Washington, D.C.’s (D.C. or the District) Alcoholic Beverage Regulation Administration (ABRA) is now accepting applications for three new alcohol licenses that were created by the Reopen Washington D.C. Alcoholic Beverage Regulation Administration Amendment Act of 2022. We detail each of these licenses below.
Third-Party Alcohol Delivery License
The Third-Party Alcohol Delivery License allows third parties to deliver alcohol to consumers within the District from properly licensed restaurants, taverns, retailers, and manufacturers. Businesses registered in D.C. with a contractual agreement with any of the forementioned entity types may apply to obtain a Third-Party Alcohol Delivery License to fulfill orders made through a website, mobile application (app), or over the phone.
Commercial Lifestyle License
Commercial Lifestyle Centers (CLCs) are mixed-use or commercial developments with a combination of retail, residential, dining, entertainment, office, and/or hotel establishments in a pedestrian-friendly, cohesive outdoor setting. Holding a CLC license would permit tenants of a CLC, such as restaurants, taverns, and hotels, to sell beer, wine, and spirits to consumers for consumption throughout a designated area of the CLC, enabling these consumers to, among other things, enjoy alcoholic beverages in communal outdoor areas such as plazas and waterfronts.
CLCs are to be governed by a commercial owners association that will be responsible for the management, maintenance, and operation of the common areas. CLC license holders are required to:
- Be located in a commercial or mixed-use zone;
- Prohibit the consumption of alcoholic beverages purchased outside the CLC;
- Require facilities within the CLC to place beer, wine, or spirits within reusable containers that are distributed and collected through a deposit-refund system;
- Demonstrate in the CLC license application how the facility plans to obtain, sanitize, and ensure the containers are reused;
- Require that each tenant in the center has an identifying mark on their reusable containers distinguishing it from other tenants;
- Post appropriate signage identifying the boundaries of the facility;
- Have adequate security; and
- Have adequate trash receptacles.
CLC licenses will be issued in two classes. One class will be for beer, wine, and spirits, and the other class will be for beer and wine only.
Commercial owners’ associations may apply for CLC licenses.
Grocery Store 25 Percent Class A License
Grocery Store 25 Percent Class A Licenses (Class A License) allow newly-constructed grocery stores to sell beer, wine, and spirits. The rollout of these new licenses is being used to attract grocery stores to underserved portions of the District. As such, licensees that operate a newly constructed grocery store with a Class A License for at least one year in Ward 7 or 8 will become eligible to apply for Class A License for a newly constructed grocery store in Wards 1-6.
Entities applying for a Class A License must dedicate at least 8,000 square feet to selling six out of seven of the following categories:
- Fresh fruits/vegetables;
- Fresh and uncooked meats, poultry, or seafood;
- Dairy products;
- Canned foods;
- Frozen foods;
- Dry groceries or baked goods; and
- Non-alcoholic beverages.
Additionally, in order to be eligible for one of these licenses, alcohol sales could not constitute more than 25 percent of a Class A Licensee’s gross annual receipts.
Newly constructed grocery stores may apply.
********
If you have any questions, or are interested in applying for any of the above licenses, please contact Seth Gitner (seth.gitner@saul.com), Jonathan Havens (jonathan.havens@saul.com), or the attorney at the Firm with whom you are regularly in contact.
