High Stakes: Atlantic City’s Cannabis Industry Transforms Culture and Economy

Since New Jersey legalized adult-use cannabis in 2021, Atlantic City has emerged as a focal point for the state’s growing cannabis industry. The city’s full “opt-in” approach has allowed for the establishment of various cannabis businesses, including dispensaries, delivery services, and even consumption lounges. This open-minded regulatory stance has helped position Atlantic City as a key player in New Jersey’s cannabis economy.

The introduction of cannabis enterprises has been integrated into broader efforts to rejuvenate Atlantic City’s economy. Through initiatives like the Green Zone Redevelopment Plan, which targets areas such as Atlantic Avenue, Pacific Avenue, and the Orange Loop District, the city aims to revitalize underperforming zones by attracting private investment. The plan is designed to reduce commercial vacancies and bring new life to neighborhoods by encouraging the growth of cannabis-related businesses.

As of late 2024, local authorities reported nine active cannabis businesses within the city, with dozens more approved or pending. This growth signifies a noticeable shift in the city’s commercial footprint. Where once casinos and souvenir shops dominated, cannabis dispensaries and delivery services are becoming increasingly visible, drawing new customer demographics and adding diversity to the local business environment.

Culturally, cannabis has begun to weave its way into the identity of Atlantic City. New cannabis-themed events, pop-up art installations, and music festivals are on the rise. These gatherings promote education, advocacy, and celebration of cannabis culture while attracting both tourists and locals. This emerging scene fosters a stronger sense of community among cannabis consumers and contributes to the city’s broader cultural renaissance.

However, these changes come with challenges. Despite regulated sales gaining traction, unlicensed vendors continue to operate, especially along the Boardwalk. These illicit operations not only hurt legitimate businesses but also pose public safety risks. Local leaders are working to enhance enforcement, create public awareness campaigns, and ensure that the regulated market thrives.

Socially, Atlantic City’s status as an “Impact Zone” under New Jersey law has important implications. This designation prioritizes the city for business licensing and makes it eligible for community reinvestment funding. The intent is to address historical harms caused by cannabis criminalization by offering residents—especially those previously affected—new opportunities for employment and entrepreneurship in the legal market.

Tax revenue from cannabis sales is being earmarked for community development, including youth programs, addiction treatment, and workforce training. These investments are designed to ensure that the economic benefits of legalization are felt not just by businesses, but by neighborhoods and families across the city.

Looking ahead, Atlantic City sits at a unique intersection of opportunity and caution. As it embraces the cannabis economy, the city must continue to balance growth with responsibility. Regulatory oversight, social equity, and cultural cohesion will play pivotal roles in determining how the cannabis industry shapes the city’s future. If successful, Atlantic City could become a model for how legal cannabis can help transform a legacy city into a thriving, modern destination.