While waiting for marijuana to be legalized, businesses in OC set up shop and … – OCRegister

Potential payoff

• About $7 million: Terra Tech’s projected revenue this year, mainly from its Edible Garden subsidiary

• $4 million or more: Terra Tech’s estimated annual revenue from its extraction laboratory, if the company uses it in the production of its own medical marijuana products

• More than $25 million: Weedmaps’ revenue in 2013

Terra Tech’s components

Edible Garden sells hydroponically grown herbs and produce.

GrowOp Technology sells hydroponic growing equipment.

A lab in the Bay Area will produce medical marijuana products.

Terra Tech also has a majority interest in three subsidiaries, MediFarm, MediFarm I and MediFarm II, to grow marijuana and operate dispensaries in Nevada, if that state awards the company permits.

SIZE OF THE MARKET

The smell of marijuana is commonplace in California. Legal sales of marijuana in dispensaries in California totaled $980 million in 2013, reports the ArcView Group in San Francisco. ArcView projects $1.1 million in sales this year.

ArcView is a cannabis investment and research firm that matches investors with companies through a pitch contest similar to “Shark Tank.” During the past year, it has brought $13 million in investment to about 20 companies, including cultivation equipment or marijuana packaging companies.

“California is the Holy Grail in terms of the market potential for the cannabis industry,” said Troy Dayton, ArcView’s CEO. “It’s by far the largest market already, for legal medical cannabis.”

If California legalizes recreational marijuana, the market in this state will overshadow Colorado, Peterson said.

The Bay Area does about as much business as Colorado does, even though the laws, and markets, right now are different, he said.

“People forget how big California is and how many people live here. …,” Peterson said. “This is the biggest market in the United States.”

IRVINE – In an office park near John Wayne Airport sit the headquarters of Terra Tech Corp., modern and non-descript, photos lining …read more