The Towson Chamber of Commerce contends that a blend of small and large restaurants with liquor licenses is necessary for downtown Towson to prosper.

If that's the case, help is on the way.

Legislation pending in Annapolis would ease restrictions on available licenses specifically for Towson, making them more accessible for smaller establishments.

Last year, legislation sought by County Executive Jim Smith made 10 more liquor licenses available for restaurants and chains in downtown Towson. But those who sought them were required to spend at least $500,000 on their establishments, excluding the land and building.

This month another bill sponsored by state legislators from the 42nd District would make three of those licenses more affordable for smaller restaurants and cafes by requiring, among other things, only a $50,000 investment.

A mix of major restaurants, cafes and bistros is important, especially during weekends and evenings after government and office workers have gone home, said Nancy Hafford, executive director of the Towson Chamber of Commerce.

The chamber believes the greater the number and variety of restaurants, the greater the number of people who will come to town, not only to eat and drink but to patronize the stores, she said.

"You need diversity in order to succeed," said Hafford. "In places like downtown Frederick and Canton, where there are lots of choices, people who want to go out to dinner say, 'Let's just get there and then decide.' "

Adding new restaurants to the mix aids existing restaurants because of the general draw, said county Economic Development spokeswoman Fronda Cohen. A liquor license can significantly increase the profitability of any venture, she said.

The relevant legislation is Senate Bill 122, which was co-sponsored by state Sen. Jim Brochin and passed by the Senate earlier this month. Delegates Steve Lafferty, Sue Aumann and Bill Frank have co-sponsored a companion bill, House Bill 0391, which they expect will pass by the end of the legislative session on April 12.

Lafferty said he thinks there won't be a problem because the legislation doesn't affect other jurisdictions in the state. Also, though Brochin came up with the idea, the final wording was a joint effort of elected representatives, business owners, the chamber and the Baltimore County Licensed Beverage Association.

"We don't have a problem with it," beverage association spokesman Jack Milani said. "We told them they knew Towson better than we did. Our concern was making sure the bill did what they wanted it to do."

The Greater Council of Community Associations, which represents 30 residential neighborhoods, isn't taking a position, said Ed Kilcullen, president.

"We decided it was a matter for the business community to decide," he said.

Supply and demand

State law dictates a limited number of licenses to serve beer, wine and liquor in each election district.

But at the time that law was passed more than 40 years ago, there were already more licenses in each election district than the law allowed. Those licenses had to be grandfathered into existence or made exempt from the law, and virtually all the licenses were, and are still, owned by private entities or individuals.

If a restaurant owner were to purchase a license from the county today, it theoretically would cost $1,000, according to George Abendschoen, administrator for the county liquor board.

But those who hold a license can sell it for any price the market will bear.

Last year, Smith's effort got licenses transferred from the 15th District on the eastern side of the county, where there is a surplus of licenses, to Towson's 9th Election District, where demand for licenses is high and the supply is low.

The price of licenses reflects that. David Mister, an attorney who represents the county beverage association, said licenses in the 9th Election District have been known to sell for more than $200,000, while licenses in the 15th District have sold for as low as $17,000 and as high as more than $100,000.

Being able to pay 15th Election District prices for a 9th District license is a lure for Steve Fox, who co-owns French Press Cafe across from the Towson Library on Chesapeake Avenue, with his fiance, Martha Todd. They have been to Annapolis four times to testify in favor of the bill.

They remodeled an old house to create the cafe, which has evolved into a full restaurant that can seat 50 people inside and another 30 outside in good weather.

Having launched their business a year and a half ago "in one of the worst time ever to launch a business," Fox said, they have a steady flow of customers "until we hit a brick wall at 5 o'clock."

"It's a travesty for people not to be able to enjoy a glass of wine with a gourmet dinner," he said. Opening up the licenses with a smaller qualifying investment would be the answer for them, Fox said.

"It's essential we get a liquor license if we're going to stay in business," he said.

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