Business
New York spending $200 million on marijuana social equity properties
New York is set to inject $200 million into the local marijuana real estate market, leasing up to 150 retail properties that will be given to social equity businesses to give them a leg up in the state’s new recreational market.
The move is believed to be the first of its kind in the U.S. cannabis industry, and, if successful, could provide a road map for other states rolling out social equity programs.
At least one brokerage firm, CBRE Group, is already scouting locations on behalf of the Dormitory Authority of the State of New York (DASNY), the agency overseeing the disbursement of the funds, a DASNY spokesperson confirmed in an email to MJBizDaily.
CBRE representatives are “looking for good retail locations throughout the state located in municipalities that have opted in to allow retail dispensaries,” according to the spokesperson, Jeffrey Gordon.
The brokerage firm declined to comment.
Ripple effects
While the DASNY said that no leases have been signed for social equity companies, industry insiders say the government’s entrance into marijuana real estate is causing ripple effects for other businesses – particularly smaller operators.
“They’re out there. They’re pounding the pavement,” Donny Moskovic, a real estate broker at Katz & Associates in New York City, said of CBRE agents.
Moskovic has been working with Cresco Labs – one of the state’s 10 existing medical marijuana licensees – to expand the Chicago-based multistate operator’s retail footprint in anticipation of the adult-use market’s launch.
Moskovic said there’s been a “frenzy” in the New York real estate market this year as entrepreneurs prep for the recreational market’s rollout, which could happen later this year.
“They’re everywhere. They’re looking at all locations,” Moskovic said when asked where CBRE is looking for retail spots.
He said CBRE is almost certainly already looking in every municipality that didn’t already opt out of legal cannabis sales, including New York City as well as upstate.
“If you speak to their broker, their broker tells you there’s $50 million in a fund, sitting there, already out of the $200 million, and they’re executing deals.”
The real estate support for social equity applicants has drawn praise for New York’s progressive approach to promoting diversity and increasing business opportunities for those affected by the nation’s war on drugs.
But it also has triggered concerns among local entrepreneurs and real estate brokers, some of whom contend that real estate agents working on behalf of the state might increase competition – and prices – for smaller operators also hunting for retail properties.
“It’s making it more competitive for the industry as a whole,” said Colby Piper, a New Jersey-based real estate broker who specializes in marijuana.
Piper, who’s been scouting locations for clients wanting to start adult-use companies in New York, noted the state hasn’t yet announced whether there will be mandatory setbacks between retail shops.
Mandatory setbacks make it hard for his clients to enter into long-term leases.
In addition, landlords often favor long-term deals with the state over leases with private businesses because the state is viewed as a more reliable a tenant, Piper said.
As a result, Piper is trying to steer clear of wherever he hears CBRE agents are scouting.
“When we find out, very quietly, where the state is looking, we can tell (our client), ‘This section might be too crowded; we should try the next block up,’” Piper said.
Program details
According to DASNY’s Gordon, the state’s fund hasn’t yet been allocated, nor has a manager for the $200 million been chosen.
He added that a pair of requests for proposals (RFPs) tied to the fund are on schedule:
- Choosing a firm to select locations and sign tenant agreements – to be completed no earlier than June 20.
- Picking a build-out firm to oversee construction at the leased locations – to be chosen July 11.
The money is also being spent solely for retail business locations, not for cultivators or other sectors, Gordon confirmed.
The properties will be leased for 10-year terms, with no actual purchases in the pipeline.
Gordon wrote that DASNY’s goal is to have the first social equity retailer open by the end of the year and to have all 150 locations identified by the end of the second quarter of 2023.
Unanswered questions
Several questions remain, including how successful DASNY will be in trying to lock down 150 retail locations in New York for 10 years with only a $200 million budget.
According to a May 13 news release, the $200 million will come from “licensing fees and revenue from the adult-use cannabis industry and up to $150 million from the private sector,” not from the state general fund.
“Depending on how they negotiate these deals, and when the actual rent triggers, it could be possible” to get 150 locations rented, Piper said.
“But if the rent triggers Day One or Month Two, and they’re paying rent before they have applications written or before the application window even opens, that money is going to burn down pretty quickly.”
Many retail locations rent for as much as $45,000 per month, Piper noted as a hypothetical example.
“If you’re paying $45,000 a month, that doesn’t give you many locations” with $200 million, Piper said.
There’s also a lack of clarity around the licensing process and the social equity program in general, stakeholders said.
So far, the state hasn’t announced how many adult-use licenses will be issued, although regulators have said that half the permits will be reserved for social equity applicants.
It’s also unclear when the licensing window will open, either for social equity companies or non-social equity businesses.
Furthermore, many entrepreneurs are awaiting the final state marijuana industry regulations.
Many believe they can’t make solid plans without first knowing the regulatory framework, Piper said.
“They’re writing the regulations in piecemeal,” Piper said.
“The people who are trying to secure space (for marijuana businesses) … are not able to get ahead of the game with a risk-averse strategy without having the regulations,” he said.
“If we’re looking at five spaces with an operator, and the regs come out and say you have to be a thousand feet from a church, then maybe those five locations won’t be there. We don’t know.”
However, Moskovic added that the New York real estate market is large enough that DASNY and CBRE’s efforts have not been a major disruptor for dealmakers like him. He also predicted it won’t be an issue for larger businesses.
Rather, it’ll likely be more problematic for smaller- to medium-sized companies that are looking at retail spaces that might suit social equity startups, Moskovic said.
By contrast, Moskovic hasn’t run into major issues helping Cresco Labs find real estate for its expansion plans.
“At the end of the day, there’s a lot of real estate out there,” Moskovic said.
Source: https://mjbizdaily.com/new-york-spending-200-million-on-marijuana-social-equity-properties/
Business
Jio’s 1,600-Satellite LEO Constellation Gets Technical Green Light
Reliance Jio has crossed a significant milestone in its space connectivity ambitions after its proposal to deploy a Low Earth Orbit (LEO) satellite constellation of around 1,600 satellites received a positive technical assessment from the Indian National Space Promotion and Authorisation Centre (IN-SPACe).
The evaluation, conducted jointly by IN-SPACe, the Indian Space Research Organisation (ISRO), and the Wireless Planning and Coordination (WPC) wing of the Department of Telecommunications, reportedly concluded that Jio’s proposed system meets the required technical standards and is comparable to leading global satellite broadband networks.
India’s Indigenous LEO Satellite Vision
Under the proposal, Reliance Jio plans to deploy between 1,600 and 1,650 satellites in Low Earth Orbit at an altitude of around 650 kilometres.
The planned constellation is expected to provide high-speed satellite connectivity across India, with approximately 32 satellites visible from any location at a given time. The company aims to roll out the network within the next two to three years, subject to regulatory approvals.
According to industry estimates, the satellite system could deliver 4.5 to 5 terabits per second (Tbps) of total data capacity, making it one of the largest satellite broadband projects proposed in India.
The project is expected to require an investment of $10–15 billion (approximately ₹95,000 crore to ₹1.42 lakh crore), reflecting the scale of infrastructure needed for satellite manufacturing, launches, ground stations, and user terminals.
Regulatory Process Moves Forward
Following the successful technical review, the proposal is expected to move into the next phase of regulatory approvals.
The government may now assist Jio in securing orbital slots, coordinating spectrum usage, and filing applications with the International Telecommunication Union (ITU), the global body responsible for managing satellite orbit and frequency allocations.
Obtaining orbital rights remains a critical step, as Low Earth Orbit has become increasingly competitive due to the growing number of satellite broadband projects being planned worldwide.
Officials also indicated that the proposed satellite architecture has been designed to coexist with future Indian LEO constellations, allowing multiple domestic operators to share orbital resources efficiently.
Broadband, Mobile Connectivity, and Strategic Applications
Jio plans to use the satellite network to provide a range of communication services, including satellite broadband, mobile backhaul, enterprise connectivity, and direct-to-device (D2D) satellite communication, particularly in remote and underserved regions where conventional telecom infrastructure is limited.
The company also intends to establish 20 to 22 ground stations across India to support network operations.
Apart from commercial telecommunications, officials have highlighted the project’s potential strategic importance. A domestically developed satellite constellation could strengthen India’s communication infrastructure, reduce dependence on foreign satellite operators, and support national security requirements.
Reports suggest preliminary discussions are underway regarding the possibility of integrating defence-related payloads into some satellites, enabling both civilian and strategic use.
Major Step for India’s Space and Telecom Sectors
Industry analysts view the technical clearance as an important milestone in India’s expanding private space ecosystem. If Jio secures the remaining regulatory approvals and international orbital clearances, the project could become the country’s first large-scale indigenous LEO satellite broadband network.
The initiative also aligns with India’s broader efforts to expand digital connectivity while strengthening its presence in the global satellite communications market.
Business
Alleged Crores Pharma Scam Mastermind Arrested from Surat
After evading law enforcement for nearly 13 years, an accused linked to a large-scale pharmaceutical fraud case has been arrested by Delhi Police from Surat, Gujarat. The suspect is alleged to have orchestrated a series of financial scams involving fake identities, forged documents, and dishonoured cheques used to procure high-value pharmaceutical raw materials.
Authorities say the accused, identified as Himmat Singh Lodha, is believed to have defrauded multiple pharmaceutical companies in Delhi of goods worth approximately ₹98 lakh before disappearing and remaining underground for years.
Fake Business Deals and Dishonoured Cheques Used in Fraud
Investigators claim the accused posed as a legitimate pharmaceutical trader and placed bulk orders for expensive drug ingredients, offering post-dated cheques as payment security.
In one documented case from 2013, he allegedly obtained around 550 kilograms of Gliclazide, a diabetes-related pharmaceutical ingredient, valued at over ₹26 lakh. When suppliers attempted to encash the cheques, they were reportedly returned with the remark “account closed.”
Following the transaction, the accused allegedly vacated his office and rented residence and disappeared without settling payments. He was later declared a proclaimed offender in 2016 after repeatedly failing to appear before court proceedings. Authorities had also issued a reward for information leading to his arrest.
Multiple Identities and Repeated Fraud Pattern
Police investigations further link the accused to another cheating case dating back to 2012, where he allegedly used a fake identity, “Kailash Jain,” to obtain a large consignment of Ambroxol HCL, a pharmaceutical compound used in cough medications. The value of that consignment was estimated at around ₹72 lakh.
Officials believe the accused followed a consistent modus operandi—posing as a credible businessman, securing high-value goods on deferred payment terms, and then disappearing after delivery while shutting down business operations.
Investigators suspect that forged business records, fake company credentials, and fabricated financial histories were used to build trust with suppliers and gain access to expensive raw materials.
Multi-State Surveillance Leads to Arrest in Surat
A special Crime Branch team tracked the accused through coordinated surveillance efforts across multiple cities, including Mumbai, Ahmedabad, and Surat. After nearly a month of technical monitoring and intelligence gathering, officials located and arrested him from a residential area in Surat.
Authorities also revealed that the accused had been involved in property-related activities while staying under the radar to avoid detection.
Growing Threat of Corporate Identity Fraud
The case highlights a rising trend of organised financial fraud targeting industries that rely heavily on trust-based transactions and deferred payments. Experts note that criminals increasingly exploit gaps in corporate verification systems by using fake GST registrations, temporary offices, and forged documentation to appear legitimate.
Cybercrime and financial fraud specialists warn that such schemes are becoming more complex with the widespread availability of digital business tools, making it easier to create convincing but fraudulent corporate identities.
Experts Urge Stronger Due Diligence in High-Value Transactions
Experts, including former IPS officer and cybercrime specialist Prof. Triveni Singh, emphasize the need for stricter verification procedures in commercial dealings. He noted that relying solely on paperwork or digital business profiles can expose companies to significant financial risk.
Authorities and industry experts recommend physical verification of business operations, bank account validation, and detailed background checks before engaging in high-value or deferred-payment transactions—particularly in sectors like pharmaceuticals, where single consignments can involve transactions worth crores.
Business
EU Pressure Builds on Google as Regulators Face Calls for Massive Fine Over Search Practices
A growing coalition of European industry groups is intensifying pressure on regulators to take decisive action against Google over allegations of unfair search practices that could reshape competition rules across the region’s digital economy.
Investigation Under Digital Markets Act Gains Momentum
The case is being examined by the European Commission under the European Union’s landmark Digital Markets Act (DMA), introduced to curb the dominance of major technology platforms and ensure fair competition.
Launched in March 2024, the investigation focuses on whether Google has been prioritising its own services in search results, potentially disadvantaging rival businesses that rely on online visibility to reach customers.
Industry Groups Demand Swift Action
Several prominent European organizations have jointly urged regulators to conclude the probe without further delay. They argue that prolonged investigations allow alleged anti-competitive practices to continue, putting European companies—especially startups—at a disadvantage.
Signatories include the European Publishers Council, the European Magazine Media Association, the European Tech Alliance, and EU Travel Tech.
In a joint statement, these groups warned that delays in enforcement are affecting innovation, profitability, and growth prospects for regional businesses competing in digital markets.
Google Denies Allegations
Google has rejected claims of bias, stating that its search algorithms are designed to deliver the most relevant and useful results to users. The company has also proposed adjustments to address regulatory concerns.
However, critics argue that these changes are insufficient and fail to address the core issue of market dominance.
Potential Billion-Euro Penalties
If found in violation of the DMA, Google could face significant financial penalties. Under EU rules, fines can reach a substantial percentage of a company’s global turnover, potentially amounting to billions of euros.
Regulators may also impose corrective measures requiring changes to business practices, which could have long-term implications for how digital platforms operate in Europe.
Wider Implications for Big Tech
The case highlights ongoing tensions between European regulators and major U.S. technology firms. In recent years, the EU has taken a more aggressive stance in enforcing competition laws, aiming to create a level playing field for local businesses.
A final ruling against Google could set a major precedent, influencing future enforcement actions and shaping the regulatory landscape for global tech companies operating within Europe.
As scrutiny intensifies, the outcome of the investigation is expected to play a critical role in defining the future of digital competition across the European Union.
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