South Jersey town facing new questions over cannabis dispensary

The legalization of recreational non-medical cannabis sales and use in New Jersey has created an almost billion-dollar industry in just five years. The demand is high for the product, but the low number of dispensaries in South Jersey has created a supply-and-demand issue.

There were only three licensed cannabis dispensaries operating in Cape May County at the end of the 2025 calendar year. There have been thousands of applications to the New Jersey Cannabis Regulatory Commission for Operating Licenses with only a few hundred being approved around the state in recent years.

New Information About The Future of a New Cannabis Outlet Coming to South Jersey

Originally unanimously approved back in January, Upper Township officials are establishing a new "overlay zone" that will allow cannabis sales in a specific business area. On Roosevelt Boulevard (County Route 623), the area between the Garden State Parkway and the Ocean City 34th Street Bridge has been designated as the zone allowing for a new marijuana dispensary.

But a technical error has required Township Officials to vote again for the Cannabis Business zone. Upper Township Mayor Curtis Corson has said in recent media interviews that officials will be moving forward with their original plans for the cannabis sales despite some members of the community voicing their concerns.

For Upper Township, the main driving factor for the creation of the cannabis retail zone is the local revenue that can be generated. New Jersey law gives local communities the right to levy a 2 percent local tax for all dispensary sales.

After all the official steps have been made to create this "overlay zone", there will be a 45-day period for potential appeals of the ordinance. There are reports that some potential cannabis business owners do not like the limited zone Upper Township is creating.

There are currently three vacant business structures along Roosevelt Boulevard:

*The former Captain Obidiah’s Seafood establishment is being converted into Inky's Cantina and Taqueria Restaurant that is set to open in time for Summer 2026

*The former Pappy's Restaurant, which is located within a few hundred feet of the Garden State Parkway entry ramp, is a building currently for sale, and could be appealing for a new cannabis outlet with its own parking lot

*Formerly Obadiahs/ Sketties restaurant across the street from Yesterday's Creekside Tavern, both properties are owned by the Blue Dog Hospitality Group. The property has recently been going through renovations for a new business to be opening there in the near future.

One reported option for a new cannabis outlet in Upper Township is adjacent to Boulevard Liquors. The idea would be to allocate part of the property for a cannabis dispensary.

The Three Cannabis Retail Outlets Currently Open in Cape May County:

-Coastline Dispensary (1580 Route 9 North) Middle Township
-Sea & Leaf (3860 Bayshore Road Suite 7) Lower Township
-Shore House Canna (124 Sunset Boulevard) West Cape May