Construction of First Cannabidiol Processing Facility in Virginia Nears Completion

October 28, 2019 15:00:54

CBD processor Green Leaf Medical is kicking things into high gear, in a bid to complete the construction of one of the only five medical cannabidiol processing plants ahead of a state-mandated deadline. The processor was awarded the coveted license last year, and it expects to complete the first phase of the 82,000 square foot complex at Decatur St. in the city’s south side by the end of this year.

“We are narrowing in. We expect to get our certificate of occupancy sometime in December,” said Phillip Goldberg, Green Leaf Medical CEO. He has led the project with Virginia Pharmaceutical Processors, a group that includes Angel Papa, Ausrine Kuktelionyte, and Sunita Gupta, who helped the CBD processor with the application, site selection, and hiring contractors.

According to Goldberg, the facility was first slated to be 50,000 square feet and cost $16 million, but it has grown in both size and cost to 82,000 square feet and $19.7 million. Construction is going on in two phases, both of which will include growing, extraction and selling of CBD. “The decision to break in into phases was done to help the company get to market as quickly as possible,” says Goldberg.

“It’s not an easy feat to build 82,000 square feet in Manchester that quickly,” he says, adding that the company had to pay hundreds of thousands of dollars extra to expedite their steel and masonry. Green Leaf is leasing the 2-acre parcel of land from general contractor KBS Inc. with the option to buy from local developer Fountainhead Properties, and Goldberg says they plan to execute the purchase option in the next few months.

Green Leaf received one of the five state-issued licenses to cover each Health Service Area in the commonwealth. The permit allows them to grow, process, and sell medical cannabis products in HSA IV, including the Greater Richmond, Piedmont, and the areas south down to the northern California border.

The processor will produce medical cannabis-based capsules, tinctures, and vaporization products that will require a prescription to purchase. Once operational, it will have a staff of about 100. Goldberg says that the facility will eventually be able to produce about 1,800 pounds of plants per month, from which about 215 pounds of oil can be extracted.

“I’d just encourage people to take advantage of the medical cannabis program,” he says, “it’s not hard to use, and it’s fairly easy to get a recommendation from a physician.”

There is broad consensus that CBD industry actors like Grapefruit Boulevard Investments Inc. (OTCQB: IGNG) and IONIC Brands Corp. (CSE: IONC) (OTC: IONKF) are pleased that CBD and other medical cannabis products will soon be available to patients in Virginia.

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