Officials in Upper Township have taken the first formal steps toward allowing a cannabis dispensary within a limited commercial corridor near one of the primary gateways to Ocean City.
At a recent Township Committee meeting, members unanimously approved three ordinances that would permit cannabis retail sales within a newly created overlay zone along Roosevelt Boulevard east of the Garden State Parkway. The roadway is one of the busiest routes for shore traffic, particularly during peak summer months.
The proposed overlay zone is largely bordered by protected wetlands, making existing commercial properties the most likely candidates for a future dispensary. While public speculation has centered on the property that was formerly Sketties and Obadiah’s, township officials emphasized that no specific site has been selected and that multiple developed parcels could be considered.
Public comment during the meeting reflected divided opinions. Several residents raised concerns about impaired driving, substance abuse, and potential effects on young people. Others argued that cannabis legalization has been in place in New Jersey for several years without evidence of widespread public safety issues, pointing to state and national data.
Mayor Curtis Corson said he initially opposed allowing cannabis sales in the township but changed his position after considering the potential financial benefits. Officials estimate a single dispensary could generate approximately $240,000 annually through local taxes and fees. Plans call for dividing that revenue evenly among recreation programs, beach replenishment projects, and the township’s general fund.
The ordinances include a 2% local tax on cannabis sales and establish an annual license fee of $7,500. The township intends to approve only one cannabis retail license within the overlay zone. Prospective operators would be required to submit formal proposals and pay a $10,000 application fee, with a partial refund issued to unsuccessful applicants.
Ocean City officials have reiterated their opposition to cannabis sales within their municipality, citing public safety and quality-of-life concerns tied to the resort’s family-friendly identity. Township and city officials alike acknowledged, however, that Ocean City has no authority over zoning decisions in neighboring communities.
Before taking effect, the zoning changes must be reviewed by the township’s planning and zoning board. All three ordinances are scheduled for a public hearing and final vote at the Township Committee meeting on Feb. 23. Even if approved locally, any selected business would still require state authorization, a process officials described as lengthy and costly.
Cape May County currently has three licensed cannabis dispensaries, reflecting a broader statewide expansion as municipalities continue to set their own policies on cannabis retail.
