A cannabis cultivation facility is coming to Atlantic City.

The move puts down roots for Agri-Kind, a Pennsylvania-based cannabis company, while showing more signs of growth for the budding industry in the state. It also holds significance for the diversification of Atlantic City’s economy as one of the largest non-casino and non-entertainment real estate transactions in the resort town in more than 30 years, according to Vantage Commercial.

The Cherry Hill-based commercial real estate brokerage announced the sale of 1705-1717 Atlantic Ave. and 19 N. Martin Luther King Blvd. March 2. Totaling 3.7 acres, the properties are located in the Central Business District within the Tourism Zone and were assembled over nearly three decades – and through more than 40 transactions – by the Trupos and Angeloni families, Vantage said. Financial terms were not disclosed.

The firm described the development deal as “multifaceted,” involving an approval process with “varying levels of complexity.” Director of Client Services and Land Development Specialist Corinne Giletto and President and Chief Executive Leor Hemo handled the deal, drawing on their knowledge and connections in the market. Both have been working on the city’s redevelopment for more than 20 years through listings, community involvement and meetings with city officials.

According to the firm, Vantage Commercial’s work in the city has focused on expanding industries there and attracting new owners and tenants.

Changing tide

The owner’s Land Use application to the City of Atlantic City, which was approved in October 2022, highlighted the impact the facility would have for the area and included a letter of support from Mayor Marty Small Jr.

And though a cultivation facility may not initially come off as a consumer-facing business, the application offers insights as to how the facility marries with the tourism the resort town is known for.

“Internally, the facility will resemble a pharmaceutical manufacturing facility with clean rooms and sterile environments,” it reads, and the public would be allowed inside, “in an organized manner,” for tours. Not unlike how someone may stop by a brewery to get a peek behind the scenes.

Beyond tourism, “The project will provide needed year-round employment opportunities to members of the community, while generating tax revenue for the city,” according to the application. As of December 2022, the most-recent data available, Atlantic City had a preliminary unemployment rate of 5.8% — above both the state (3.4%) and national (3.5%) rate for the same period.

“The sale of 1705 – 1717 Atlantic Ave. and 19 N. Martin Luther King Blvd. marks a significant milestone for Atlantic City and the commercial real estate industry,” Hemo said in a statement.

“We are proud to have played a role in this deal, which will bring new job opportunities and economic growth to the area. Vantage Commercial will continue to hold its presence as a top broker in Atlantic County,” he added.

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