Pre-ICO Cannabis Recreational Marijuana Turn-Key Dispensary Business For Sale (LA County) #128Popular Rec., Pre-ICO, Turn Key
Dispensary / Posted 3 months ago / 769 views
Hollywood Sunset BLVD Prime Location
(Just Reduced from $16.5M!)
This dispensary is located on Sunset BLVD and has a Full-Absentee model currently in place. This business has been in operation for 10 years and grosses over $9M and nets $3.5M.
Here we have an amazing opportunity to enter the most sought after industry in Los Angeles County. This dispensary is located on Sunset BLVD and has a Full-Absentee model currently in place. Everybody already knows Los Angeles is the Mecca of Cannabis in the whole world and this is where big business resides. This business is on track to do between $9.5M and $10M this year on just the dispensary storefront side.
Lastly they currently have a delivery retail license as well which allows them to deliver to the Entire COUNTY of Los Angeles, there is over 10 Million people in the county. An average delivery service does between 150 and 200 deliveries a day, a really good one will do between 250 and 400 a day. Average ticket on deliveries are higher than storefronts, industry average is 110 per order. at 200 deliveries a day at the $110 average order, will provide an additional $8M in revenue per year which they have not started yet because they were just issued this license in April of 2018, and have not put this part of the business together yet.
This dispensary was also issued a Cultivation and Distribution license as well which is in effect. They have a 1400 sq ft grow at the moment that generates additional revenue.
- Licenses in Hand: Retail Storefront, Retail Delivery, Cultivation & Distribution
- Have all the above licenses in both Recreational and Medical Use
- Wholesale Inventory- $250,000.00 Comes with the business
- Total Space: 3,800 sqft
- Staff – 27 Employees
- $14,000 a Month Rent (Long Term Lease is Available)
- Business is off of Sunset BLVD, (Prime Location)
- They have zero signage, which would increase the sales if you put the name of the business up and they have a spot on the post that is on the st with all the businesses names on them to market to cars driving by they have a spot on there that they have not yet utilized. 2 amazing opportunities for signage.
- Over 17 parkings spots available in for all tenants, and there is ample st parking.
- Has been in the same spot since 2006, (12 year operating business in the same location)
- Only reason for selling one of the partners has a health issue and is calling an early retirement.
- Team – This Dispensary has a team of 27, all women, staff that run the whole show. They do everything that even the owners would typically do for their own business. This business is 100% FULL absentee, and has 2 Supervisors with floor managers that take reigns of this well oiled machine. The owners words, and I quote,” I only come for about an hour once a week, and I feel like I am in the way when I am here, while the staff is running around non stop, because that is how busy it is all the time”.
2017 – $7M Actuals
2018 – On pace to do $9M despite the new taxes and regulations of July 1rst , 2018.
2019- $27M – Projected Storefront $11M, New Delivery at 150 deliveries a day average at the $110 per order an additional $6M projected, Manufacturing $8M projected, Distribution $2M projected
2020- $32M projected
2021- $35M projected
2022 – Possible exit 2x Gross Revenue $70M
Evaluation of this Business –
Highlights of the Business
- Here are the licenses that come with the business; Retail Storefront, Retail Delivery, Cultivation, & DIstribution.
- There is no signage on the middle marketing display or above the Business Door Entrance. The Entire gross sales is mostly coming from the locals not the tourist driving down Sunset Blvd.
- Ton of Parking, 17 spots plus an ample amount of street parking that never gets used. Very rare in Los Angeles on Sunset Blvd.
- Full absentee operation, 27 All Girl staff that run the show and do everything from operations, to managing to do everything the owner would do as well. Exact quote from the owner was “ I feel like I am in the way when I am here, this is a well Oiled Machine”.
- Right now they are averaging over $25,000 a day out of 1200 sq ft of retail space, they just obtained an additional 1200 sq ft space next door to double the size of the retail space. The increase in space for the retail space is going to increase the retail numbers tremendously. The Cultivation and distribution grow takes up the other 1400 sq ft total of 3800 sq ft. ($14,000 a month rent)
- Famous celebrities and models frequently visit this dispensary as the favorite dispensary in Los Angeles.
- This business has been operating from the same location with the same 2 owners since 2006. Out of 150 Pre ICO licensed stores there are only 3 Original Owners in the same location since 2006. All of their revenues come from the locals they aren’t capturing the tourist market driving down the road.
- If you want to just buy a 2018 Retail Storefront, Retail Delivery, Cultivation, manufacturing, & DIstribution licenses PAPER ONLY with no location and zero revenues going market price is between $5.2M – $5.5M.
- 1.7 Miles from Dodgers Stadium with a Billboard around to market on.
- Seller is selling because one of the partners has a irreversible permanent health condition and they decided to sell the entire asset.
Asking Price: $16,500,000.00 Just Reduced to $14,900,000.00
Must sign an NDA/Waiver and have proof of financials before any other detailed information is released.
Kay Akel, BRE CA# 02061374
If you have any questions call Kay’s assistant at (619) 653-0483
Green Life Business Group Inc. we are here to both help you sell or buy a cannabis business opportunity.