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Cannabis Consumption: Bars vs Lounges

Las Vegas is the city that never sleeps and a hot spot for all trends. A popular location on the strip, The Cosmopolitan Hotel and casino is situated near infamous landmarks such as Paris Eiffel Tower and The Bellagio foutains. The famous Chandelier bar is well known attraction to see and grab a drink at when at the Cosmo. With the legalization of cannabis in Nevada, smoking and consuming it would seem legal when enjoying a drink or gambling right? Nevada state law prohibits public consumption and there are no bars or hotels on the Las Vegas Strip that allow cannabis smoking within their premises.

However, Vegas has extended its offerings to include legal cannabis consumption lounges, which enhances the city’s allure as a destination for cannabis enthusiasts.

The first state-regulated cannabis consumption lounge in Las Vegas, Smoke and Mirrors, opened its doors on February 23, 2024. This establishment, located inside Thrive Cannabis Marketplace at 2875 S. Sammy Davis Jr. Drive, marks a significant milestone in the state’s cannabis industry, providing a legal venue for visitors and locals to consume cannabis socially and safely.

Smoke and Mirrors is the first among what is expected to be around 40 lounges to open across Nevada. This development follows Nevada law, which previously limited legal cannabis consumption to private residences. The restriction posed a challenge for tourists who purchased cannabis but could not legally consume it in hotel rooms or public spaces, including the Strip. The introduction of cannabis consumption lounges like Smoke and Mirrors offers a solution, allowing for legal public consumption adjacent to dispensaries.

The Nevada Cannabis Compliance Board (CCB) played a crucial role in regulating these lounges. Following Assembly Bill 341 in 2021, the CCB was tasked with licensing and regulating cannabis consumption lounges, issuing both retail and independent lounge licenses. The board’s approval process involved public meetings and workshops to ensure regulations addressed public health, safety, and social equity. A significant aspect of the regulatory framework includes the requirement for applicants to submit a diversity plan, emphasizing meaningful inclusion within the cannabis industry. Special attention was given to awarding half of the independent lounge licenses in the initial round to social equity applicants.

The opening of Smoke and Mirrors, and the planned expansion of cannabis consumption lounges, represents a new phase in Nevada’s cannabis marketplace. It not only caters to the cannabis culture but also addresses public safety concerns by providing a legal and regulated environment for consumption.

The NuWu Cannabis Marketplace, operated by members of the Las Vegas Paiute Tribe on sovereign land, is also a notable example. Located one mile from downtown Las Vegas, NuWu has circumvented state laws prohibiting public cannabis lounges by opening the Vegas Tasting Room, where visitors can legally consume cannabis.

This exception is due to the location being on sovereign Paiute land, exempting it from Nevada’s laws against public cannabis consumption lounges.

The lounges are expected to contribute significantly to the state’s economy, with Clark County alone generating substantial tax revenue from the cannabis industry. As more lounges open, they are set to offer unique experiences, such as cannabis-infused drinks and a cozy atmosphere for socializing, setting a precedent for other states considering similar legislation.