LAPRAIRIE — A new cannabis business plans to open a facility in Second Harvest Northland’s shuttered LaPrairie warehouse as soon as this summer.
The city approved a permit for a cannabis manufacturing, cultivation and retail operation at its June 15 meeting.
Adam Nelson, the applicant and general manager of Bernie LLC, said the business will open “as soon as possible.”
“We’re working with a relatively new regulatory authority and a nascent industry, so it’s just complicated,” he said in a phone interview Monday, June 22. “There’s too many variables to be able to say we’re going to open on this date.”
The business has preliminary license approval for a social equity mezzobusiness license from the state Office of Cannabis Management, with the facility itself the final step toward full licensure, Nelson said.
LaPrairie had issued a permit to another cannabis business, 1212 Holding Company LLC, to operate on the property in March, but 10 days later, Second Harvest told 1212 Holding Company and the city that it was going with another buyer.
There is a purchase agreement with Second Harvest, and the transfer of the property is moving forward, Nelson said, though he declined to give additional details.
Second Harvest continues to operate its food shelf out of the building. It ended its warehouse operations in summer 2025 after consolidating to one facility in Duluth. In March, President and CEO Shaye Moris said they had narrowed the list to three potential new locations.
Moris declined to share additional details when reached by email Tuesday but said the organization plans to share an update in early July.
“I can affirm (as we’ve shared in past) our plan has, and will continue to be, to invest in our Grand Rapids programming (food shelf and other) to support our neighbors in need,” she wrote. “There are still some items in progress so once details are solidified, we’ll be happy to share more.”
What cannabusiness do?
Nelson described Bernie LLC as a fully vertically integrated operation, meaning it would be involved in all steps of the production process, from seed to sale. According to the conditional use permit application, the primary focus will be cannabis extracts and concentrates. The business will also include cultivation and genetics and an on-site retail operation.
Nelson, who is from Scandia, said he has worked in the regulated cannabis industry since 2016. Nicolette Furlong, Nelson’s significant other, is the CEO and primary owner of the company.
They’ve been working through the state’s complex and oft-hampered licensure process for four years. The focus on LaPrairie started about six months ago when they learned about the property.
Mezzobusinesses can have up to three retail locations, and Nelson said there are plans for more than one location, though details are not public or decided.
Bernie LLC will initially have 10-15 full-time positions, expanding to 30-40 full-time roles at full buildout.
“And our growth prospects are pretty significant,” Nelson said. “And the site is set up to be able to expand.”
Per state rules, cannabis cultivation would be limited to 15,000 square feet of the 24,000-square-foot building. But the property is roughly 5 acres, and the OCM is expected to eventually increase its size limits.
Local hiring would be a priority, and Nelson said the desirable workforce was part of why they selected the location.
“It’s the Range,” he said. “These are people that are not afraid of hard work, and people have all kinds of illusions about what the industry entails, but it’s an agricultural endeavor, and there’s a huge amount of manufacturing labor that goes into the process.”
Another factor is the burgeoning cannabis industry in the region. HWY35 is developing a large cannabis business park in nearby Grand Rapids, and the city of Grand Rapids is pursuing a municipal dispensary.
"We think that the region has signaled they are open for business and want these businesses in the area," Nelson said. "We want to be part of that."
Nelson said they are in the process of reviewing the terms of the conditional use permit and making sure they meet the needs of the business.
What’s that smell?
Thomas Newman, one of a handful of property owners near the warehouse, has big concerns about the project. He owns Two Rivers RV and Campground and a total of roughly 100 acres south of the property, much of it undeveloped.
One parcel has been developed into 55+ housing by Foxhaven, and there are plans to continue developing housing there.
“Who wants to live 100 feet from a cannabis-growing facility that may smell like marijuana?” he said.
Travis Luedke of Foxhaven and Newman expressed their concerns at the city’s public hearing on the permit. The city passed additional odor control measures, and Nelson said there is a scent mitigation plan.
“And we’re held to a really high standard by the state, first and foremost, so that we can’t be a nuisance,” Nelson said. “And it’s just bad business to be a nuisance.”
But Newman said nothing is foolproof, and he’s worried about how the city will enforce its standards.
“They [the City Council] seem like they have closed minds. For some reason, they think they need the marijuana plant there,” he said. “They weren’t worried about us at all."