Nevada’s first cannabis consumption lounge shuttered

The first cannabis consumption lounge in Nevada has closed its doors just over a year after opening for business.

The closure of Thrive Cannabis Marketplace’s Smoke and Mirrors consumption lounge, which opened in February 2024, leaves the Dazed! Consumption Lounge inside Planet 13’s store next to the Strip as the only state-sanctioned venue for marijuana consumption, according to Las Vegas Weekly.

In addition to Dazed, Nevada has a third consumption lounge, Sky High Lounge, which has been operating since 2019.

But because Sky High is located on sovereign tribal land owned by the Las Vegas Paiute Tribe, it isn’t subject to state regulations.

Thrive’s managing partner, Mitch Britten, said Nevada must change its regulations to “make this license type more economically viable.”

“In its current form, the regulatory framework, associated compliance costs, and limitation on the types of products that can be offered simply doesn’t support a sustainable business model for lounges, and we’ve adjusted our operations accordingly,” Britten told Las Vegas Weekly.

Thrive plans to use the former consumption spot as a special event venue until “thoughtful regulatory adjustments” are made, he told the publication.

Nevada legislators approved the state’s consumption lounge program in 2021, providing spaces where people can use marijuana legally.

An additional 21 consumption lounges have received conditional approval, but no dates have been set for any of them to open.

Nevada is one of 12 states that permit recreational cannabis lounges, according to the Marijuana Policy Project.