The two companies are joining forces to launch a new facility in Nevada
Item 9 Labs Corp., headquartered in Arizona, is teaming up with a Nevada-based company to build and manage a large medical marijuana facility in Nevada. Strive Wellness, which is based in Nevada, is a licensed medical marijuana company in the state and will be involved with Item 9 as they jointly build a 20,000-square foot medical marijuana cultivation and processing center. That center is expected to be constructed in Pahrump.
Strive Wellness received its license in April of last year. Subsequently, it was given a Special Use Permit last December. The new operations will incorporate environmentally-friendly construction practices to build the facility, which will be based on input provided by the Bowden Investment Group.
According to the CEO of Item 9, Sara Gullickson, “This joint venture opens up new territory for growth in a larger medical marijuana market, bolstered further by its reciprocity laws. This new facility will double our overall capacity and productivity by an additional 20,000 square-feet. We plan to break ground in February and begin producing legal medical marijuana products in September 2019.”
Arizona and Nevada have marijuana reciprocity agreements, allowing residents from both states to purchase medical marijuana in either state. This made the decision by Item 9 to enter the Nevada market an important one, with Gullickson explaining, “When adult-use sales spike, we want to ensure patients still have access to high-grade medicinal marijuana product. We expect to make a major impact with our organic practices and premium flower and concentrates.”
The legal marijuana market in Nevada will reportedly be worth around $622 million within the next two years.