As reported by WBJ last week, due to the former Saloun liquor license being allowed to lapse, a new tavern license is available in Georgetown. The Post reported yesterday that two existing venues, Gypsy Sally’s and Smith Point, were the first through the door to try to claim the new license.
Bit of background: There a several different types of liquor licenses in DC. Of relevance to this discussion are restaurant licenses and tavern licenses. A holder of a restaurant licences is required to get a certain portion of its revenues from the sale of food, and must regularly report its sales to ABRA to certify its compliance. A tavern license, on the other hand, comes with no food sales requirements. Thus tavern licenses are often viewed as desirable by bar owners.
Georgetown has been subject to a liquor license moratorium for several decades. That moratorium has both an overall cap, that applies to restaurants and tavern licenses combined, and a specific cap on just tavern licenses. No new tavern license may be issued until the number drops below six. (Which is different than saying there may not be more than six period. The moratorium limit of six was set at a time when there were more than six out there. Over time they’ve steadily been converted or abandoned.) Once Saloun failed to renew their license (which was, frankly, stupid of them) the number of taverns dropped below six and consequentially a new one may be issued. Continue reading
