US National Monthly: Five States Drive Cannabis Retail Expansion

February 2026 Cannabis Retail Expansion: Five States Lead the Way

February 2026 brought significant cannabis retail expansion across multiple states. Minnesota’s cannabis retail market crossed 96 licensed retail sites with wholesale pricing holding above $4,500 per pound, Kentucky opened its first Northern region dispensary in Florence, and Ohio hit $1 billion in 2025 sales while preparing for March 20 compliance deadlines. New Jersey saw enforcement actions with license suspensions and inventory holds, while Rhode Island moved toward a May licensing lottery after approving its seventh dispensary. For retailers and investors tracking state-level market development, February showed which states are moving fastest and where the next growth phase is taking shape.

Don’t miss out on the available cannabis assets at the bottom of this article.

Top Headlines This Month

• 🏛️ Minnesota reaches 96 adult-use retail licenses, wholesale pricing spikes above $4,500/lb
• 🏪 Kentucky opens Northern region’s first medical dispensary in Florence
• 📊 Ohio confirms $1 billion in 2025 cannabis sales, March 20 compliance deadline approaches
• ⚖️ New Jersey suspends Jersey Strong licenses, places Mollitiam inventory on hold
• 🏛️ Rhode Island approves seventh dispensary, May lottery expected for 96 applicants

🏛️ Minnesota: Adult-Use Program Reaches 96 Licensed Retail Sites

Minnesota’s Office of Cannabis Management confirmed 135 cannabis business licenses issued statewide as of mid-February, including 96 adult-use retail sites now licensed across the state. Wholesale flower pricing remains elevated at $4,500+ per pound, roughly double unregulated per-gram pricing, reflecting supply-constrained early market conditions. Anoka launched the state’s first city-owned dispensary on February 5, while Prairie Island announced plans for an off-reservation dispensary in Mankato. The state legislature introduced H.F. 3505 on February 19 to restrict certain cannabis business locations, though specific buffer language remains pending.

The gap between 40–59 operating retailers reported at end of 2025 and 96 licenses issued by February indicates accelerating activation across the Minnesota cannabis retail market. As more of the 1,400+ applicants with preliminary approval convert to active operations, supply-demand dynamics will shift. Early movers benefit from scarcity pricing and limited competition, but retailers entering later should plan for tighter margins as inventory expands.

Source: themarijuanaherald.com

🏪 Kentucky: Florence Opens Northern Region’s First Medical Dispensary

Bluegrass Cannacare opened February 7, 2026, at 6809 Burlington Pike in Florence (Boone County), marking the first operational medical marijuana dispensary in Northern Kentucky. The location serves the Cincinnati metro-adjacent corridor in a region where 400,000+ residents previously had no local retail access. Kentucky’s cannabis market now has seven dispensaries approved statewide, with gummies launching across all active locations in February. The state legislature is considering SB 18 to authorize podiatrists to certify patients, while the Office of Medical Cannabis recommended 16 new qualifying conditions to the General Assembly.

Northern Kentucky’s first dispensary opening validates demand in a region with strong proximity to Ohio and Indiana borders. The Florence location captures patient loyalty in a competitive vacuum, while gummy availability expands treatment options beyond flower and tinctures. Kentucky’s medical program continues building infrastructure ahead of broader patient access expansion.

Source: wlwt.com

📊 Ohio: $1 Billion in 2025 Sales, March 20 Compliance Deadline Approaches

Ohio Department of Commerce data confirmed more than $1 billion in legal marijuana sales during 2025, with more than $35 million in adult-use excise taxes collected since August 2024. Cincinnati proposed dedicating $2.5 million in annual marijuana tax revenue to expungement, lead paint abatement, and youth development programs through the “Harm to Hope” plan introduced February 12. Akron approved conditional use permits for two dual-use dispensaries on February 2, while Circleville extended its retail moratorium through May 6. Senate Bill 56 takes effect March 20, 2026, imposing a 35% THC cap on flower, public smoking prohibitions, and trunk storage requirements for drivers.

The $1 billion sales baseline validates durable consumer demand through Ohio’s adult-use cannabis market first full year of operations and strengthens municipal support for continued retail access. Tax distributions to nearly 100 host communities began in January 2026, reinforcing local political incentives. Retailers face immediate portfolio adjustments to comply with the March 20 THC cap and must educate customers on new packaging, transport, and public use rules.

Source: marijuanamoment.net

⚖️ New Jersey: CRC Suspends Jersey Strong, Holds Mollitiam Inventory

The New Jersey Cannabis Regulatory Commission suspended Jersey Strong and Mollitiam licenses on February 12, 2026, and placed all flower and product that passed through Mollitiam NJ LLC facilities on Administrative Hold in the Metrc seed-to-sale tracking system. The action prevents transfer, distribution, or sale of those items and stems from alleged unauthorized cultivation activity at a non-sanctioned satellite site. A separate licensee received a $25,000 fine and 14-day suspension during the same meeting. Newark added a new dispensary in the Ironbound neighborhood, while South Bound Brook voted on revised operating hours.

The enforcement wave underscores the New Jersey cannabis market’s intensified compliance focus and multi-agency coordination with the Attorney General and State Police targeting unlicensed operators. The Mollitiam hold removes products from dispensary shelves, tightening short-term inventory for retailers carrying those SKUs. Newark’s combination of retail expansion and upstream manufacturing approvals signals sustained municipal support for cannabis business growth across the supply chain.

Source: headynj.com

🏛️ Rhode Island: Seventh Dispensary Approved, May Lottery Expected

Warren’s Zoning Board unanimously approved a special use permit for East Bay Cannabis LLC to operate a retail dispensary at 317 Market St. on February 2. Rhode Island has approved seven medical cannabis dispensaries total, with six having opened by early February 2026. The Rhode Island cannabis market Cannabis Control Commission narrowed the applicant pool to 96 qualified entries for up to 24 new adult-use retail licenses, with a lottery expected in May 2026. The state Cannabis Control Commission hit Ocean State Curated Cannabis in Warwick with a $70,000 fine and a 30-day sales suspension, signaling tougher oversight as the market expands. Pawtucket delayed its retail ordinance after public testimony from applicants who signed leases under prior guidance.

The March 20 CCC decision on simultaneous versus staggered awards could shape opening timelines and competitive dynamics, particularly in Zone 6 where application density is highest. Warren joins a growing number of Rhode Island municipalities clearing local zoning hurdles ahead of the state’s 96-applicant licensing process. Geographic expansion continues steadily, with coverage now extending from Providence metro to rural regions.

Source: eastbayri.com

💼 Cannabis Assets Available For Acquisition

Notes for buyers: Financials and supporting documentation available for qualified buyers under NDA. 

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The Bottom Line

February 2026 showed which states are moving fastest on cannabis retail expansion. Minnesota’s 96 licensed sites and elevated wholesale pricing signal strong early-stage economics, Kentucky’s Northern region opening validates medical program momentum, and Ohio’s $1 billion sales figure reinforces mature market fundamentals. New Jersey’s enforcement actions demonstrate regulatory scrutiny intensifying, while Rhode Island’s May lottery represents the next major market opening. Retailers tracking state-level opportunities should monitor Minnesota’s legislative developments, Ohio’s March 20 compliance deadline, and Rhode Island’s lottery timeline.