In what could possibly be a groundbreaking move, a cannabis dispensary in Detroit, owned by a local business, has taken a unique step by introducing casino-style gaming to its establishment. This innovation might mark a pioneering venture within the United States.
Located at 6640 on 8-Mile Road in Detroit, The REEF Detroit stands as one of the pioneering establishments to obtain an adult-use dispensary license from the city earlier this year. Recently, they have introduced a limited selection of casino games for their customers, making it uncertain if any other dispensary in the United States has ventured into this territory.
At present, the REEF presents an assortment of gaming options, including a blackjack table, craps table, roulette table, a Plinko machine, and three slot machines. Patrons utilize tokens to partake in these games, and any successful outcomes can solely be exchanged for cannabis products.
During an interview with Detroit Metro Times, Tim Campbell, the spokesman for The REEF, stated that, to the best of his knowledge, no one in the country has accomplished it.
The REEF is often called a ‘Cannabis Casino’
The REEF, as stated on its website, boasts one of the largest provisioning centers in Michigan, spanning over 5,000 square feet. Situated on 8-Mile Road, this location is among the earliest establishments of The REEF, with another storefront in Muskegon. To expand its reach, The REEF plans to venture into three more dispensaries and lounges within the Detroit area.
Cannabis lounges in Detroit are still awaiting regulation, and the consumption of cannabis within the city remains limited to private residences. However, it is important to note that recreational marijuana is legally accessible in Michigan for individuals aged 21 and above.
The REEF, which initially commenced operations in 2014, catered exclusively to specific clientele by providing medical marijuana. However, the subsequent legalization of recreational marijuana in 2018, followed by its enforcement two years later, compelled the owners to reassess their business approach.
In 2022, Burton’s recreational dispensary, Dort Hwy Dispo, embarked on a venture to introduce casino-style games at its premises. The REEF swiftly partnered with Dort and initiated the process of organizing a strategy to provide casino games involving real-money betting. To legally operate slots or casino games with real-money wagering in Michigan, a license is mandatory. However, The REEF operates using tokens, which exempts it from regulation by the Michigan Gaming Control Board.
Campbell confidently stated, “Let me clarify, this is absolutely not gambling. Here’s how it works – if you emerge victorious, you receive an opportunity to spin the wheel of fortune or make a throw on the craps table. The game is played exclusively with store credit, and the rewards you win are in the form of store credit as well.”
Unique marketing nothing new for The REEF
In recent times, the REEF has garnered significant recognition due to its exceptional marketing strategies. In the previous year, it introduced an enticing scratch-off game promotion that granted the fortunate winner a lifetime supply of cannabis. Additionally, participants had the chance to win remarkable prizes such as $100,000 and luxurious vacations.
By 2025, Rush Hasan, the director of operations and general manager for The REEF, predicts that the legal marijuana industry in Michigan will have a value of $1.7 billion.
