Two cannabis stores in New West may be on the move – including one that has yet to open.
The operators of two cannabis retail businesses approved by city council in 2021 are now seeking the city’s support to relocate. North Root Cannabis Ltd. and Queensborough Cannabis Co. were among the six applications approved by council during New Westminster’s initial intake for cannabis shops.
North Root Cannabis Ltd. was approved to open at 416 East Columbia St. in Sapperton. It is the only store that was approved that has never opened.
Queensborough Cannabis Co., the private cannabis store approved for Queensborough, is currently operating at 540 Ewen Ave.
As part of that initial process, those locations were rezoned to allow a cannabis retail use.
A Dec. 16 report to council stated that North Root Cannabis now wants to open in a different location in the Sapperton neighbourhood because of challenges in securing a lease at its originally approved location.
Queensborough Cannabis wants to relocate from its current location to downtown New West because of “economic viability” challenges. That neighbourhood is also home to a BC Cannabis Store at Queensborough Landing Shopping Centre.
After the federal government introduced the Cannabis Act, Canadians were allowed to buy non-medical cannabis from retailers who had been authorized to sell the product. In preparation for the Cannabis Act, the City of New Westminster went through a lengthy process to develop a cannabis regulatory framework, a retail rezoning policy, and a cannabis application evaluation criteria.
Council endorsed a framework that sought to distribute the stores across the city – one in each of the downtown, uptown and Sapperton neighbourhoods and two stores in the remaining retail areas (12th Street, 20th Street, Queensborough, and McBride Boulevard at Eighth Avenue). The city received 22 applications for cannabis retail stores and council approved five private cannabis stores (four have opened) and one government store in Queensborough.
Now or later?
In response to the relocation requests, staff recommended the city inform the proponents that their proposed rezoning applications are premature in advance of the planned review of the city’s cannabis regulatory framework. Pending council’s approval of next year’s budget, that work is set to take place in 2025.
Mayor Patrick Johnstone, however, supported proceeding with these applications now, rather than waiting until the review of the city’s cannabis regulatory framework is complete. He noted the applicants went through the city’s screening process a few years ago.
“I think we do need to have a deeper look at our process, but I don't want these applicants to suffer because of that,” he said. “So, I would be happy if we moved forward with these two applications that are before us, and at the same time continue with the rest of the recommendation, which is to come back in 2025 with a complete review of the process.”
Coun. Jaimie McEvoy said he’s supportive of considering applications for the shops to move to new locations, saying there were things the city didn't anticipate when council adopted the cannabis regulations.
“And one is: what if the location doesn't work out for somebody? We've kind of locked them in forever, possibly into a bad business location or a difficult situation with the landlord, or anything you can think of, really,” he said. “My view is that this Canada made this a legal business. Like other businesses, they're seeking to be successful. And I'm, frankly, not in favour of the number of restrictions that we already have.”
In a 6-1, vote council supported advising North Root Cannabis Ltd. that council would consider a rezoning application to relocate its operation to another location along East Columbia Street in the Sapperton neighbourhood. Council also voted 6-1 in favour of informing the Queensborough Cannabis Co. that it would consider a rezoning application to relocate their operation to a location withing the downtown area.
Coun. Daniel Fontaine was the lone council member to oppose consideration of the applications at this time. He believes council should await the results of the staff review of the regulatory framework before making “ad-hoc decisions” about moves for existing cannabis stores.
“I'm uncomfortable with supporting this until I know what the bigger picture and the bigger regulatory framework is,” he said.
Fontaine said he’s not as concerned about an application for a move within Sapperton, but he has “deep concerns” about allowing a cannabis shop in the Shops at New West Station, where a new vape shop is also opening.
“What’s next? An adult shop? I mean, I don't know what's next to come in there, but I think we want to be super careful around approving these things, first of all without a framework, without an understanding of what the impacts will be,” he said. “We know that when it comes to cannabis shops and vape shops, they typically have smoked out windows. They're not inviting.”
Coun. Tasha Henderson said the cannabis store on 12th Street has bright, open windows.
“The requirement for frosted windows is no longer necessary, and I think that these spaces can be more vibrant and inviting,” she said. “So, I would certainly encourage the operators to do that at their locations.”
Henderson supported consideration of the Sapperton application now, rather than waiting until the cannabis regulatory framework is updated in 2025.
“They are a family with a small business. They have other jobs, and they've been waiting a long time,” she said. “This would maintain one location within Sapperton. It just makes sense that this was the successful operator through that first round of competition that we provide them the opportunity to open without more delay. I think the delay has been really burdensome to them as business owners. So definitely supportive of that.”
Henderson believes that the relocating the store from Queensborough to the commercial building at the New Westminster SkyTrain station will help drive some foot traffic to the area that will help support the nearby restaurants and businesses.
Action taken
At Monday’s meeting, council unanimously supported a motion directing staff to proceed with the planned review of the cannabis regulatory framework.
Part of the discussion at the Dec. 16 meeting related to the Sapperton and Queensborough sites that had previously been rezoned to allow cannabis stores to operate at those locations.
Coun. Nadine Nakagawa questioned how onerous the process would be to remove the zoning designation from those locations.
“I would say the process would not be onerous,” said Jackie Teed, the city’s director of planning and development. “Staff has reached out to the owners of both of the properties, which are owned separately from the business operators and owners. Neither of the property owners is interested in having the use removed from their zoning. Council has the authority to change zoning at its discretion.”
Teed said council could direct staff to prepare a bylaw that would remove the cannabis store use from those sites.
“It would follow a very simplified rezoning process, because we would be simply removing that use,” she said. “So, we would prepare the bylaws and bring it forward for council's consideration.”
Council approved amendments from Nakagawa and Fontaine to not allow cannabis retail as a permitted use in the zoning of the Queensborough and Sapperton locations previously approved by council. Johnstone stressed that removing cannabis retail from the two previously approved locations would be subject to future approval of the new locations.