Buildout and Permits

What do I need to do before starting buildout on my dispensary in New York?

Before you touch a wall, hire a contractor, or submit plans, you must confirm that your space is legal, buildable, and compliant with:

OCM requirements
New York State and local building codes
Fire code (FDNY or local fire authority)
Federal ADA accessibility requirements

Most construction delays, failed inspections, and stalled licenses happen because this stage was rushed or handled out of order.

What This Section Covers

This section explains:

How to confirm your location is legally eligible
What must be checked before signing a lease
How to prepare your space for DOB and fire approval
What OCM requires in a compliant premises layout
Why buildout mistakes are difficult to fix after construction begins

Confirm Your Location Is Legal

New York cannabis rules sit on top of local zoning and building codes.
If your location violates any of them, OCM will not approve your premises.

Check zoning first

Based on CAURD guidance and NYC DOB rules:

Retail cannabis must be in a zoning district that allows commercial retail
In NYC, this typically includes C1, C2, C4, C5, C6, or M1 zones
Residential-only zones are not permitted

Check buffer rules

From OCM retail guidance:

At least 500 feet from a school
At least 200 feet from a house of worship
Must meet dispensary-to-dispensary spacing rules set by OCM

If a location violates zoning or buffer rules, your license can be delayed or denied.

Before signing a lease

From the CAURD Welcome Packet, confirm:

The landlord explicitly permits cannabis use
The building allows commercial retail use
No deed restrictions or HOA rules prohibit cannabis
DOB and fire records show no unresolved violations
Entrances, exits, sprinklers, and layout are workable

Goal: do not lock yourself into a space you cannot legally build.

Get DOB-Ready Before You Build

New York City requires permits for nearly all dispensary buildouts.
Starting work without permits can trigger stop-work orders and licensing delays.

You will need a Registered Architect (RA) or Professional Engineer (PE) to prepare and file plans showing:

Entrances and exits
Egress paths
Sales floor and restricted areas
Restrooms
Counters and checkout
ADA access routes
Camera placement and coverage
Secure storage or cash areas (if applicable)

Common DOB permits

PW1 (Work Permit)
TR1 / TR8 (Required inspections)
Electrical, plumbing, construction, sprinkler, HVAC, or signage permits (as applicable)

If your plans conflict with OCM requirements, you may be forced to redesign and rebuild.

Design for Fire Safety Before You Build

Fire approval is required before opening and must be designed into the space.

Fire inspectors will check:

Fire alarm systems
Sprinkler coverage
Emergency lighting and battery backup
Fire-rated separations between public and restricted areas
Clear, unobstructed exits
Fire extinguisher placement
Posted occupancy limits

If exits are blocked, sprinklers are reduced, or alarms are noncompliant, approval will not be issued.

ADA Accessibility Requirements

ADA compliance is federal law and applies to every dispensary.

Your space must include:

At least one accessible entrance
Counter height of 36 inches or less
Aisles at least 36 inches wide
An accessible restroom (if restrooms are open to customers)
Proper doorway clearances and maneuvering space
A continuous accessible route from sidewalk to checkout

ADA requirements cannot be waived by OCM or local agencies.

OCM Premises Layout Approval

OCM must approve your premises layout before issuing a final license.

Your submission must clearly show:

Customer areas
Back-of-house restricted areas
Secure inventory storage
Delivery intake areas
POS and customer queuing
Camera placement and coverage
Lactation Room (yes, you read that correctly. It is a NYS requirement)
Manager or supervisor station
Lockable storage for returns
Cash handling or armored-car areas (if applicable)

Unclear or incomplete layouts are commonly returned or rejected.

Why This Stage Matters

Most buildout failures occur because:

The location was never compliant
Zoning, building, fire, ADA, or OCM requirements were ignored during design

Fixing these issues after construction is expensive and often impossible.

Getting this stage right helps prevent:

OCM rejecting your premises diagram
Stop-work orders from DOB
Failed fire inspections
ADA complaints or lawsuits
Months of wasted rent and contractor costs
Provisional licenses expiring without final approval

Source Material

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