A recent study published in the American Journal of Preventive Medicine reveals that a considerable number of recreational cannabis retailers are situated in economically disadvantaged neighborhoods, particularly those with higher populations of Black and Hispanic residents. This analysis encompasses 18 states across the United States where adult cannabis use is legal.
The study identified 5,586 recreational cannabis retailers, using data from state agencies in 2023. These states include Alaska, Arizona, California, Colorado, Connecticut, Illinois, Maine, Massachusetts, Michigan, Missouri, Montana, Nevada, New Jersey, New Mexico, Oregon, Rhode Island, Vermont, and Washington, where recreational cannabis sales were legalized between 2012 and 2022.
Research led by Dr. Lindsay L. Kephart from Harvard T.H. Chan School of Public Health highlights that cannabis retailers are present in just over 10% of census tracts in these states. Notably, neighborhoods with a high percentage of low-income Black residents have 2.53 times more cannabis retailers than affluent, predominantly White neighborhoods. Similarly, areas with high concentrations of low-income Hispanic residents reported 2.67 times more cannabis retailers.
These findings align with established patterns seen in the distribution of tobacco and alcohol retailers, which are also more prevalent in neighborhoods with lower income and higher racial diversity. Dr. Kephart emphasizes that this concentration may not always be intentional, but it can lead to increased exposure to substance use for marginalized communities.
The research indicates that structural factors contribute to these patterns. For instance, ‘Not-In-My-Backyard’ (NIMBY) policies often push cannabis businesses away from more affluent areas, resulting in a disproportionate distribution of retailers in lower-income neighborhoods.
While the study found that racial demographics alone did not significantly affect cannabis retailer presence when income was accounted for, it highlighted that neighborhoods with both low income and a high percentage of residents of color faced the highest concentration of cannabis retailers.
Cannabis use in the U.S. is prevalent, with nearly 19% of people aged 12 or older reporting use in the past year. As of November 2024, 24 states have legalized recreational cannabis, further complicating the landscape of retail distribution.
Dr. Kephart warns that the growing presence of recreational cannabis retailers could influence individual use through increased accessibility, altered perceptions of health risks, and targeted marketing to youth. However, there may also be positive outcomes, such as a decrease in illegal cannabis sales and a regulated supply for adults.
Previous studies suggest that legalizing recreational cannabis can lead to increased home values, particularly in states like Colorado and Washington, which were early adopters of legalization. Factors driving this trend may include heightened housing demand from job growth in the cannabis sector and increased consumer spending that benefits local economies.
Tax revenue from cannabis sales is also being reinvested into community infrastructure and public services, potentially increasing property values as areas become more attractive to buyers.
Dr. Kephart concludes that research like this can guide communities in developing equitable distribution strategies for cannabis retailers. It highlights the need for local policies, such as zoning regulations, to mitigate exposure for youth and ensure a balanced marketplace.
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