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Back To Main Menu. 'It appears that the market is 30 percent lower than what it was in 2007,' said Howard Goldstein, a liquor license broker.Only three years ago, liquor license sales set state records, with prices going above the $1.5 million mark in Cherry Hill and elsewhere.' It’s a huge source of revenue for towns, and it’s hard to find an upside here,' said Matthew Weng, a staff attorney for the New Jersey League of Municipalities. 'Businesses just don’t have the money to buy a liquor license.' New Jersey has about 9,250 liquor licenses, most for retail operations like bars, and 1,784 for package stores, according to the state Division of Alcoholic Beverage Control.State law dictates that a municipality is entitled to one package store license per 7,500 people and a restaurant or bar consumption license for every 3,000 residents.Faced with the tight population quotas, national chains like Applebee’s used larger wallets to win auctions or buy inactive licenses, driving up prices, said Tim Delaney, president of Delaney Restaurant Realty.
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But now, 'the chains are not expanding,' Delaney said.Some industry experts also blame factors not related to the business cycle, including new and proposed regulations for the liquor industry.The state’s legislature approved a 25 percent increase on wine and liquor taxes in August.There are also concerns a 1962 law that limits supermarket chains to owning only two liquor licenses will be scrapped.' I know a couple of guys who are very much ready to get into this business, but the first thing they tell me is, ‘I hear about this bill and I don’t want to invest right now,' said Nikul Patel, vice president of the Asian American Retailers Association.To draw more license bidders, Toms River is trying a tested technique: discounts.The township lowered the minimum bid for a consumption license by $50,000 to $700,000.' We’ve got a budget deficit as it is, and we’re doing everything we can possibly can to avoid layoffs,' said Mayor Thomas Kelaher. 'We’re hoping this works.' Star-Ledger staff writer Joe Moszczynski and the Gloucester County Times contributed to this report.
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