Why Traditional CRE Brokers Should Embrace Cannabis Real Estate

If you’ve been sitting on the sidelines of the cannabis real estate boom, this post will show you exactly why now is the time to jump in. By the end, you’ll understand how cannabis-zoned properties can supercharge your commissions and expand your brokerage business. You might be skeptical. Many traditional commercial brokers are. Maybe it’s the confusing regulations, the lingering stigma, or simply the fear of the unknown in a still-evolving market. Those concerns are real, but so is the opportunity. In this article, I’ll tackle those hesitations head-on and share insights, data, and real examples that reveal a simple truth. The demand for cannabis-friendly properties is rising, and skilled brokers who get in now stand to reap significant rewards. Rising Demand for Cannabis-Zoned Properties The demand for cannabis-compliant real estate is not a vague promise. It is happening right now in markets across the country. In fact, nearly half of all commercial real estate professionals in states with legal adult-use cannabis have observed a marked increase in demand for cannabis-friendly spaces. Warehouses, industrial buildings, and storefronts that meet cannabis licensing requirements are in high demand. Roughly 20% of Realtors in mature markets are getting more requests for power-equipped warehouses suited for indoor grows and processing facilities. Cannabis sales surpassed $2.1 billion dollars annually in Illinois, and Missouri’s new adult-use program exceeded $1.4 billion dollars in its first year. What does that mean for real estate? All those products are grown, processed, and sold within the state, meaning every licensed operator requires a compliant and highly specialized property. In New York, the number of licensed dispensaries tripled in a recent quarter, driving a 300% spike in monthly sales for the state. Each of those new retailers scrambled to secure leases in approved zones. The bottom line is clear: cannabis companies are scrambling for space, and there simply aren’t enough commercial brokers helping them find the appropriately zoned locations needed to meet that demand. High Commissions and Premium Prices in This Niche Where there is strong demand and limited supply, prices go up, and so do commissions for brokers. Cannabis tenants and buyers often pay a premium to secure the right property, especially because they are often driven by application and licensing deadlines. The commission rate you charge may be standard, but when a dispensary is willing to pay 25-50% above market rent to beat out competitors in an application process, your share of that deal grows larger. In one California market, retail rents jumped 19% post-legalization, driven largely by cannabis businesses willing to pay top dollar per square foot. Consider a real example. Last year a 3,600 square foot retail property in Miami leased to a cannabis dispensary sold for $5.3 million dollars. At roughly $1,480 per square foot, that sale was well above the typical market rate. For the brokers who facilitated the off-market deal, a standard commission translated into a six-figure payday. And that is not unusual. I have seen deals where experienced cannabis real estate agents represent both buyer and seller because few others have the expertise. Commission multiples like that would make any broker's eyes light up. Turning Complexity into Opportunity It is true that cannabis real estate deals come with an extra layer of complexity, but that is exactly why they are a golden opportunity for skilled brokers. Zoning regulations, licensing laws, and local ordinances can intimidate the uninitiated. Many cities tightly restrict where cannabis businesses can operate. State licensing processes can be convoluted. This causes some of your peers to shy away, which means less competition for those who do step up. I watched one broker in New Jersey build her edge by simply learning the town-by-town rules for dispensaries. She mapped out the viable properties and reached out to owners. When legalization hit, she was ready. Within months, she had exclusive listings on multiple green-zoned sites. Operators sought her out because she understood the licensing and local entitlement hurdles. Every added rule or restriction is a chance for you to guide clients through a maze they would never navigate alone. How CannaMLS Makes Cannabis Deals Easier You do not have to forge this path alone. Tools and platforms now exist to support brokers in the cannabis real estate niche. Where do I even find serious cannabis buyers? How can I market a dispensary for sale without attracting tire-kickers or violating advertising rules? Traditional listing services were not built for these kinds of listings, and many great deals never found the right audience. We changed that. CannaMLS is a specialized marketplace connecting licensed buyers, sellers, and brokers of cannabis-related properties and businesses. You can tap into a pre-vetted network instead of starting from scratch. If you have a warehouse perfect for cultivation, you can list it and reach thousands of investors and operators actively looking for that type of space. A Market Poised for Growth Looking at 2025 and beyond, the cannabis real estate sector is poised for sustained growth. More states are legalizing or expanding programs each year, which means a steady pipeline of new businesses needing locations. Public support for legalization is at an all-time high. Even federally, there is progress toward reform. The National Association of Realtors recently noted that commercial practitioners in legal states report increased demand for cannabis-friendly spaces. That is the establishment recognizing cannabis as big business. Step into the Opportunity Do not let hesitation hold you back from this growing niche. The demand is rising. The numbers are compelling. The tools are available. Think about the early days of other now-mainstream asset classes. Brokers who educated themselves early became the market leaders. Cannabis real estate is on that same path. So take that first step. Learn your local zoning laws. Talk to a dispensary owner. Create a profile on CannaMLS and browse listings. Dip your toes in with one lease or a small sale. The Green Rush is real. The brokers who embrace it now will earn healthy commissions and build reputations as forward-thinking experts. As always, we’re here to help! Thank you for being part of the CannaMLS Community. Sources: - National Association of Realtors 2025 Marijuana and Real Estate Report - MJBizDaily Market Analysis 2024 - Local and state licensing data reports (Colorado, New York, Missouri) - Real-world transaction examples from broker case studies