What are the New York Cannabis Dispensary Inventory Storage Room Requirements?

Why the Inventory Storage Room Matters

This room is:

• The primary secure location for all cannabis inventory
• The starting and ending point for product movement
• A focal point during inspections and audits

Inspectors use this space to evaluate:

• Diversion risk
• Accuracy of inventory tracking
• Alignment between physical inventory, POS, and METRC
• Whether daily operations are controlled and compliant

If this room is weak, everything else is questioned.

Location Requirements

Where the Room Must Be

The inventory storage room must be:

• Inside a restricted, staff-only area
• Behind controlled access
• Separate from customer-facing spaces

It must match the layout approved in your license application.

Where the Room Cannot Be

The storage room may not be located in:

• Hallways or transitional spaces
• Shared building storage areas
• Offices or break rooms
• Customer-accessible areas
• Spaces used for general storage

If cannabis is stored outside an approved, secured room, it is treated as a security failure.

Physical Security Requirements

Door and Lock Standards

The room must have:

• A solid commercial-grade door
• A commercial deadbolt or electronic access control system
• A self-closing mechanism
• No residential-style knob locks

Weak hardware is a common inspection issue.

Walls and Ceilings

The room must be fully enclosed with:

• Full-height walls
• No drop ceilings that allow access above
• No exposed plenum space
• No shared or unsecured crawl spaces

Any access point that allows someone to bypass the door is treated as a security violation.

Camera Coverage Requirements

What Must Be Visible

Surveillance must capture:

• The entire room from wall to wall
• All entry and exit points
• All shelving and product handling areas

No blind spots.

Footage Standards

Cameras must:

• Meet NYCRR resolution requirements
• Record continuously
• Retain footage for the required period
• Capture clear images with adequate lighting

Dark corners, blocked views, or partial coverage can fail inspection.

Interior Setup and Organization

Storage Standards

Cannabis inventory must be:

• Stored off the ground
• Placed on sturdy shelving
• Organized and stable

Boxes stacked loosely or sagging shelves signal poor control.

Required Separation

Inventory must be clearly separated by category:

• Sellable inventory
• Intake and pending acceptance
• Quarantine or regulatory holds
• Returns
• Waste and destruction

Mixing categories creates compliance risk.

Labeling Expectations

The room must include:

• Clear shelf labels
• Lot or batch identification
• Logical grouping by product type or status

Disorganized inventory is treated as weak internal controls.

Access Control

Who May Enter

Only authorized employees may enter based on:

• Job duties
• Operational necessity

Vendors, drivers, and maintenance personnel:

• May not enter alone
• Must be supervised
• Should be logged

How Access Must Be Controlled

Acceptable access methods include:

• Keycard systems
• PIN-based access control
• Logged physical key control

Operators must maintain records of:

• Who entered
• Date and time of access

Doors must never be propped open.

Product Intake and Movement

Intake

Deliveries must be:

• Received directly into the storage room or a secure adjacent area
• Verified against shipping manifests before shelving

Product should not sit unsecured during intake.

Movement Rules

All internal movement must be:

• Logged in the POS
• Logged in the seed-to-sale tracking system
• Traceable from intake through sale or destruction

Waste must move directly from:

Sales floor to storage to destruction area.

Unlogged movement is a violation.

Common Inspection Failures

Inspectors frequently cite:

• Cannabis stored in multiple unsecured rooms
• Doors without commercial locking hardware
• Drop ceilings allowing overhead access
• Missing or incomplete camera coverage
• Shared storage with non-cannabis items
• Unlabeled or mixed inventory

Any one of these issues can halt approval or trigger enforcement.

Why This Matters

The inventory storage room anchors:

• Security compliance
• Inventory accuracy
• Diversion prevention
• Inspection readiness

Failures here can lead to:

• Failed inspections
• Corrective action plans
• Stop-sale orders
• Delays in opening or expansion
• Enforcement action

A compliant storage room protects your license, your inventory, and your ability to stay open.

Go Here Next

• Security Systems and Monitoring Requirements
• Inventory Management and METRC
• SOPs and Operations
• Building Code, Fire Safety, Egress, and Occupancy
• Inspection and Audit Preparation

Source Material

• MRTA. Sections 78 and 79
• 9 NYCRR, Subtitle B, Cannabis Regulations
• OCM Guidance
• METRC New York Guidance and Bulletins
• Local Building and Fire Code Requirements (DOB / FDNY in NYC)