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Grover Beach cannabis shop closes, industry in crisis

June 9, 2023

By KAREN VELIE

A Grover Beach cannabis shop that opened in 2018, 805 Beach Breaks, is now closed. It was the first pot shop in San Luis Obispo County and it’s the first to shut its doors.

Trulieve, a Florida-based cannabis company and the parent company of 805 Beach Breaks, announced the closure of its Grover Beach pot shop last week because of financial concerns. There is a handwritten sign on the front door: “Closed until further notice.”

The closure of 805 Beach Breaks follows the shutdown of Trulieve’s Palm Springs and Venice pot shops. With 185 cannabis stores, Trulieve is the biggest cannabis retail store operator in the country.

At $4 a share, Trulieve’s stock is down by over 92% from its all-time high of $50.42, seen in March 2021.

California’s cannabis industry is in crisis, with pot shops unable to pay their taxes, in debt and closing their doors.

Cannabis retailers are required to collect a 15% excise tax on the sale of all cannabis products. Payments for the first quarter of the year were due on May 1, 2023. However, 265 pot shops failed to make their May tax payments and now face 50% penalties, according to SFGATE.

While hundreds of pot shops struggle to pay their debts, Guadalupe recently approved two applications to open cannabis retail stores in the small Santa Barbara County city.

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Boo hoo…


5

So will the city now reduce their budget equal too the projected tax revenue from this business which will not be received?


8

There is another dispensary just a couple blocks away that seems to be doing just fine. I love watching all the gray haired folks shuffling in with their canes and walkers picking up their medicine. Can you believe that just a few years ago people were going to jail for this and still are in some parts of the country?


11

How surprising for this ethical, health oriented industry staffed with hard working leadership?


1

It’s a weed. Cartels grow it in our forests. If you could get great whiskey for 5.00 a bottle would you go to a store and pay 25.00?


15

Dopers are dopes.


-13

As someone, I forget who, said, the government couldn’t run a whorehouse with a liquor license.


13

Just because KSBY doesn’t mention a crisis in the industry does not mean it doesn’t exist! The chickens will keep coming home to roost over the corrupt liaisons between local government agencies, elected officials, and cannabis operators. When everyone is stealing from everyone else, eventually, they use up all the money.


33

Tell that to the kids in Lompoc who will be getting new parks. Or the police who have more funding than they would have otherwise. In case you hadn’t noticed there is a certain amount of corruption in every industry.


-47

Where will City staffers meet after hours with this closure? What will they do?


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