Cannabis in 2026?
Gotham had quite the year, though, like all cannabis businesses in NYS, we are still struggling to see a healthy future. It is frustrating, exhilarating, educational, thought-provoking, and annoying all at once.
Gotham now has four stores: Chelsea (10th and 19th), Bowery (3 E 3rd), Hudson (Warren Street), and Williamsburg (Domino Sugar Factory). We have tweaked our model, adding kiosks (the new beautiful ones will be installed in January), and that includes a tighter team. We can’t thrive unless we think about how we survive.
Our biggest win has been creating a place where our customers have become part of our community, and keep coming back time and time again. That feels insanely good because it means Gotham is providing a store experience with the right products, a warm environment, top-notch customer service, and cannaseurs (our wonderful sales experts) who have become part of people’s lives. We have had customers come in with cookies, cards, and, of course, their dogs to say Happy New Year and thank us for the year. That is epic.
On a marketing note, we blended art, fashion, and culture under one roof. Models hit the runways smoking joints from Gotham; we had a float at NYC’s Gay Pride Parade; we hosted a fun and fashionable 4/20 disco party; we had a group show featuring over 40 artists who made one-of-a-kind ashtrays; and we put on countless events, such as Slam Poetry night. The list goes on and on, and they were all highlighted in Gotham’s windows and collectible gummy tins showing it all on the streets of NYC.
In a short time, the Office of Cannabis Management, which oversees all things cannabis in the state of NY, has had three leaders. That says it all. Although there has been some progress in addressing illegal products sold in NYS in unlicensed stores and by illegal delivery businesses, NYS has not achieved the impact needed to build a robust legal market. Industry frustration is high, and this should be a priority for the state.
The OCM moves too slowly, and they need to focus on measures in 2026 that will help the industry grow. Dispensaries should be able to pull a license (with ease) as caterers do for events. That means we can do more weddings and private events, and sell at concerts and farmers’ markets, just like liquor companies do. There needs to be other avenues for dispensaries to build their businesses beyond four walls. That is a win for everyone, including the farmers.
Research, although slow, is uncovering the plant’s positive aspects every day. Cannabis compounds have proven to halt cancer growth, blocking blood vessels and tumors. From a pain perspective, cannabis can block pain, help with inflammation, and improve sleep. It is not a simple solution, and more research needs to be done, but if cannabis can be an opioid substitute, that is huge. Opioid addiction usually starts with an accident, and why should people find themselves falling into the abyss of abuse over pain?
I am optimistic as always, but being at the forefront of this industry has made me more cynical and realistic. I am looking forward to our first salon at The Highrise to discuss the importance of research and why no one is putting capital into our businesses. I know the answer as an investor, but many do not.
The Federal Government is a shambles, so it is unclear to me that legalizing the plant at that level will happen anytime soon, which would be a huge mistake. Yet mistakes across the board seem to be the government’s motto. But if we look at history, it will happen. The question is always the same: when?