Greenwood sorting through how riverfront district would work, assure public that gambling is not the goal

In an effort to attract more upscale restaurants and eateries to Greenwood, city council members are considering establishing a riverfront district which would allow the city to hand out more liquor licenses.

If approved by the city council, the riverfront district would cover the most developed areas in the city, including all of downtown, Greenwood Park Mall and the site of the former Greenwood middle school which the city purchased from the school district this year.

Boundaries for the riverfront district would be County Line Road to the north; Smith Valley Road to the south; Emerson Avenue to the east; and would extend just west of State Road 135. However, it would not include all areas within those boundaries, just areas within 1,500 feet of the three bodies of water being considered as part of the district. In Greenwood’s case, Pleasant Creek, Pleasant Run Creek and Jolly Brook are all included in the proposal.

The city itself has the power to establish a riverfront district, said Sam Hodson, an attorney for the city. But each new liquor license would have to be approved by the city’s Board of Public Works and the state’s Indiana Alcohol and Tobacco Commission.

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The establishment of the district could be finalized at the Nov. 19 city council meeting.

The only other option to get more licenses was by way of special legislation. The city attempted that, but state lawmakers wouldn’t approve it, Hodson said.

The proposal, which would have allowed Greenwood, Bargersville and two other communities in the state to get additional alcohol permits, passed the Senate but didn’t get a hearing in the House.

In a riverfront district, there is no limit on the number of licenses that could be provided, but city council members have said they would monitor it closely.

The state would monitor it, too.

“If we went to the state and asked them for 100 licenses, they wouldn’t grant that,” Hodson said.

Under state law, a maximum of 34 licenses can be issued to restaurants and bars in Greenwood that would serve beer, wine and liquor — the most desired type of license. But all of those licenses have already been issued, meaning attracting new restaurants has been a struggle.

“Our current availability is based on nearly 10-year-old Census numbers,” Hodson said.

A new Census will be conducted in 2020 and Greenwood’s population has grown by an estimated 8,000 residents since the 2010 census, so the number of licenses allowed would likely mirror that population growth.

But several restaurants have already expressed interest in locating in Greenwood, Mayor Mark Myers said. They’re just waiting to see if a riverfront district is approved.

"We know we do not have an upscale steakhouse type of facility, so we need a couple of those. We’ve got (restaurants) that serve good steaks, but there are other restaurants too that would like to join in on that," Myers said.

The city is mostly eyeing classy sit-down restaurants — some chain, some family-owned — that would serve beer, wine and liquor, Myers said. It is not his intention to attract bars or a casino, which is a concern that’s been raised, he said.

Council member Bob Dine asked that it be made clear that this is not an attempt to create that kind of atmosphere.

“I would like to clear up to the public here that this is not going to turn out to be any casino area where we’re going to have gambling and all of that," Dine asked. "It’s just for the restaurants that want to apply for a liquor license to help bring them to our city. We’re not promoting gambling or anything else. That’s not what this area is going to be devoted to.”

Most quality restaurants want to be able to serve beer and wine with their meals, Hodson said.

“This will allow all sorts of development of nicer, family-owned restaurants in the district," he said.

In fact, a casino is not possible if the riverfront district is established, Hodson said.

"That’s absolutely not what we want to see and not what we want to promote, and honestly, that’s nothing the city council or my office would approve," Myers said.

Myers would like to see a riverfront district established as soon as possible, he said. But most restaurants that have expressed interest would wait for planned development around the site of the former middle school, which is expected to be torn down this fall.

Myers hopes to see the site of the former middle school be redeveloped into a multi-use commercial area, with restaurants, stores, offices, apartments and townhouses. City officials have said some of that development could happen as early as summer or fall of 2019.

The city recently decided to save the gymnasium portion of the middle school and use it as an extension of the city’s community center.

Council member Bruce Armstrong expressed concern that establishing a riverfront district would diminish the value of current licenses considering they’re prized possessions at the moment and are often sold for top dollar.

Now, the only way a restaurant or bar can get a liquor license is by buying it from another restaurant or bar that is closing or moving. They can sell for as high as $200,000, a Greenwood restaurant owner said earlier this year.

If the riverfront district is approved, interested businesses could get a license for $1,000, which is a fee paid to the Indiana Alcohol and Tobacco Commission. The big difference between the new licenses and the established ones — besides cost — is that they would have to be renewed annually.

“They don’t have the same value as current licenses because they are only for this district,” Hodson said.

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Greenwood city council members are considering establishing a riverfront district, which would allow the city to provide more liquor licenses to interested restaurants and bars. It has already reached its cap determined by the state.

Number of liquor licenses in Greenwood: 34

Number of licenses available in a riverfront district: Unlimited, but the city and state would have to approve each one

Approval process: City’s Board of Public Works and state’s Indiana Alcohol and Tobacco Commission would have to approve each additional license

Bodies of water the district would be established along: Pleasant Creek, Pleasant Run Creek, Jolly Brook

Areas that would be included in the district: Downtown, Greenwood Park Mall, site of former Greenwood Community Middle School which the city is planning to redevelop

Types of restaurants the city hopes to attract: Upscale restaurants, steakhouses, family-owned businesses

Cost of current liquor licenses: $50,000 to $200,000

Cost of liquor licenses in a riverfront district: $1,000, but renewed annually

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