marijuana  Products  Manufacturing  (up  40%  from  168  licenses  to  236)  and  Retail  Marijuana  Cultivation  Facilities  (up  22%  from  514  licenses  to  625)  

•   Medical  and  retail  cultivations  represent  the  largest  number  of  total  licenses,  followed  by  medical  centers.  

•   The  City  and  County  of  Denver  has  over  1/3  of  state’s  active  marijuana  licenses  (1,244),  followed  by  Colorado  Springs,  Boulder,  Pueblo,  and  Pueblo  West.  Aurora  and  Trinidad  have  now  passed  Fort  Collins  in  terms  of  the  number  of  active  licenses.  

•   The  largest  license-­holders  in  the  state  operating  under  a  single  name  are  Native  Roots  (62),  LivWell  (49),  and  SweetLeaf  (34).  While  the  largest  license-­holders  continue  to  increase  their  share  of  total  licenses,  no  single  organization  name  represents  more  than  2.5%  of  the  state’s  licenses.  

 Methodology:  This  analysis  is  based  on  raw  license  data  provided  by  the  Colorado  MED  on  a  monthly  basis.  Each  business  license  represents  a  separate  operating  location  for  one  of  the  eight  types  of  marijuana  businesses  (four  medical,  four  retail).  Data  errors  in  the  raw  MED  data  have  been  checked  and  corrected  where  possible  but  some  may  remain.  The  largest  license-­holders  have  been  identified  based  on  common  license  names  (e.g.  Native  Roots  Vail,  Native  Roots  Boulder)  rather  than  owner  names.  License  totals  do  not  directly  reflect  the  level  of  economic  activity  in  the  Colorado  marijuana  industry.    To  receive  a  copy  of  future  Colorado  Marijuana  Market  Reports,  to  provide  feedback,  request  additional  information  or  suggest  additional  industry  analysis,  please  contact:    

Paul  Seaborn  Assistant  Professor  -­  Department  of  Management  

Daniels  College  of  Business  University  of  Denver  303-­475-­4687  

paul.seaborn@du.edu  www.paulseaborn.com  

Colorado  Marijuana  Market  Report  -­  December  2016    

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The  total  number  of  Colorado  marijuana  licenses  has  grown  steadily  since  2013,  with  a  significant  one-­month  increase  in  January  2014  after  the  legalization  of  recreational  marijuana  as  a  result  of  the  passing  of  Amendment  64.  Note:  The  only  license  data  available  prior  to  January  2014  was  for  Medical  Centers.  

313 32

832

8 373

373 38

9 416

416 45

2 470 48

448

8

1708 17

361827 18

53 1865 19

10 1919 19

70 2027 20

77 2089 21

86 2215 22

932328 23

66 2376 24

31 2444 24

64 2507 25

4125

4425

38 2590

2586

2588 26

63 2691 27

52 2782 28

24 2850 28

76 2892 29

13

Medical

Recreational/Retail

010

0020

0030

00

01 Jan 13 01 Jan 14 01 Jan 15 01 Jan 16 01 Jan 17month

Source: DU Prof. Paul Seaborn's analysis of Colorado Marijuana Enforcement Division data

Jan 2013 - Present# of Active Colorado Marijuana Licenses

Colorado  Marijuana  Market  Report  -­  December  2016    

  5  

   

 

020

040

060

080

0

01 Jan 13 01 Jan 14 01 Jan 15 01 Jan 16 01 Jan 17month

Medical Center Medical CultivationRetail Cultivation Retail DispensaryMedical Infused Retail Product ManufacturingRetail Testing Medical Testing

Source: DU Prof. Paul Seaborn's analysis of Colorado Medical Enforcement Division data

# of Colorado Marijuana Licenses by Type

Medical Centers

Medical Cultivations

Medical Infused ManufacturersMedical Testing

Retail Cultivations

Retail Stores

Retail ManufacturersRetail Testing

010

0020

0030

00

01 Jan 13 01 Jan 14 01 Jan 15 01 Jan 16 01 Jan 17month

Source: DU Prof. Paul Seaborn's analysis of Colorado Marijuana Enforcement Division data

Jan 2013 - Present# of Active Colorado Marijuana Licenses

Colorado  Marijuana  Market  Report  -­  December  2016    

  6  

   

 

Medical Centers

Medical Cultivation

Medical Infused

Medical Testing0

500

1000

1500

01 Jan 13 01 Jan 14 01 Jan 15 01 Jan 16 01 Jan 17month

Source: DU Prof. Paul Seaborn's analysis of Colorado Medical Enforcement Division data

Jan 2013 to Present# of Active Colorado Licenses - Medical Only

Retail Cultivation

Retail Dispensary

Retail Mfg

Retail Testing

050

010

0015

00

01 Jan 14 01 Jan 15 01 Jan 16 01 Jan 17month

Source: DU Prof. Paul Seaborn's analysis of Colorado Medical Enforcement Division data

Jan 2014 to Present# of Active Colorado Retail Licenses - Retail Only

Colorado  Marijuana  Market  Report  -­  December  2016    

  7  

   

 

050

010

0015

00

01 Jan 13 01 Jan 14 01 Jan 15 01 Jan 16 01 Jan 17month

Denver Colorado SpringsBoulder PuebloPueblo West

Source: DU Prof. Paul Seaborn's analysis of Colorado Medical Enforcement Division data

# of Colorado Marijuana Licenses - Top 5 Cities

020

4060

01 Jan 13 01 Jan 14 01 Jan 15 01 Jan 16 01 Jan 17month

Aurora TrinidadFort Collins DurangoSteamboat Springs CarbondaleWheatridge TellurideGarden City Lafayette

Source: DU Prof Paul Seaborn's analysis of Colorado MED data. Excludes Top 5 cities by # of licenses

# of Colorado Marijuana Licenses - Cities 6th-15th

Colorado  Marijuana  Market  Report  -­  December  2016    

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Denver

Colorado Springs

BoulderPueblo

Pueblo West

050

010

0015

0020

00

01 Jan 13 01 Jan 14 01 Jan 15 01 Jan 16 01 Jan 17month

Source: DU Prof. Paul Seaborn's analysis of Colorado Marijuana Enforcement Division data

Jan 2013 - Present# of Active Colorado Marijuana Licenses - Top 5 Cities

010

020

030

040

0

01 Jan 13 01 Jan 14 01 Jan 15 01 Jan 16 01 Jan 17month

Lafayette Garden CityTelluride Wheat RidgeCarbondale SteamboatDurango Fort CollinsTrinidad Aurora

Source: DU Prof. Paul Seaborn's analysis of Colorado Marijuana Enforcement Division data

Jan 2013 - Present# of Active Colorado Marijuana Licenses - Cities 6th-15th

Colorado  Marijuana  Market  Report  -­  December  2016    

  9  

   

   

020

4060

01 Jan 13 01 Jan 14 01 Jan 15 01 Jan 16 01 Jan 17month

Native Roots LivwellSweet Leaf Green SolutionBuddy Boy Maggie's FarmThe Clinic Pure MedicalRocky Mountain Remedies Silver Stem

Source: DU Prof. Paul Seaborn's analysis of Colorado Medical Enforcement Division data

Jan 2013 to PresentTop Ten Colorado Marijuana License Holders

Native Roots

LivWell

Sweet LeafGreen Solution

Buddy BoyMaggie's Farm

The ClinicPure Medical

Rocky Mtn RemediesSilver Stem

010

020

030

0

01 Jan 13 01 Jan 14 01 Jan 15 01 Jan 16 01 Jan 17month

Source: DU Prof. Paul Seaborn's analysis of Colorado Marijuana Enforcement Division data

Jan 2013 - PresentTop Ten Colorado Marijuana License-Holders

Colorado  Marijuana  Market  Report  -­  December  2016    

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LICENSE_TYPE Freq. Percent Cum. Infused Product Manufacturer 254 8.72 8.72 Medical Licensed Center 528 18.13 26.85 Medical Marijuana Testing 14 0.48 27.33 Optional Premises Cultivation 791 27.15 54.48 Retail Marijuana 454 15.59 70.07 Retail Marijuana Cultivation Facility 625 21.46 91.52 Retail Marijuana Products Mfg 236 8.10 99.62 Retail Marijuana Testing Facility 11 0.38 100.00 Total 2,913 100.00    Top 15 Colorado Cities Medical Recreational Total AURORA 1 60 61 BOULDER 62 89 151 CARBONDALE 8 15 23 COLORADO SPRINGS 365 0 365 DENVER 752 492 1,244 DURANGO 15 17 32 FORT COLLINS 30 27 57 GARDEN CITY 8 10 18 LAFAYETTE 8 10 18 PUEBLO 33 97 130 PUEBLO WEST 25 50 75 STEAMBOAT SPRINGS 13 14 27 TELLURIDE 10 13 23 TRINIDAD 20 40 60 WHEAT RIDGE 11 13 24 Total 1,361 947 2,308    

Colorado  Marijuana  Market  Report  -­  December  2016    

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>10 Active Licenses Freq. Percent Cum. NATIVE ROOTS 62 2.13 2.13 LIVWELL 49 1.68 3.81 SWEET LEAF 34 1.17 4.98 THE GREEN SOLUTION 27 0.93 5.90 BUDDY BOY 25 0.86 6.76 MAGGIES FARM 22 0.76 7.52 PURE MEDICAL 21 0.72 8.24 THE CLINIC 17 0.58 8.82 ROCKY MOUNTAIN REMEDIES 16 0.55 9.37 SILVER STEM FINE CANNABIS 16 0.55 9.92 ADAMS GREEN CROSSING 15 0.51 10.44 GREEN TREE MEDICINALS 15 0.51 10.95 HGCO 15 0.51 11.47 MMJ AMERICA 15 0.51 11.98 LIGHTSHADE 14 0.48 12.46 STARBUDS 14 0.48 12.94 NEW AGE MEDICAL 13 0.45 13.39 A CUT ABOVE 11 0.38 13.77 ALTITUDE ORGANIC 11 0.38 14.14 BEST BUDZ 11 0.38 14.52 FROSTED LEAF 11 0.38 14.90 COLORADO HARVEST COMPANY 10 0.34 15.24 DOCTORS ORDERS 10 0.34 15.59 GREEN DRAGON 10 0.34 15.93 INFINITE WELLNESS CENTER 10 0.34 16.27 TRU CANNABIS 10 0.34 16.62        

Colorado  Marijuana  Market  Report  -­  December  2016    

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 city Freq. Percent Cum. DENVER 1,244 42.71 42.71 COLORADO SPRINGS 365 12.53 55.24 BOULDER 151 5.18 60.42 PUEBLO 130 4.46 64.88 PUEBLO WEST 75 2.57 67.46 AURORA 61 2.09 69.55 TRINIDAD 60 2.06 71.61 FORT COLLINS 57 1.96 73.57 DURANGO 32 1.10 74.67 STEAMBOAT SPRINGS 27 0.93 75.59 WHEAT RIDGE 24 0.82 76.42 CARBONDALE 23 0.79 77.21 TELLURIDE 23 0.79 78.00 GARDEN CITY 18 0.62 78.61 LAFAYETTE 18 0.62 79.23 LAKEWOOD 17 0.58 79.81 LOG LANE VILLAGE 17 0.58 80.40 ASPEN 16 0.55 80.95 AVON 16 0.55 81.50 GUNNISON 16 0.55 82.05 PENROSE 16 0.55 82.60 MOFFAT 15 0.51 83.11 RIFLE 15 0.51 83.63 IDAHO SPRINGS 14 0.48 84.11 NORTHGLENN 14 0.48 84.59 CORTEZ 13 0.45 85.03 OAK CREEK 13 0.45 85.48 PAGOSA SPRINGS 13 0.45 85.93 WALSENBURG 12 0.41 86.34

Colorado  Marijuana  Market  Report  -­  December  2016    

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AVONDALE 11 0.38 86.71 DUMONT 11 0.38 87.09 GLENWOOD SPRINGS 11 0.38 87.47 BOONE 10 0.34 87.81 EDGEWATER 10 0.34 88.16 GLENDALE 10 0.34 88.50 HENDERSON 10 0.34 88.84 LEADVILLE 10 0.34 89.19 RIDGWAY 10 0.34 89.53 BRECKENRIDGE 9 0.31 89.84 COMMERCE CITY 9 0.31 90.15 CRESTED BUTTE 9 0.31 90.46 FLORENCE 9 0.31 90.77 MONTROSE 9 0.31 91.07 PARACHUTE 9 0.31 91.38 SALIDA 9 0.31 91.69 TABERNASH 9 0.31 92.00 BAILEY 8 0.27 92.28 SAN LUIS 8 0.27 92.55 ALMA 7 0.24 92.79 CENTRAL CITY 7 0.24 93.03 FAIRPLAY 7 0.24 93.27 EDWARDS 6 0.21 93.48 HARTSEL 6 0.21 93.68 LONGMONT 6 0.21 93.89 NEDERLAND 6 0.21 94.10 PALMER LAKE 6 0.21 94.30 ANTONITO 5 0.17 94.47 BASALT 5 0.17 94.64 CANON CITY 5 0.17 94.82 COLORADO CITY 5 0.17 94.99

Colorado  Marijuana  Market  Report  -­  December  2016    

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EMPIRE 5 0.17 95.16 ENGLEWOOD 5 0.17 95.33 LYONS 5 0.17 95.50 MANCOS 5 0.17 95.67 DE BEQUE 4 0.14 95.81 EAGLE 4 0.14 95.95 EVERGREEN 4 0.14 96.09 FEDERAL HEIGHTS 4 0.14 96.22 FRISCO 4 0.14 96.36 GEORGETOWN 4 0.14 96.50 LITTLETON 4 0.14 96.64 RYE 4 0.14 96.77 SEDGWICK 4 0.14 96.91 SILVERTHORNE 4 0.14 97.05 SILVERTON 4 0.14 97.19 BERTHOUD 3 0.10 97.29 BLACK HAWK 3 0.10 97.39 CENTER 3 0.10 97.49 DILLON 3 0.10 97.60 FLORISSANT 3 0.10 97.70 FORT GARLAND 3 0.10 97.80 FRASER 3 0.10 97.91 LOUISVILLE 3 0.10 98.01 MANITOU SPRINGS 3 0.10 98.11 PALISADE 3 0.10 98.21 ROCKY FORD 3 0.10 98.32 SAGUACHE 3 0.10 98.42 ALAMOSA 2 0.07 98.49 BEULAH 2 0.07 98.56 BLANCA 2 0.07 98.63 BUENA VISTA 2 0.07 98.70

Colorado  Marijuana  Market  Report  -­  December  2016    

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CASCADE 2 0.07 98.76 DIVIDE 2 0.07 98.83 HAYDEN 2 0.07 98.90 HESPERUS 2 0.07 98.97 LAKE GEORGE 2 0.07 99.04 MONTEZUMA 2 0.07 99.11 MOUNTAIN VIEW 2 0.07 99.18 OPHIR 2 0.07 99.24 SAN PABLO 2 0.07 99.31 SILT 2 0.07 99.38 VILLA GROVE 2 0.07 99.45 BOND 1 0.03 99.49 CHAMA 1 0.03 99.52 COMO 1 0.03 99.55 CRAIG 1 0.03 99.59 DOWNIEVILLE 1 0.03 99.62 GOLDEN 1 0.03 99.66 GYPSUM 1 0.03 99.69 JEFFERSON 1 0.03 99.73 KEYSTONE 1 0.03 99.76 NEW CASTLE 1 0.03 99.79 NIWOT 1 0.03 99.83 NORWOOD 1 0.03 99.86 SILVER PLUME 1 0.03 99.90 SNOWMASS 1 0.03 99.93 WATKINS 1 0.03 99.97 WINTER PARK 1 0.03 100.00 Total 2,913 100.00