1. A. An incubator space may provide one or more of the following:

   1. (1) Secure storage of cannabis or cannabis products for licensed micro dispensaries;
   2. (2) Commercial kitchen space for the processing and production of cannabis products by licensed micro processors; or
   3. (3) Space for the cultivation of cannabis by licensed micro growers.

2. B. An incubator space shall comply with the requirements of COMAR 14.17.10, 14.17.11, and 14.17.12 for the:

   1. (1) Security of the premises;
   2. (2) Sanitation of any cannabis or cannabis product produced at the incubator space;
   3. (3) Safety of any cannabis cultivated at the incubator space, including the use of pesticides;
   4. (4) Storage of cannabis and cannabis products; and
   5. (5) Use of the seed-to-sale tracking system.

3. C. The incubator space licensee shall make a good faith effort to:

   1. (1) Secure any cannabis, cannabis products, inventory, equipment, or other materials on the licensed premise; and
   2. (2) Prevent theft or diversion of any cannabis, cannabis products, inventory, equipment, or other materials by license holders, agents, or members of the public.
4. D. The incubator space licensee holder may assess a fair market rent for the use or storage of the facility.
5. E. The incubator space licensee may not accept or receive any equity stake, ownership share, or control of a micro license facility as a condition of rent or use of the space.

Authority: Alcoholic Beverages and Cannabis Article, §§36-202, 36-203, 36-401, and 36-409, Annotated Code of Maryland

Effective date:

Regulations .01—.05 adopted as an emergency provision effective July 1, 2023 (50:14 Md. R. 559); emergency status expired June 30, 2024)

Regulations .01—.04 adopted as an emergency provision effective June 7, 2024 (51:14 Md. R. 676)

Regulations .01—.04 adopted effective July 22, 2024 (51:14 Md. R. 678)

Regulation .02 amended effective April 14, 2025 (52:7 Md. R. 324)