Canada: With the Marijuana Industry Blazing, Production Space Is Hard to Find

The booming medical marijuana business is desperate to expand, so Canada’s cannabis growers are moving into spaces deserted by shrinking industries such as oil and gas and manufacturing.

In June of 2013, Mark Zekulin, president of Tweed Inc. (a subsidiary of publicly traded Canopy Growth Corp., Canada’s largest marijuana producer), walked into Dennis Staples’s office with a business proposition: to turn a 470,000-square-foot former chocolate factory into the future home for millions of dollars in marijuana plants.

It took just half an hour to convince Mr. Staples, then the mayor of Smiths Falls, Ont., to convert the town’s abandoned Hershey chocolate factory into a medical marijuana grow-op.

Tweed Inc. has converted the former Hershey chocolate factory in Smiths Falls, Ont., into a facility to grow medical marijuana. (Jordan Sinclair/Tweed Inc.)

“I didn’t know what they wanted or...

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