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Sacramento residents are one step closer to being able to enjoy a joint or a cup of cannabis tea in a space other than their buddy’s mom’s basement (legally, that is).
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The city of Sacramento took its next step toward legalizing cannabis consumption lounges as a part of a five-year pilot program, but local tokers won’t be able to visit such a space for a while. City dispensary owners say that they are about year or more out from opening new lounges.
The pilot program is a part of the city’s recent embrace of the cannabis industry, which is now among the Sacramento’s top 10 employment sectors, with about 8,000 workers. Cannabis sales contribute around $20 million annually to the city’s general fund, according to a staff report.
Proponents for the lounges also position it as an issue of equity — saying that it makes safe consumption of cannabis accessible to renters whose lease agreements prohibit it.
“It’s a place where people can come, socialize, be safe,” said Maisha Bahati, owner of Crystal Nugs on J Street. “You’re not on the streets, you’re not in the public view. You can socialize, get educated. I think that’s all important.”
The original ordinance, passed in 2024, established operations standards for the lounges and Tuesday’s vote determined where these businesses could be built, as well as how much business owners will pay in permit fees.
Most of the land zoned for cannabis lounges — generally property zoned commercial, industrial or residential mixed use — is concentrated in downtown, midtown and the River District, but there is zoning that allows for them in all eight council districts, from Natomas to the Pocket.
Businesses planning cannabis lounges
Two local business owners are well on their way to establishing lounges, each very different from one another.
For Kimberly Cargile, owner of A Therapeutic Approach in East Sacramento, creating a space for her clients to safely consume cannabis will represent a return. Cargile operated a consumption lounge when she opened her holistic health center in 2009, before such spaces were officially prohibited.
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Cargile, whose dispensary primarily serves medicinal cannabis users, is seeking to build a tranquil tea garden which will serve infused beverages. Alongside debuting the garden, the center will resume offering services like massage therapy, yoga and support groups which they ceased during the pandemic.
While excited to establish the cannabis tea garden, Cargile said that it will be a challenge to fund the transition. Her top expenses — more than the cost of landscaping and furnishing — come in the form of city permits. A conditional use permit and a business operating permit will run Cargile around $28,000.
Because Cargile is seeking a Type 1 permit that is limited to non-smoking consumption, she doesn’t have to worry about as many infrastructural changes to her space, meaning that her lounge may be the first in the city to open.
For those seeking a permit that allows smoking, city fees are just a fraction of the costs that go into the construction of a lounge. Type 2 lounges must be fully enclosed indoors, sound proofed and have an advanced HVAC system to limit smoke leakage and prevent odor.
“The precaution and the regulations are definitely heavy, but I’m just happy for the opportunity,” Bahati said.
Crystal Nugs has already been through months of the permitting process. Bahati said that a lot of work has been done to make sure the lounge will protect employees, customers and neighbors.
Bahati described the vibe of her prospective “bar” as “grown, sexy and sophisticated.”
“It’s going to be a place where you can come by yourself and feel comfortable, or you can come with a group of people,” she said.
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