First Batch of Redevelopment Zone Detroit Liquor Licenses Approved

Crain’s Detroit Business reporter Kurt Nagl wrote in May about about the City of Detroit seeking approval for 20 new liquor licenses through the Redevelopment Area Liquor Licenses that were made available through the State of Michigan. Though the matter was on the agenda for the May 21^st Detroit City Council meeting, the resolution to approve the applications was referred to the Planning and Economic Development Committee for further discussion. I had the pleasure of speaking with Kurt for the article and blogged about this important news for Detroit restaurant and bar owners.

The resolution to approve the first 20 applicants was approved by the Planning and Economic Development committee on May 23, 2019 and subsequently approved by Detroit City Council on May 28, 2019.  The next round of approvals for 20-30 applications will likely go before City Council for approval in July 2019 according to Matt Walters of the Mayor’s office.

The redevelopment project zones were created pursuant to MCL 436.1501 after the Detroit Economic Growth Corporation (DEGC), city and state took a three year look back at the real and personal property investment of various areas of the city.  The City received the new licenses based on the development of these areas, totaling 63 new on premises licenses.

Other helpful resources for Detroit restaurant and bar owners include my video on how to obtain a Detroit liquor license and my blog on acquiring an on-premises liquor license in Michigan.

In order to be eligible for one of the new licenses, the business must be located in one of the redevelopment zone neighborhoods, have at least 25 seats, be open at least ten hours per day, and have made at least a $75,000 investment in rehabilitation of their building.  They must then submit an application for local government approval to obtain a recommendation from the City for a new on-premises license.  The cost of these licenses will be significantly less expensive at $23,000, rather than the market rate of $80,000 for an on-premises license.

Should your business require assistance in liquor license application or transferrin Detroit or elsewhere in Michigan, please contact me.

For blogs, videos and additional information to help your business thrive in Detroit or elsewhere in Michigan, visit the Dalton & Tomich, PLC business resources page.