West Chester creating more liquor licenses to entice entertainment venues

West Chester Twp. officials have long lamented the lack of available full-service liquor licenses but have found a way to add 30 more in two Community Entertainment Districts to help more bars and restaurants come to town.

The trustees have put in motion — and will finalize in February — two Community Entertainment Districts, one in the Streets of West Chester and the other in the Union Centre Boulevard/Princeton Glendale Road area. Bar and restaurants owners will be able to pay $2,344 instead of upwards of $30,000 to buy a license from out of the area.

The township’s Economic Development Manager Katy Kanelopoulos told the Journal-News there aren’t any new entertainment venues waiting in the wings, but people have asked about the lack of available top shelf licenses.

“Some have reached out and pointed out that we are basically out and voiced that they would like to see more liquor permits available,” Kanelopoulos said. “It would make them feel more comfortable as they’re looking at these properties that they’re going to be able to obtain a liquor license. I think it makes them nervous when they see we are basically tapped out.”

West Chester is only allowed 32 of these types of permits, there are 27 issued and four applications are pending. All told the township is allowed 298 liquor permits and 184 have been issued. That volume is based on 62,408 residents. There are numerous classifications of alcohol permits from liquor stores to restaurants and other drinking establishments that are open until 2:30 a.m.

Trustee Mark Welch said the idea of asking the state to approve the new CED areas is “brilliant.”

“This issue was illuminated about a year ago when Lori’s Roadhouse had to go outside West Chester and into the free market ad they ended up buying a permit out of Cleveland,” Welch said recently. “What we’re doing here is we’re making sure there is no impediment to additional restaurants or even hotels to come in and get their liquor licenses.”

Nearly every jurisdiction in Butler County is at or very close to their quotas for that classification. Aside from the CEDs there is a work around to the limitation, businesses can buy unused permits, known as TREX, from other jurisdictions, but it is cost prohibitive, according to Hamilton’s Assistant to the City Manager Mallory Greenham.

“If we’re going to try to entice full service restaurants they’re going to need a liquor license and if we’re out they have to go out to the free market and try to buy one and do a TREX, an economic development transfer of that liquor permit,” Greenham told the Journal-News previously. “They might have to purchase it for some outrageous amount I know some liquor permits are sold for $50,000. It can get really crazy. It is good to have enough liquor licenses in your community to foster economic development.”

Hamilton created two CEDs in 2018 in preparation of the massive Spooky Nook sports and convention complex. Greenham said 13 of the 30 available licenses in those CEDs have been taken.

The Journal-News asked the Ohio Commerce Department’s Division of Liquor Control why the state essentially loosened the population-based restrictions on the coveted type of permit, and this was the response:

“In 2015, the Ohio Legislature created Community Entertainment Districts to allow growing areas with entertainment, retail, educational, and other cultural establishments to have their own quota system,” Brandon Klein, public information officer from commerce department said. “While the law places certain restrictions and requirements on CEDs, the decision of whether to create one is a locally driven decision.”

Greenham told the Journal-News one requirement is “$50 million dollars or more will be invested in development and construction in the CED’s area.” Spooky Nook is bringing an estimated $150 million investment to Hamilton.

West Chester’s application states the two CED areas in the township already have major attractions like Lori’s Roadhouse, TopGolf, The Main Event and AMC movie theater, and they expect new attractions like Bass Pro Shop, the Queen City Harley Davidson project and expansion of Premier Shooting and Training Center, so it will attract new development.

Kanelopoulos told the Journal-News, “it just has to be an area where you have established attractions and entertainment, restaurants,” she said. “They kind of ask you if you anticipate any new development but it’s not required.”

She said the state has to approve the CED and she doesn’t have a timetable for when the new licenses might be available.

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