On August 17, 2021, 4Front Ventures Corp, a vertically integrated, multi-state cannabis operator and retailer, announced the first closing of a multiphase expansion project to build an up to 558,000 sq. ft. cultivation and production facility (the “Facility”) in the Village of Matteson, Illinois, located outside of Chicago. ARCO/Murray’s team of experts will bring this project to life.
Under the previously announced agreement, the first phase of 4Front’s multiphase expansion project is anticipated to include a 250,000 sq. ft. building, including 65,000 sq. ft. of flowering canopy and 70,000 sq. ft. of manufacturing space, which has been backed by Innovative Industrial Properties, Inc., the first and only real estate company on the New York Stock Exchange focused on serving the regulated cannabis industry.
4Front plans to use the Facility to produce the Company’s more than 20 in-house brands and 2,000 products, which will be offered to Illinois customers at an accessible price point at its Mission Dispensaries and partner dispensaries across Illinois. The Facility is also expected to produce a variety of white-labeled products such as flower, concentrates, edibles, tinctures, gel capsules and other manufactured products for other multi-state operators, cannabis businesses and brands.
4Front’s multiphase expansion project is expected to bring a host of advanced cultivation, manufacturing and automation technologies, a full state-of-the-art kitchen, along with low-cost production methodologies aimed at driving down the costs of goods for consumers and cannabis businesses. Phase 1 of the expansion project is expected to create 240 livable wage jobs in the Matteson region with construction expected to be complete in Q4 2022; and Phase 2 is anticipated to add an additional 300,000 sq. ft. of building and 260 jobs.
“4Front Ventures’ development will bring more than 500 well-paying jobs to our community while broadening our region’s economy, which we believe will pay big dividends for years to come,” said Matteson Village President Sheila Chalmers-Currin. “This facility will provide opportunities for agricultural positions and create opportunities for many in a new industry, and we couldn’t be more excited to work with 4Front.”
Illinois State Senator Michael Hastings added, “We are really excited to have 4Front Ventures come to our community. Their new facility in Matteson will generate millions of dollars in revenue, along with hundreds of new jobs, which will not only have significant benefits for our residents in Matteson, but also for consumers in Illinois.”
Illinois, the 11th state to legalize cannabis for adult-use, commenced adult-use cannabis sales at the beginning of last year. In this first year of adult-use sales, Illinois’ regulated cannabis sales were more than $1.0 billion in 2020, including $669 million in adult-use sales and more than $366 million in medical-use sales. During last month alone, reflecting the continued strong and growing demand, Illinois adult-use cannabis dispensaries generated more than $116 million in sales (excluding medical cannabis sales), according to the Illinois Department of Financial and Professional Regulation. For the first time, in the first quarter of 2021, Illinois’ tax revenues from regulated cannabis sales surpassed tax revenues from liquor sales.
“We’re proud to be a part of 4Front’s new development. ARCO/Murray is committed to helping our communities where we live and work, and this project will bring hundreds of new jobs to Matteson and its surrounding communities,” said Patrick Hidder, Principal of ARCO/Murray. “Cannabis facilities boost local economies, and we look forward to the economic development that this indoor cultivation center will bring to the south suburbs and the State of Illinois.”
ARCO/Murray’s Controlled Environments Agriculture team will use their design-build expertise to bring 4Front’s vision to life while mitigating the risks associated with the adverse effects the construction and supply chain industries have felt across the country. The team of in-house engineers, architects, project managers, and superintendents will use their proven methodology to deliver a state-of-the-art cannabis operation.
“Construction pricing and construction schedules are rising across the country. Our team’s steadfast in getting this off the ground and launched,” said Garry Weiss, VP of Business Development at ARCO/Murray.