Tribal cannabis stores increase by 24% since May 2024

Since May 2024, tribally owned cannabis stores in the United States have expanded by 24%. As of April 2025, there are 77 cannabis outlets owned by Native American tribes across nine states. This increase reflects the ongoing development of tribal businesses in the cannabis sector, especially in states where adult-use marijuana has recently been legalized, such as Minnesota and New York.

Currently, 574 Native American tribes are recognized by the U.S. government, with about 10% having established recreational or medical cannabis dispensaries. The rise of tribal cannabis stores has been particularly pronounced in states with emerging markets, while established markets like California and Washington have also seen new tribal ventures.

The 77 tribal cannabis retailers are operated by 59 different tribes, marking an 18% growth in tribal ownership since May 2024. On average, these stores measure around 4,600 square feet, with sizes ranging from under 1,000 square feet to expansive facilities exceeding 10,000 square feet. Notably, over 80% of tribes with cannabis retail operations also run casinos, and 27 of these stores are located near tribal casinos.

Tribal cannabis laws can vary significantly from state regulations. Some tribes impose stricter rules, including outright bans on cannabis use despite state legalization. For example, the Eastern Band of Cherokee Indians operates the only legal marijuana store in North Carolina, where cannabis remains illegal outside tribal jurisdiction. This store began selling adult-use products within the past year.

Washington state leads the nation with 25 tribal cannabis outlets, operated by 18 tribes, representing over 60% of the federally recognized tribes in that state. California follows with 15 tribal stores owned by 12 tribes, surpassing Nevada in the past year. Minnesota and New York have experienced rapid growth in tribal cannabis businesses, capitalizing on slow state licensing processes.

When states legalize adult-use cannabis but delay licensing, tribal businesses often fill the supply gap, providing a legal option for consumers and reducing the illicit market’s foothold. In Minnesota, tribal outlets currently represent the only legal adult-use cannabis options, ensuring that residents have a legitimate avenue for purchasing recreational marijuana.

Tribes are also exploring innovative business models in the cannabis industry. For instance, the Sycuan Band of the Kumeyaay Nation launched ‘Sessions by the Bay,’ a 16,000-square-foot facility in National City, California, featuring a dispensary, art spaces, dining, and a consumption lounge with live events. Similarly, the Twenty-Nine Palms Band of Mission Indians opened the Red Falcon Dispensary in locations such as Coachella, complete with a lounge offering food, beer, and outdoor viewing for sports fans.

Beyond retail, numerous tribal businesses are engaged in cannabis cultivation and manufacturing. The Mille Lacs Band of Ojibwe, for example, is developing a large growing facility instead of immediately opening a dispensary. White Earth Nation has sold excess cannabis products to other tribes in Minnesota lacking sufficient growing operations. Additionally, White Earth Nation recently signed a compact with the state allowing it to open up to eight stores outside tribal lands.

Some tribes have opted to license their members to operate cannabis companies. The Saint Regis Mohawk Tribe in New York has licensed over 20 cannabis retailers, while the Oglala Sioux Tribe in South Dakota has similarly allowed tribal members to establish cannabis businesses.

As more tribes invest in cannabis and expand their operations, further growth and innovation within the sector are expected in the coming year. This trend highlights the evolving landscape of cannabis in the United States and the increasing involvement of Native American tribes in this growing industry.