Governor Hochul Announces $150 Million Investment in the Cannabis Social Equity Investment Fund

 

Commitment Secures Up To $200 Million For Fund to Support Individuals Harmed by Disproportionate Enforcement of Cannabis Laws

Public-Private Partnership Supports Development of Dispensaries for Justice-Impacted Entrepreneurs 

 Governor Kathy Hochul today announced that Chicago Atlantic Admin, LLC ("Chicago Atlantic") is investing up to $150 million senior secured capital in the New York State Cannabis Social Equity Investment Fund (the "Fund"). The legislation that allowed for the Fund's creation provided for a $200 million cap of combined investments into it. With Chicago Atlantic's investment, the Fund will receive support to reach its funding goal of up to $200 million, which Governor Hochul and the Legislature sought when it adopted legislation to create this first-of-its-kind support for individuals affected by the unequal enforcement of cannabis prohibition.

"New York has always strived to lead the nation in providing opportunities for those who have been unjustly denied privileges and opportunities," Governor Hochul said. "Today's announcement reinforces New York's commitment to building partnerships that benefit New Yorkers and setting right the wrongs of the past. I welcome Chicago Atlantic's participation in this program and applaud their recognition of the value that New York's cannabis program will provide to so many."

Together with the State's $50 million investment, which will be funded from state cannabis industry revenues, Chicago Atlantic's contribution will enable justice-impacted individuals who have received Conditional Adult Use Cannabis Dispensary (CAURD) licenses from the New York State Office of Cannabis Management and Cannabis Control Board to receive turnkey dispensaries to start their businesses. The funds will be used to secure, lease, design, construct and furnish the CAURD dispensaries, which will be subleased to eligible CAURD licensees. The licenses will be issued low interest loans to repay set-up costs associated with the Fund program.

Chicago Atlantic, which has over 50 employees and has deployed over $1.8 billion across more than 50 investments, manages a diversified portfolio of credit investments with extensive experience in the cannabis industry. Led by a management team with expertise in real estate credit, direct lending, and risk management, Chicago Atlantic has created a leading cannabis lending platform. Chicago Atlantic's flagship investment vehicle, Chicago Atlantic Real Estate Finance, Inc. (NASDAQ: REFI) is a mortgage real estate investment trust utilizing significant real estate, credit and cannabis expertise to originate senior secured loans primarily to state-licensed cannabis operators in limited-license jurisdictions in the United States.

Chicago Atlantic Founding Partner John Mazarakis and Managing Director Peter Sack said, "We are proud to support the Governor's initiative as well as New York's CAURD licensees, the Cannabis Social Equity Investment Fund, the Dormitory Authority, the Cannabis Control Board and the Office of Cannabis Management in this transformational initiative. Social equity is the cornerstone of New York's cannabis industry, and here we aim to pair progressive licensing with progressive and innovative capital solutions. The success of New York's social equity initiatives and its CAURD licensees will benefit all industry participants and further support the development of the legal cannabis industry nation-wide."

The Social Equity Servicing Corporation (SESC), a subsidiary of the Dormitory Authority of the State of New York (DASNY) is executing the work to develop dispensaries as an agent for the Cannabis Social Equity Investment Fund.

Cannabis Social Equity Investment Fund Principal Chris Webber said, "We are honored by Chicago Atlantic's recognition of the Fund's role in fostering social equity within the NYS cannabis industry. With our dedicated partners, we are committed to breaking down barriers and creating a more inclusive landscape. This transformative collaboration marks a significant milestone in our collective journey towards a future where every individual has equal access to opportunity and funding therefore empowering communities and driving positive change. Thank you to Governor Hochul for honoring us with the challenge to do things differently in New York for a groundbreaking result."

The Cannabis Social Equity Investment Fund, which was authorized as part of the FY 2023 Enacted Budget, is a public-private limited partnership formed to position social equity entrepreneurs to succeed in New York's newly created adult use cannabis industry. It will allow the state to invest in a private fund to finance the leasing and equipping of conditional adult-use retail dispensaries in New York State to be operated by individuals who have been impacted by the inequitable enforcement of cannabis laws. It is the first of its kind in the nation.

The Fund will help those who have a CAURD license meet the costs of establishing adult-use cannabis retail dispensaries, including the identification and leasing of suitable retail locations and design, construction, and fit-out of the spaces. It is supported by up to $50 million in licensing fees and revenue from the adult-use cannabis industry and up to $150 million from the private sector.

Last year, Governor Hochul proposed, and the Legislature enacted, the Public-Private-Partnership to provide support to individuals who were disproportionally impacted by the Rockefeller Drug Laws and who met OCM licensing requirements. The Governor leveraged DASNY's finance, procurement, design, and construction expertise to help manage the process. In the months following enactment of the Fund, DASNY created the SESC as a DASNY subsidiary to execute work on behalf and as agent to the Fund; engaged in a competitive procurement process to secure a Fund Manager, Point of Sale system, and design-build firms; identified and evaluated 10,000 commercial retail properties statewide for dispensaries; and engaged with property owners statewide and executed leases for locations that will be subleased to CAURD licensees.

The Fund, Impact Ventures, is a joint venture between Webber Willis Ventures LLC, led by Basketball Hall of Famer Chris Webber and entrepreneur Lavetta Willis, and a firm affiliated with Siebert, Williams Shank ("SWS"), one of the nation's leading minority- and women-owned investment banking firms. It is led by SWS CEO Suzanne Shank and SWS Chief Administrative Officer William Thompson, the former New York City Comptroller, along with the SESC.

Housing Lottery Launches For Marion Creston Apartments In Bedford Park, The Bronx

 

The affordable housing lottery has launched for Marion Creston Apartments, two new residential buildings at 2997 Marion Avenue and 2861 Creston Avenue in Bedford Park, The Bronx. Palette Architecture designed the seven-story structure at 2861 Creston Avenue and David Cunningham Architecture is responsible for 2997 Marion Avenue, and both are developed by John V. Waters of NFW Group. Available on NYC Housing Connect are 25 units for residents at 30 to 80 percent of the area median income (AMI), ranging in eligible income from $18,515 to $122,000

Building features include elevators, security cameras, residential courtyard, bicycle storage room, and on-site laundry. Tenants are responsible for electricity.

At 30 percent of the AMI, there are three studios with a monthly rent of $454 for incomes ranging from $18,515 to $33,900; one one-bedroom with a monthly rent of $577 for incomes ranging from $23,143 to $38,130; and one two-bedroom with a monthly rent of $680 for incomes ranging from $27,738 to $45,750.

At 60 percent of the AMI, there is one studio with a monthly rent of $1,055 for incomes ranging from $39,120 to $67,800; one one-bedroom with a monthly rent of $1,328 for incomes ranging from $48,892 to $76,260; and one two-bedroom with a monthly rent of $1,581 for incomes ranging from $58,629 to $91,500.

At 80 percent of the AMI, there are ten studios with a monthly rent of $1,455 for incomes ranging from $52,835 to $90,400; four one-bedrooms with a monthly rent of $1,742 for incomes ranging from $63,086 to $101,680; and three two-bedrooms with a monthly rent of $2,181 for incomes ranging from $79,200 to $122,000.

Prospective renters must meet income and household size requirements to apply for these apartments. Applications must be postmarked or submitted online no later than August 1, 2023.

Bronx Chamber of Commerce - Bronx Business News You Can Use

 

Upcoming Events, Legislative News, Grant Opportunities, & More

(Friday) Extra, Extra Click here for this week's video: Independence Day, July 4th - The Bronx Chamber of Commerce offices will be closed. Congestion Pricing Announcement Northeast Industrial Development Conference Comes to the Bronx Legislative & Advocacy Updates Trash Containerization Takes Effect NYC Budget Passed Upcoming Events City of Yes Informational Session, 7/11/2023 - virtual, 7:00pm - 8:30pm Chairman's Legislative Breakfast, 7/13/2023 - The New York Botanical Garden, 8:30am Summer BBQ Reception, 8/3/2023 - Pelham Bay Split Rock Golf Course, 6:00pm EVERY WEDNESDAY MAE, MAE CAFE

GOVERNOR HOCHUL ANNOUNCES IMPLEMENTATION OF CONGESTION PRICING FOR NYC

Congestion Pricing Gets Green Light by Feds. The Bronx Chamber of Commerce's leadership team join Governor Hochul to announce the next steps in implementing an equitable and fair congestion pricing plan for NYC. Governor Kathy Hochul announced that the Federal Highway Administration has completed the environmental review of the State’s nation-leading congestion pricing program – Manhattan Central Business District Tolling – following a 30-day public availability period of the Final Environmental Assessment. The federal agency today issued a Finding of No Significant Impact, confirming the conclusion of the Final Environmental Assessment, which includes mitigation measures to be undertaken by the program, that the program will have no significant environmental impacts. The Chamber team has worked with our City, State, and Federal partners to build a plan that benefits the Bronx, balances business exemption concerns and needs of central commercial districts, while ensuring NYC is on the path for a sustainable and environmentally aware future. This is the result of tireless collaboration among federal, state, local, and community partners who acted intentionally in listening to the concerns of area constituents and prioritized the unique health and environmental needs of the Bronx. Together, having secured $155 million in new investments to significantly reduce pollution and greenhouse gas emissions, we can move forward with a congestion pricing plan that at its core prioritizes the principles of environmental justice for a community like mine that for too long has been overlooked.

NORTHEAST INDUSTRIAL CONFERENCE COMES TO THE BRONX - INNOVO PROPERTIES LEADS

Talking Industrial Development with NYC Experts. The Bronx Chamber leadership team joined Bronx Chamber member Innovo Property Group during the Bisnow Northeast Industrial Conference speaking on trends in industrial and manufacturing sectors and the Bronx's development boom in the industrial sector. "The Bronx is transportation rich and has benefitted from innovation and industrial connectivity," said Michael Brady, Senior Vice President of Economic Development and Policy at The Bronx Chamber of Commerce. "We are grateful to Bisnow and Innovo Properties for bringing this important conference to the Bronx and highlighting our robust and growing industrial, logistics, and creative / maker sectors." For more info? Email: outreach@bronxchamber.org

LEGISLATIVE & ADVOCACY UPDATES

Trash Containerization Rules Mayor Eric Adams and New York City Department of Sanitation (DSNY) Commissioner Jessica Tisch announced the launch of the next two phases in getting bags of trash off of city sidewalks. First, the Adams administration is publishing a final rule mandating that all food-related businesses put their trash in secure containers. Second, the administration is starting the rulemaking process on a new proposal to expand the containerization requirements to all chain businesses with five or more locations in New York City. When both rules are implemented, they will cover 25 percent of businesses across the five boroughs and require approximately 4 million pounds of waste produced each day to be placed in secure containers. In May, DSNY proposed a rule requiring all food-related businesses – including restaurants, caterers, grocery stores, delis, and bodegas, among others – to put trash and compostable material into secure containers rather than directly on the street. There are approximately 40,000 food-related businesses in the five boroughs – 20 percent of all businesses in the city – and these business types were selected first because they produce an outsized amount of waste, especially waste that attracts rats. Later this week, that rule will be published in the City Record, and it will go into effect on July 30, 2023.

NYC Budget Update Mayor Eric Adams and Council Speaker Adrienne Adams announced that they have reached an agreement on a $107 billion budget for the City’s Fiscal Year 2024 (FY24), which will begin, July 1, 2023. The budget will be voted on today, June 30, 2023 during the Council's Stated Meeting. See below for highlights from the budget announcement from the Mayor’s press release. Click here to access the full text of the Mayor’s press release and click here to access the Council’s press release. We will not have information about funding for specific organizations or programs until the City releases FY24 budget documents. We expect these documents will be available before the weekend and we will send updates as soon as additional information is available.

UPCOMING EVENTS

Summer BBQ Networking Reception August 3 at 6:00pm Pelham Bay & Split Rock, 870 Shore Road Bronx, NY Join Bronx Chamber members, elected officials, and friends for a Summer evening of networking, great food & drinks, and conversation. The evening includes live music, barbeque, dancing, and networking. Individuals wishing to golf before hand must contact Pelham Bay and Split Rock Golf Course directly. Reserve Your Spot

Chairman's Legislative Breakfast July 13 at 8:30am The New York Botanical Garden, 2950 Southern Boulevard Bronx, NY Open to Chairman, Corporate, and President's Circle Members This signature gathering is hosted by The Bronx Chamber of Commerce in partnership with The New York Botanical Garden and will host legislators and agency leadership to discuss the future of the borough’s economic development and New York City and New York State policies. This is a meaningful, timely, and purposeful gathering that will shape the future of business while also providing members an intimate and closed setting to speak with legislators. I hope that you will attend and share your thoughts on our future. Reserve Your Spot

For the complete Bronx Chamber Events Calendar, featuring educational workshops, networking events and other opportunities hosted by the Chamber, its members, & partners, please visit and bookmark our website events calendar link in your browser - new events are added weekly!

VCJC News & Notes 6/30/23

 

Van Cortlandt Jewish Center News and Notes

Here's this week's edition of the VCJC News and Notes email. We hope you enjoy it and find it useful! Reminders Shabbos Shabbos information is, as always, available on our website, both in the information sidebar and the events calendar. Here are the times you need:   Shabbos Candles Friday 6/30/23 @ 8:13 pm Shabbos morning services at 8:40 am.  Please join the services if you can do so safely.  Shabbos Ends Saturday 7/1/23 @ 9:16 pm   Tuesday, 7/4/23 Independence Day.   The office is closed.    Thursday 7/6/23 Fast of Tammuz Fast starts 4:19AM ends 9:15PM   Blood Drive Scheduled for Sunday, July 30  9:30 to 2 Van Cortlandt Jewish Center 3880 Sedgwick Ave Bronx, NY 10463

NYC PUBLIC ADVOCATE'S RESPONSE TO THE SUPREME COURT RULING AGAINST AFFIRMATIVE ACTION IN COLLEGE ADMISSIONS

 

"With this ruling, the Supreme Court has chosen to ignore our nation’s history and jeopardize our youth’s future. The decision was entirely expected from this conservative court, but still extremely hard to hear, and to reckon with its implications on the fight for racial equity, diversity, and justice. The march forward on these issues has been painfully slow, but largely forward– now the court is pulling us back, creating the conditions for young people of more color today to have less opportunities than the generation before them. Students with a legacy of systemic privilege or power may see its benefits, students confronting a legacy of systemic racism and discrimination will see only barriers.

"In her dissent, Justice Sotomayor wrote that ‘Ignoring race will not equalize a society that is racially unequal… Equality requires acknowledgment of inequality.’ It’s clear that conservatives want to ignore race when it is convenient to do so, and ignore reality when it is inconvenient to their philosophy and policy goals. While Republican lawmakers attempt to remove our history of racial injustice from the classroom, conservative justices are trying to remove racial equity from classrooms altogether."

MAYOR ADAMS’ STATEMENT ON AFFIRMATIVE ACTION SUPREME COURT DECISION

 

New York City Mayor Eric Adams today released the following statement after the U.S. Supreme Court today issued a decision in the case Students for Fair Admissions, Inc. v. President and Fellows of Harvard College: 

  

“Once again, a highly partisan Supreme Court is overturning decades of precedent in order to advance a purely political agenda. This decision will not only hurt historically disadvantaged communities, it will make many of our educational institutions less diverse, and perpetuate social, racial, and economic inequity. This is a loss for all New Yorkers, and all Americans, but as this country’s largest and most diverse city, New York will not be deterred. We will continue to celebrate and advance our city’s rich diversity and abide by the words of New York’s own Justice Sonia Sotomayor: ‘Society’s progress toward equality cannot be permanently halted…The pursuit of racial diversity will go on.’”