LeafLine Labs, one of two businesses awarded licenses to grow and sell medical cannabis in Minnesota, has started construction on its cultivation facility after buying land last month.
The company paid $3.1 million for the 24-acre site near Cottage Grove, Minnesota, according to the Minneapolis/St. Paul Business Journal. LeafLine – run by members of the family that owns a chain of garden centers – will grow marijuana at the facility and distribute it through a dispensary in Eagan.
Minnesota’s medical marijuana market could be smaller than expected, as patients may have to pay $100 to $500 a month for cannabis. Minnesota Medical Solutions, the other company awarded a license, said it will implement a pricing scale for patients with lower income while LeafLine said it’s still trying to determine how to charge lower-income patients.
Each company is allowed to open up to four dispensaries.
