Council endorses cannabis retail at former diner site

.City Council endorsed a cannabis retailer for the site of the former Galaxy Diner on St. Georges Avenue.

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At its May 8 regular meeting, the governing body passed a resolution (AR-136-23) endorsing Cannapi LLC by a 7-1 vote, with the lone objection by Councilman At-Large Jeremy Mojica, who requested the resolution be pulled from the consent agenda (which adopts multiple resolutions by one vote of Council) and voted on individually. He also was outspoken when City Council approved amendments to cannabis regulations in April.

Cannapi LLC incorporated on Feb. 28, 2022 with an Iselin address and filed an application for a cannabis license (Applicant 2022-01) to the state Cannabis Regulatory Commission (CRC). Any dispensary would still have to gain approval of the state CRC as well as have plans ultimately approved by the Planning or Zoning Board.

Proof of local support must be included as part of applications to the CRC. In addition to a resolution of support, the city is authorized to express preference to the CRC.

“By way of this resolution, the City Council expresses preference to the CRC of Cannapi’s license,” according to the resolution. “The mayor and City Council find and determine that Cannapi LLC has presented the city with sufficient evidence that if it is granted a Class 5 Cannabis Retailer License, it will have control of lawful site within the city’s approved zone.”

Under current regulations, retail cannabis operations are permitted within four zones in Rahway: I-L, Light Industrial Zone, I-H, Heavy Industrial Zone, B-2 Regional Business Zone, and B-3 Highway Business Zone. City regulations allow for two licenses in each category allowed by the state: retail, manufacturing, cultivation, wholesale, distribution, and delivery.

City Council previously expressed support for manufacturing and cultivation license at the former Galaxy Diner site. In December 2021, the governing body approved a similar resolution in support of two entities: Saucey Farms at 293 St. Georges Ave., and Aeterna, LLC, at 211 E. Inman Ave. Aeterna, which incorporated on Dec. 6, 2021 with a Leesville Avenue address, earned conditional license approval from the CRC in September 2022.

More recently, City Council passed a similar resolution in March in support of Plantabis, LLC, to operate a retail dispensary in a former White Castle location on Route 1.

New Jersey voters overwhelmingly approved a 2020 referendum allowing for recreational use of marijuana by a 2-to-1 margin. Most counties approved the measure by a similar margin, with 68% in favor in Union County (Ocean County had the lowest approval, 60%). In Rahway, it passed by even wider margins, with 72% in favor, with the narrowest margin in the 3rd Ward, still at 67% in favor.

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