Marijuana multistate operator The Cannabist Co. will close its Denver cultivation and manufacturing facility and cut 50 jobs as part of its ongoing bankruptcy proceedings.
The layoffs will start Sept. 11, according to a Worker Adjustment and Retraining Notification (WARN) filed July 14 with the Colorado Department of Labor and Employment, as first reported by The Denver Post.
Affected workers will continue to receive base pay and benefits for 60 days.
The cultivation site at 4750 Nome St. was once home to Medicine Man, one of Colorado’s best-known cannabis operators. Columbia Care, now known as The Cannabist Co., acquired it in 2021.
Why is The Cannabist closing its Denver facility?
The Denver closure is the latest step in an ongoing liquidation. The Cannabist filed for Chapter 15 bankruptcy protection in Delaware on March 25, facing about $270 million in debt to lenders and the IRS.
A U.S. Bankruptcy Court judge approved the Chapter 15 protections on May 9, overturning an objection from creditor East West Bank.
In the meantime, the MSO sold off its permits in Virginia, Ohio and Delaware.
In March, The Cannbist Co. entered a memorandum of understanding (MOU) to sell assets in Colorado, Illinois, New Jersey, West Virginia, Massachusetts and Maryland.
The company surrendered its New York medical permit and wound down operations in Pennsylvania after those markets drew insufficient buyer interest, according to court filings.
What’s causing the financial struggles?
The Denver shutdown reflects a broader squeeze on Colorado cultivators. Wholesale marijuana prices have fallen from a pandemic peak of about $1,700 per pound to less than $600 per pound recently, according to industry sources, as reported by The Denver Post.
The drop has pushed vertically integrated operators to abandon expensive grow operations and source product on the open market.
The Cannabist isn’t alone.
Chicago-based PharmaCann, owner of LivWell Enlightened Health, closed a Denver cultivation and processing facility in March, eliminating 132 jobs.
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Kristin Popek, vice president of talent at The Cannabist, wrote in the WARN letter that all affected employees have been notified their separations will be permanent. She did not respond to requests for comment from The Denver Post.
The Ohio permit sale is expected to close in the third quarter of 2026. The company’s remaining Colorado assets remain subject to the MOU, with no buyer confirmed as of the WARN filing.
