By Jennifer Kaplan
August 3, 2017, 8:00 AM EDT August 3, 2017, 10:02 AM EDT
American Green Inc., (ERBB) a maker of cannabis products, is taking an unusual step to attract new customers as it capitalizes on California legalizing marijuana: It’s buying an entire town.
The company has acquired the tiny burg of Nipton, California, for about $5 million and plans to invest as much as $2.5 million over the next 18 months to create a pot-friendly tourist destination. The purchase includes 120 acres of land with a general store, a hotel, a school building and mineral baths.
American Green, based in Tempe, Arizona, will use the existing structures and build new ones — powered by renewable energy — to revitalize the town, said project manager Stephen Shearin. Ideally, the outpost will spawn imitators, he said.
“We thought that showing that there was a viable means of having a cannabis-friendly municipality and further making it energy independent could be a way of really inspiring folks to say, ‘Why can’t we do that here?’” he said.