Nectar is closing its Manteca cannabis dispensary.

When the doors close at the 1519 West Yosemite Avenue location tucked away in the back of a business and professional complex behind Valley Oak Dental, it will leave Manteca with one operating cannabis dispensary.

Off the Charts, located further west on Yosemite Avenue across from the municipal wastewater treatment plant, is the remaining dispensary.

It has experienced a fairly brisk business and was the first to open in Manteca 11 months ago after a lengthy 18-month process the city went through to prepare to issue three licenses.

The third license was awarded to Embarc that has a nearby location in Tracy.

Embarc was approved by the Manteca City Council to locate in a commercial center on South Main Street behind Dairy Queen.

For whatever reason, they never ended up closing the lease deal with the owner of the complex.

Embarc has been looking for another location that meets the city’s strict parameters on where cannabis dispensaries can be located.

The requirements impose minimum distances dispensaries need to be from residential areas, schools, parks, youth club, and daycare centers among other existing uses.

The dispensary, however, cannot open until the council signs off on the location.

Then the remodeling plans must meet security and other additional requirements beyond what most other businesses meet until the city will issue a permit.

The most recent available numbers pegged city revenue generated so far this year from marijuana sales at $400,000.

Based on minimums outlined in agreements the city signed with the two dispensaries, Manteca is expected to receive a minimum of $500,000 between the two businesses after each has been in business for 12 months.

Off the Charts opened in late January while Nectar did so several months later.

Potential election

year issue created

It is unclear what the city will do when Nectar does close.

The license to operate in Manteca is non-transferrable.

The city could opt to open up applications to award the third authorized license.

The closure of one of the three licensed cannabis dispensaries — the maximum under adopted policies the city has now in place — could raise the question whether the council should revisit the enabling ordinance and cut the allowed licenses down to two.

That would effectively limit Manteca to no more than two dispensaries.

Doing so would likely increase the revenue of the two remaining dispensaries without a third to dilute market share.

Councilman Dave Breitenbucher consistently voted against allowing dispensaries in Manteca.

To contact Dennis Wyatt, email dwyatt@mantecabulletin.com