Building Code, Fire Safety, Egress, and Occupancy

What building, fire, and safety rules does my dispensary have to meet?

A dispensary is not just a retail store, it is a regulated facility.
Before OCM will allow you to open, your space must comply with state cannabis rules, local building code, fire code, egress, and occupancy requirements.

If your space fails any one of these checks, your license cannot move from provisional to final, even if everything else is complete.

This page explains the physical and life-safety requirements that determine whether your dispensary is legally allowed to operate.

What Your Space Must Meet (Before You Can Open)

Before opening, your dispensary must pass all of the following:

  • Building code compliance
  • Fire code compliance
  • Egress (safe exit) requirements
  • Occupancy limits
  • Plan accuracy and consistency

Your completed space must match:

  • What was approved by DOB or the local building department
  • What was approved by FDNY or the local fire authority
  • What you submitted to OCM in your license application

If the built space does not match approved plans, you will fail inspection.

Building Department Requirements

DOB or Local Building Department

Most dispensary buildouts require permits. This commonly includes:

  • New walls, partitions, doors, or security rooms
  • Electrical work (POS circuits, lighting, cameras, alarms)
  • Plumbing work (bathrooms, hand sinks)
  • HVAC or ventilation changes
  • Accessibility features (ramps, door widths, counters, restrooms)
  • Demolition or interior reconstruction

What the Building Department Expects

You must have:

  • Permits issued before construction begins
  • Licensed professionals only (RA, PE, licensed contractors)
  • Required inspections completed after work is finished
  • A Certificate of Occupancy (CO) or Temporary CO (TCO), if required

Building without permits can result in stop-work orders, fines, and months of delay.

Fire Department Requirements

FDNY or Local Fire Authority

Fire safety approval is mandatory before opening.

Fire inspectors check for:

  • Sprinkler systems installed and operational
  • Fire alarm systems functioning and monitored where required
  • Emergency exits that are clear and unlocked during business hours
  • Illuminated and properly placed exit signage
  • Emergency lighting with battery backup
  • Fire extinguishers of the correct type and placement
  • Storage areas free of hazards or blocked exits

Cannabis retail has no exemptions from commercial fire code standards.

Egress Rules

How People Exit in an Emergency

Your dispensary must allow safe exit at all times.

Egress requirements include:

  • The required number of exits based on occupancy
  • Unobstructed exit paths from all areas of the store
  • Clearly visible and aligned exit signage
  • Correct door swing direction and hardware
  • No furniture, displays, or storage blocking exits
  • Emergency lighting in corridors and near exits

A blocked exit during inspection — even temporarily — can trigger immediate shutdown.

Occupancy Rules

How Many People Are Allowed Inside

Your legal occupancy limit is set by the building department.

It is based on:

  • Square footage
  • Layout and use type
  • Number and width of exits
  • Space classification under building code

OCM verifies that:

  • Your submitted floor plan matches occupancy documents
  • Your built layout matches what was approved

If occupancy numbers or layouts don’t match, inspection will fail.

What OCM Checks During Pre-Opening Inspection

During final inspection, OCM confirms that:

  • The premises address matches your license
  • The layout matches approved plans
  • All permits and inspections are complete
  • Fire alarm and emergency systems are operational
  • Egress paths are compliant and unobstructed
  • Occupancy limits are documented and enforced
  • ADA access (entry, doors, restrooms, counters) is complete
  • Required signage and postings are installed

OCM does not issue conditional final licenses.
If something is missing, you must correct it and request reinspection.

Common Operator Pitfalls

Issues That Delay or Kill Openings

Openings are delayed when operators:

  • Start construction without permits
  • Build elements that don’t match approved plans
  • Fail to complete ADA updates
  • Skip fire alarm or sprinkler inspections
  • Assume the landlord handled compliance
  • Block exits with furniture, displays, or cameras
  • Install incorrect locks, panic bars, or exit hardware
  • Lack occupancy documentation during inspection
  • Forget to test emergency lighting or exit signage

Each of these has caused dispensaries to miss opening deadlines.

Why This Matters

Building and fire compliance is binary:
you either pass, or you cannot open.

Failures result in:

  • Failed inspections
  • Delayed license issuance
  • Reinspection costs
  • Stop-work or stop-sale orders
  • Missed launch dates and lost revenue

Physical compliance is just as critical as regulatory paperwork.

Related Pages

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