Atlantic City’s Cannabis Market Forecast Through 2030
Atlantic City is emerging as one of New Jersey’s most strategically positioned cannabis hubs, fueled by tourism, regulatory momentum, and statewide market expansion. New Jersey surpassed $1 billion in combined medical and adult-use sales in 2024—up nearly 25% year-over-year—signaling strong consumer demand as Atlantic City sharpens its long-term strategy. State data and industry reports project continued double-digit growth through the decade, giving Atlantic City a favorable runway.
A Controlled, High-Value Retail Market
In 2025, Atlantic City capped its total number of cannabis retailers at 16, following a Stockton University study led by educator Rob Mejia that warned the city risked oversaturation. The report identified 15 stores operating by mid-2025 and recommended an immediate cap to stabilize the market and support operator viability. City council adopted the recommendation, effectively transforming Atlantic City into a controlled-license environment where scarcity increases license value and competitive stakes.
Statewide indicators remain strong. In early 2025, New Jersey cannabis sales were already trending more than 17% higher than the same period in 2024. Nationally, U.S. cannabis revenue surpassed $38 billion in 2024 and is projected to grow at an 11%–12% compound annual rate, potentially reaching $76 billion by 2030. Global forecasts are even more bullish, with some projections exceeding $440 billion by decade’s end. If New Jersey tracks with national patterns, Atlantic City’s capped but high-traffic retail sector could see local sales almost double by 2030.
Tourism as the Growth Engine
Atlantic City’s competitive edge lies in cannabis tourism. Early impact studies show dispensaries increasing foot traffic and boosting revenue across surrounding restaurants, boutique shops, and entertainment venues. For a resort destination with casinos, hotels, and walkable nightlife, cannabis fits seamlessly into its broader visitor economy.
A city-backed report developed with Stockton University further identifies cannabis lounges and curated tourism experiences as key growth levers. The analysis points to themed consumption spaces, guided tasting sessions, and integrated hotel or entertainment packages as likely catalysts for visitor spending.
The Rise of Consumption Lounges
New Jersey approved its first four cannabis consumption lounges in 2025, and Atlantic City has moved quickly to embrace the model. Lounges currently operate with strict guidelines—age restrictions, timed entry, membership-style access, and bans on tobacco and alcohol—to maintain compliance and visitor safety. For operators, lounges present higher-margin opportunities through on-site consumption, premium product upsells, and exclusive experience-driven offerings that appeal to both tourists and locals.
Market Drivers Through 2030
Several trends are expected to shape Atlantic City’s cannabis market in the second half of the decade:
• License scarcity will raise stakes. The 16-retailer cap could increase permit valuation and protect margins as demand grows.
• Greater cannabis–casino collaboration. While casinos remain limited by federal regulations, off-property partnerships, co-marketing, and cannabis-friendly hotel packages are likely to expand.
• Accelerated SKU competition. New Jersey has already seen product SKUs more than double year-over-year. Atlantic City’s dispensaries will be forced to curate assortments tailored to tourists seeking convenience and variety.
• Tourism-friendly product demand. Expect sustained growth in discreet, portable formats—vapes, edibles, pre-rolls—and branded merchandise tied to Atlantic City’s destination identity.
A Destination Market by 2030
Risks such as regulatory changes, state-level oversupply, or shifting federal policy remain on the radar. Yet the core trajectory is strong: with a capped retail environment, rising demand, and a unique tourism ecosystem, Atlantic City is on track to become one of the East Coast’s most distinctive cannabis destination markets by 2030—where resort culture and modern cannabis retail grow together.