The Port of Grays Harbor commissioners have approved a five-year lease of the Satsop Business Park’s 50,000 square foot Enterprise Warehouse to house an indoor cannabis cultivation facility.

The decision comes one week after commissioners amended the Port’s lease policy to allow the cultivation and production of cannabis on Port property on Sept. 27.

“The Satsop Business Park is a natural fit for this emerging industry with its unique location and robust infrastructure,” explained Port Commission President Jack Thompson.

The lease includes nine 5-year options with the Fuller Hill Development Co. LLC, a subsidiary of Global Real Estate Properties LLC.

“The assets, infrastructure and people at the Satsop Business Park, including warehouse space, power, water, and the excellent staff, are well-suited to our needs,” Said Arkadi Gontmakher, president of Global Real Estate Properties. “Our decision to build out a facility at the Park was an easy one, and we are hopeful that there will be more in the future.”

Fuller Hill Development Co. will begin making improvements to the facility immediately, including installation of a fire suppression system, provisions of major power upgrades directly to the warehouse, and installation of a high-capacity heating,ventilation, and air conditioning system. Fuller Hill Development Co. estimates the improvements to total some $6.5 million. The facility could be operational by early 2017 and may provide as many as 70 full-time jobs.

Global Real Estate Properties is no stranger to the cannabis business — the company built the facility that houses the state’s top producer and processor of recreational cannabis, Northwest Cannabis Solutions.

That operation is located in Thurston County and employs more than 167 full time workers.

“We commend Port staff on the research and hard work they put into learning about the industry,” Commissioner Thompson said.

The Port’s manager of business development Alissa Shay touted the company’s resume following the approval of the lease.

“The production and processing of cannabis is one of the fastest growing industries in Washington and we are pleased to be able to grow the opportunity in Grays Harbor with an experienced industry partner,” Shay said.

Sept. 27

The commissioners approved an amendment to the Port’s lease policy, clearing the way for marijuana cultivation and processing at the Satsop Business Park.

The commission held a special meeting on Tuesday, Sept. 27, and invited Rebecca Chaffee from the Port of Willapa to offer insight on marijuana operations at port facilities in Pacific County.

“It’s provided 100 new jobs, new business and new people moving into the area,” Chaffee said. “As far as risks go … we have had no break-ins, no security issues, and have not seen any increases in use or abuse of the product in those communities.”

Chaffee said one of the producer/processor facilities in North Pacific County, BMF, has employed 80 people and that once the initial phase of the start-up businesses have been established, entry level jobs pay well and those who cultivate the marijuana make a solid six-figure income.

“The hourly rate of pay would depend on the stage of the business … but entry level positions would pay about $15 per hour. Employees get paid vacation and medical benefits too,” she said. “Growers make about $200,000 per year.”

Legal counsel for the Port, Art Blauvelt told the the panel of commissioners he was initially skeptical leasing Port property to the marijuana industry, but had reconsidered the notion citing the Washington State Liquor and Cannabis Board concentrated efforts to regulate the industry.

“The Satsop Business Park has a lot of empty buildings and interest was generated from the cannabis community to fill some of the empty space,” Blauvelt said. “It appears the Washington State Liquor and Cannabis Board is doing a good job regulating the business, so I think it’s in the best interest for the Port to make the amendment to its lease policy for the cultivation and processing of cannabis.”

And with that reasoning in mind, Commissioner Chuck Caldwell made the motion to approve Resolution 2909 to allow for the cultivation and processing of cannabis at the Satsop Business Park. The motion was seconded by Commissioner Stan Pinnick and approved by the board.

The resolution does not, however, grant the ability to sell the product on a retail level at the business park.