by Jim Boyle
Editor
Vireo Health is seeking a conditional use permit to allow for a commercial cannabis cultivation facility that will bring an estimated 80 jobs to Elk River.
The Elk River Planning Commission recommended approval on Feb. 27 after hearing about Vireo’s plans to remodel a large portion of the industrial building formerly known as the Elk River Energy Recovery at 10700 165th Ave., where refuse was used to generate electricity starting in the 1980s up until 2019 when operations ceased.
Cannabis cultivation facilities, made legal by the Minnesota Legislature in 2023, require a conditional use permit, which Elk River officials added to city ordinances in January 2024 in the wake of legislative approvals in 2023.
Vireo Health will utilize about 75,800 square feet of the former Great River Energy facility that has been largely operated as a storage facility since GRE ceased operations on the property. The equipment used by GRE has been removed, and the building is largely vacant.
The applicant will occupy the majority of the building, which will require additional renovation and modifications, including 58,000 square feet of sealed cultivation rooms with positive pressure HVAC systems to minimize cannabis odor, according to Zack Carlton, Elk River’s community development director.
The cultivation rooms will be within the existing building providing an additional barrier for potential odor concerns, Carlton stated.
Mark Doherty, the vice president of facilities for Vireo Health who lives in Erie, Colorado, addressed the commission during the public hearing to introduce himself and let them know he was there if commissioners had any questions. He said he is here often as he helps manage the company’s facility in Otsego and is also working on the Elk River project with city officials, folks from Elk River Municipal Utilities and others.
The cannabis cultivation operation must comply with all licensing and operating procedures required by Minnesota Statutes Chapter 342. The conditional use permit can be issued before all the necessary permits and licenses, but the applicant shall submit proof of obtaining all state permits prior to beginning cultivation operations.
The operation must connect to city sewer and water and pay the required SAC/WAC fees in accordance with city codes.
Construction activities will require signed plans prepared by a qualified professional. The proposal includes plans for an 8,000-square-foot office space, 10,000 square feet of storage and processing space in addition to sealed cultivation rooms that will take up most of the facility.
Commissioner Rob Rydberg thanked Doherty and his company for bringing jobs to the area, and Commission Chairwoman Jill Larson-Vito echoed that sentiment.
The matter goes before the Elk River City Council for a public hearing, discussion and decision on Monday, March 18.
About Vireo Health
Vireo Health is a physician-founded, patient-focused company dedicated to providing best-in-class cannabis-based products and unrivaled care, according to its website.
The website states it integrates best-in-class medical, scientific, and engineering practices into the cannabis industry.
“We are committed to creating safe, all-natural cannabis-based products, and a compassionate patient experience,” the site states.
Vireo Health operates in three states: Maryland, Minnesota, and New York.
Minnesota Medical Solutions (aka MinnMed), one of the two companies licensed by the state to cultivate, manufacture and dispense medical cannabis, is located in Otsego.
MinnMed and Vireo Health was founded by Kyle Kingsley, M.D., a board-certified emergency medicine physician, entrepreneur, and inventor, who said he saw firsthand that opioids are overused, frequently abused and too often result in fatal overdoses.
“Medical cannabis is a safer, less addictive alternative,” he stated.
In addition to being Vireo’s founder, Kingsley is the executive chairman of Goodness Growth Holdings.
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