Carson Grant was awarded a Conditional Adult-Use Retail Dispensary license in November, operating under CGG Enterprises, Inc.

The Dormitory Authority of the State of New York offered Grant a 9500-square-foot location on Jamaica Avenue in Queens without sharing details of the loan agreement or timeline. Grant’s situation is not unique, and he and his fellow CAURD licensees have called on DASNY to be more transparent in the process.

Those calls instigated a meeting between CAURD licensees, DASNY and the Office of Cannabis Management last Tuesday.

DASNY President Reuben McDaniel and OCM Executive Director Chris Alexander led the two-hour meeting, where they announced a series of new initiatives including a loan program, a slowdown of DASNY’s acquisition of storefronts, and a database for checking zoning locations.

During the Q&A portion of the meeting, Grant read from a prepared speech, which quickly spread across social media. (The transcript of Grant’s speech is included at the bottom of this story).

NY Cannabis Insider caught up with Grant on Thursday to ask about that speech, and what inspired him to speak up during the meeting.

This Q&A has been lightly edited for length and clarity.

What were your thoughts going into that meeting?

I started preparing myself for over a week – you know, talking to myself, going over my speech in my head, and I didn’t put anything to paper until that morning when the meeting was confirmed.

And I just poured my thoughts into my speech with facts. I came to that place prepared. But what ended up happening was, during the salesmanship presentation, I heard many things that were opposite of my experience. I don’t want to say Reuben McDaniel is a liar, but I’m just gonna use the word “opposite.”

What were some of the things?

The word he stuck to numerous times was “transparency.” And it was very odd because I wrote my speech highlighting the lack of transparency, and then to have him onstage, using that same word over and over again – to me, that was a trigger word. And I started getting emotional, as I sat there. I was hearing the opposite of what I was experiencing. It lit a fire under me.

So when it came to the Q&A portion …

Nobody was really pointing out any of the complaints. I presented the serious questions that matter. And the serious question was, “How is it possible that you have numerous individuals including myself in the process of doing a business plan, for millions of dollars, but we cannot see documentation? The costs of things?”

To me, that’s alarming because in order for business to succeed, numbers are the most critical part of the business plan.

What’s happening here is we’re just throwing something in the air and hoping something sticks, which doesn’t make sense. And it’s putting me and all the CAURD individuals in a bad financial place. Meaning we don’t have any control of this vehicle. We’re sitting in the vehicle, and it’s just driving down the street like a Tesla, and we’re sitting in the passenger seat and the person’s telling us, ‘It’s gonna be OK, don’t worry,’ and all I’m hearing is, ‘You’re gonna make millions of dollars.’

And they’re failing to acknowledge the illegal stores, they’re failing to acknowledge that there are only 10 or 12 legal stores. So the people who are buying marijuana, they don’t have any transition from the illegal market to the legal market. So there’s no incentive for people to stop buying illegal marijuana.

I feel like I’ve been victimized. I think we’re all being victimized.

What’s happening here is there’s a flag of social equity being waived by all the companies that participate, which I’m very glad and thankful for them – the ones that have contributed to the social equity program – but DASNY, for some reason, while they’re waving the social equity flag, they have a flag of profitability hidden behind their back. That’s what I think we need to focus on.

They’re just looking at me as a number, a price tag to flash to investors to gather the rest of the money. That’s just my interpretation, my reality, I don’t know how anybody else sees this.

Where are you at in the process right now specifically?

I was awarded a spot. I was in the first round. And I’ve been matched with a Bayside location – 9500 wonderful square feet. Total opposite of what was said of, “We’re trying to get 2000 or 2500 square feet, keep the costs low.”

I don’t want to act like I’m turning my nose up at it. I’m just stating the facts of the matter. I’m a small businessman coming into a market with illegal marijuana everywhere. In fact, there’s two illegal stores next to the place I’ve been awarded. And I need to be able to keep my costs low so that I can build my business, sustain it, especially for January when they’re going to let all the big boys in with their millions of dollars.

I have a very short period of time. In fact, I don’t even have any time, because half the year is already gone. So, pretty much, I’m going to be pushed out there now into a free for all with everybody else, and now the big boys are going to jump in, also.

So that’s why I was trying to express my concern that I think we’re being set up for failure here. Because they’re not doing what McDaniel was expressing on the stage, which is to keep costs low, and do bids and all that. One of my questions was, “how many companies bid on my place?” He didn’t address that on the stage, either.

So you haven’t officially signed anything or agreed to start paying anything? You’re waiting on financial agreements?

Yes, I’m waiting to see what me and my family are signing ourselves up for.

When Reuben McDaniel came out to shake your hand and you did not reciprocate, what was going through your head at that moment?

Well, hold on, what would you do – shake his hand?

A peace offering in front of a whole crowd? I don’t know what I would do.

OK, what would you do if you know somebody’s purposely lying to you and not being honest? And how about him trying to cause financial harm to me and my family?

What was going through my mind is that this man is trying to sell me something, he’s trying to put on a performance. He’s just a salesman and it was a sales pitch. And again, I’m pointing out the fact that even during the meeting, he didn’t respond to my questions. His response was, “let me pacify you off the air.”

Everything that I said – he proved it right here. Everything.

Basically, what I’m trying to say to you is that I’ve seen this game already, the charade. You don’t shake people’s hands until there’s a deal done. There’s no deal done. As of now, it’s a one-sided deal, and he’s the only one smiling.

Do you differentiate between DASNY and OCM?

I have no issues with OCM. OCM is not my issue. I believe they are flying the social equity flag, they want me to succeed. DASNY just wants to make money.

Is there anything else that’s important to get out there?

I think the most important thing is that they just be transparent so that we can make a decision. So we don’t waste time.

At this point, I’ve been doing this long enough to know that if the numbers don’t make sense to me, and it doesn’t make sense on paper, do not move any further. It’s just common sense. And I don’t know why DASNY is currently going against what is natural.

Where is the transparency so that I can make a decision for me and my family? That’s all I’m asking for.

And to confirm, after that meeting, you haven’t heard anything from Reuben or DASNY?

My phone hasn’t rung yet.

Carson Grant speech at DASNY, OCM and CAURD meeting on June 6, 2023

This entire process has been catastrophic. Everything about the onboarding process has been extremely unprofessional and, to me, downright shady.

From a 2 a.m. email to have a last-second meeting with DASNY and OCM on January 6 at Smacked … right now, I still haven’t seen anything in writing, other than a lease. Just empty promises, ignoring my emails, and false claims of transparency from all DASNY staff.

I asked four questions in an email prior to my meeting with my design team, and I was met with, I quote, “If you feel these questions are preventing you from moving forward with this location…” This was on May 17. My questions were simply this:

1. How many general contractors bid on the job for my match on Bayside?

2. When can I see the itemized buildout costs?

3. What power do I have in the decision-making of my matched property, since I’m only a sublessee based on what I read?

4. The new regulations by OCM include smoking and consumption. Will I be able to participate in this? I believe the lease does not allow smoking currently, can this be added or negotiated in the lease?

None of that was responded to. Is this a strong-arm tactic? You ask a question that’s important to your business and survival and this is what I’m dealing with from DASNY. That to me is totally unfair.

So after that, I sent 10 more in-depth questions. And I was met with, “I’ll call you so we can talk.” As far as I know, legally, there’s nothing we can talk about that is binding in court or anything. I’m asking questions in emails and I’m getting the run around. This is like mafia style tactics of intimidation and scare tactics.

After I complained that I’ve been traumatized and victimized again, just more lies and brushing things under the rug. Again, no one is answering my first four questions or my second set of 10 questions that would help me to decide how can I move my business forward.

So my question is, how is it that you guys keep saying transparency? And if there is transparency, wouldn’t everything just be in the open? As far as I know with people doing business, they plan years ahead. They have numbers, they crunch numbers, they do investigation, they do research. I’m not allowed to do that. I’m given a board with colors on it and say, “pick this, pick that.” And that’s all. I don’t know what a light bulb costs. I don’t know what anything costs.

And I’m invested thousands of thousands of dollars. Time is priceless. I see my build out, I’m looking at it. It looks beautiful. It’s a gift. But at what cost? What is the cost here?

I’m standing up for all you guys. I’m not scared. What am I going to lose? I want to be given an opportunity. You guys selected the best businessmen – I’m in the top class, I pay taxes, tons of taxes. I’m one of the best in New York City. I say that proudly. I’m in the first round. I fought for this. I have my girls watching me.

I just want – if you guys keep using this word transparency, just tell us the numbers. That’s it. That’s all I’m asking for. Tell me my numbers so I can decide. We know how history is. We only have a limited amount of time.

The way I look at this – it’s financial slavery. Ten years we’re gonna be dedicated. Dedicated. We’re managers for these stores. That’s what it turns out to be.