New WeWork Relationship Will Assist Company with Greater Flexibility as it Pursues California and National Expansion; Denver Remodel Part of Broader General Cannabis Rebrand
DENVER, Jan. 22, 2019 (GLOBE NEWSWIRE) -- General Cannabis Corp. (CANN), the comprehensive resource for the highest quality service providers available to the regulated cannabis industry, today announced that it has secured a lease with WeWork Los Angeles in support of its Southern California expansion. The Company plans to leverage the flexibility of the WeWork shared office model for business development and sales efforts in California, as well as additional markets around the country as more states implement a regulated legalization framework for cannabis.
The expansion of its corporate infrastructure in California follows the recent news of a new General Cannabis office in New York, and complements its Northern California presence in Sacramento. In addition, the Company is undergoing a transformational remodel of its 15,000 square foot headquarter office in Denver, Colorado which is expected to be completed by Spring 2019. General Cannabis has owned the building in Central Denver since 2014.
“Having a Los Angeles presence allows us to deepen our relationships within the California cannabis industry,” said Michael Feinsod, Chairman and CEO of General Cannabis. “The added flexibility provided by the WeWork model allows us to scale more efficiently than a traditional office lease. In addition, as we respond to rapid developments in new markets coming on line, we can expand our footprint effectively overnight in markets where WeWork has a presence such as Boston and Washington D.C.“
General Cannabis will share office space in the 925 N La Brea Ave location of WeWork, located in West Hollywood. This proximity will allow all four General Cannabis divisions (Next Big Crop, Chiefton, Iron Protection Group and GC Capital) to reach key clients in Southern California for business expansion efforts, while keeping overhead costs lower than a traditional office lease.
“WeWork offices are a perfect place for our employees; vibrant and cutting-edge while offering an entrepreneurial spirit--one which General Cannabis shares and takes great pride in,“ said Joe Hodas, General Cannabis’ Chief Operating Officer. “When combined with the branded remodel of our headquarters, we anticipate these new work spaces will better support our brand, our values and our employees.”
According to a June 2018 report from MarketNewsUpdates.com, with nearly 40 million residents and more than a million medical marijuana patients, California's market represents about a third of the North American cannabis market. It also noted that BDS Analytics predicts California sales will reach $5.1 billion by the end of this year, with Cowen & Co. stating they believe California could account for about $25 billion of a $50 billion dollar cannabis market by 2026.
“These new work/life spaces will allow us to be more nimble, providing a landing place and centralized meeting location for our teams who are traveling frequently to California, Denver and other markets around the country,” added Feinsod. “Every day we speak with companies around the country which are trying to understand the pitfalls of running a regulated cannabis business. I am confident that with our footprint expansion through WeWork, as well as our home-base transformation, we can provide the support these businesses need.”
About General Cannabis Corp.
General Cannabis Corp. is the comprehensive national resource for the highest-quality serviceproviders available to the regulated cannabis industry. We are a trusted partner to the cultivation, production and retail sides of the cannabis business. We do this through a combination of strong operating divisions such as security, marketing, operational consulting and products, real estate and financing. As a synergistic holding company, our divisions are able to leverage the strengths of each other, as well as a larger balance sheet, to succeed. Our website address is www.generalcann.com.
This release contains forward-looking statements that relate to future events or General Cannabis’ future performance or financial condition. Such statements include statements regarding the benefits to the Company of the Company’s new WeWork office space lease; statements regarding the anticipated timing for completion of the remodel of our Denver headquarter office; and statements regarding the future size of the cannabis market in California.
Any statements that are not statements of historical fact, such as the statements above and including statements containing the words “plans,” “anticipates,” “expects” and similar expressions, should also be considered to be forward-looking statements. These forward-looking statements are not guarantees of future performance, condition or results and involve a number of risks and uncertainties. Actual results may differ materially from those in the forward-looking statements as result of a number of factors, including those described from time to time in General Cannabis’ filings with the Securities and Exchange Commission. General Cannabis undertakes no duty to update any forward-looking statements made herein.
Chief Operating Officer