By Adam Swift
PEABODY — A home rule petition filed with the state legislature to allow as many as 20 new liquor licenses in the city could help open up downtown development, said a city councilor.
“I’m supportive of any move that will give us the ability to lock up restaurants and other businesses that are looking at the downtown,” said Councilor-at-Large David Gravel. “We are competing with areas in surrounding communities like Salem, Beverly and Danvers, and unless there are liquor licenses, we won’t get the caliber of restaurants that will be able to survive.”
In August, Mayor Edward A. Bettencourt Jr. submitted a request to the council for approval of a home rule petition to increase the number of all-alcohol liquor licenses in Peabody by no more than 20.
The council’s Legal Affairs Committee is taking up the issue at its meeting on Thursday night. If the committee approves the request, it will be forwarded to the Committee of the Whole for approval. At that point, Bettencourt would be able to file a home rule petition with the state legislature.
In 2014, similar legislation added 10 liquor licenses, bringing the city’s total to 11 beer and wine licenses and 70 all-alcohol licenses. But the 2014 legislation did put caveats on where the new licenses could be used, including setting five aside for the Northshore Mall.
If the latest home rule petition gets approved, Gravel said he hopes it is with more leeway than the 2014 license increase.
“On Main Street and Walnut Street, there are a lot of buildings with potential for restaurants if they had a liquor license,” he said.
Gravel said there are already examples on Main Street of how liquor licenses have helped improve local business.
“Look at the difference it has made with Maki Sushi,” he said. “They were struggling before they got a liquor license, and now they are doing a robust business.”
In the long run, Gravel said liquor licenses should ultimately be licensed by the cities and towns, and not the state.
“It’s my firm belief that the licenses should be locally controlled, and not by the House of Representatives,” he said. “Cities control their own zoning and special permits.”
State control of the liquor licenses can lead to a tight secondary market for the licenses that can leave mom and pop businesses out in the cold. Gravel pointed to the example of Trader Joe’s purchasing a license in this market for over $200,000 several years ago.
“When Trader Joe’s wanted a full liquor license, it paid a hefty price,” Gravel said. “Liquor licenses should be no different than other licenses issued by the city.”
Adam Swift can be reached at [email protected].