New Jersey’s First Cannabis Lounges Set to Open at Approved Dispensaries

New Jersey has taken a major step forward by greenlighting its first legal cannabis consumption lounges attached to licensed dispensaries, marking a new era for adult-use cannabis in the state.

In mid-July, the New Jersey Cannabis Regulatory Commission (CRC) endorsed consumption lounges at four dispensaries—High Rollers and SunnyTien in Atlantic City, Gynsyng in Merchantville, and URB’N in Newark—paving the way for on-site use spaces where adults 21+ can legally smoke or consume edibles after purchase. These businesses are diversely owned—minority-owned, woman-owned, or veteran-owned—categorized under the state’s social equity and diversity priority system.

Applications for consumption lounge licenses opened to all Class 5 cannabis dispensaries on July 2, with a fee structure including $200 at submission and $800 upon approval, plus annual licensing fees of $1,000 (microbusiness) or $5,000 (standard business). Facilities must meet state and municipal safety, ventilation, and inspection standards before opening.

Once operational, these spaces will operate more like bars: adults 21 and older must show photo ID, cannot bring outside cannabis (except registered medical patients), and are prohibited from consuming alcohol or tobacco onsite. Patrons may bring food or have it delivered, but businesses cannot sell it directly. Final inspections are ongoing before each lounge opens, with openings expected within weeks.