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With cannabis growing beyond the traditional confines of dispensaries and cultivation sites, the hospitality space appears to be the next big industry endeavor despite current regulations lagging behind the mainstream interest.
Sites like BudandBreakfast.com and Vibesbnb.com are two options that connect guests with hosts who allow marijuana use on their properties. Some properties provide more than just a space to use cannabis – specific rentals can offer a variety of cannabis experiences and activities like yoga, massages, and sometimes even cannabis education classes. Comparable to navigating VRBO or Airbnb’s site, BudandBreakfast and Vibesbnb allow potential visitors to search by location, price, amenities, and available facilities.
Upon the property’s booking, the rental owner designates specific smoking areas for guests. Rental owners also have the option to provide cannabis for guests or specify if guests need to bring their own. This novel business model is proving to be immensely popular – some rental spaces are currently booked six months in advance.
As of now, BudandBreakfast hosts 2,000 listings – a much smaller market than VRBO and Airbnb’s listing reach. Despite the limited cannabis rental properties now available, analysts expect huge returns for cannabis tourism. Forbes predicts that tourism for cannabis is a $17 billion industry.1 Combined with cannabis sales estimates projected to climb from $25 billion in 2021 to $42 billion in 2026,2 it is clear that the industry has the capital to develop into tourism and hospitality fields.
Beyond the aforementioned rental websites, many individuals are actively seeking to break new ground with cannabis-friendly spaces across the country. In Washington D.C., Nicole Butler manages a bed-and-breakfast where she greets guests with cannabis products.3 To amplify the ‘bed-and-breakfast’ aspect of the rental, she provides guests with a variety of cannabis-infused snacks and food.
Similarly, entrepreneur Deontae Mack is creating his own cannabis friendly rentals in Florida following the state’s 2016 bill that allowed for medicinal use on private properties.4 His goal is to be the Airbnb of cannabis in Florida, however, Florida still does not allow recreational cannabis use.
Despite the clear impetus for the cannabis industry to formally break into the hospitality sector, licensing for such is severely limited, even in cannabis-friendly states like Colorado. In 2019, the firm detailed some of the hospitality rules regarding cannabis in Colorado, here. Even with the cannabis industry’s significant role in Colorado, the Marijuana Enforcement Division reports that as of October 1, 2022, there are only eight hospitality licenses issued throughout the entire state.5
While lawmakers struggle to respond to the momentum of the cannabis industry, industry stakeholders are actively looking for the market’s new frontier. Adding cannabis to a rental experience could be a great way to work within the limitations of the hospitality space while responding to the strong, existing consumer interest. Websites that offer cannabis-friendly rentals are likely to double in size and popularity as cannabis legalization moves throughout the country.
Interested in hospitality licensing? Contact the firm to see how we can help.
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