Mayor says funds
will help to boost
general surplus
Freehold Twp. sells new
liquor license for $1M
Mayor says funds
will help to boost
general surplus
By linda denicola
Staff Writer
After reviewing three bids submitted for a new liquor license, the Township Committee in Freehold Township has chosen to award the available retail consumption liquor license to Ruby Tuesday Inc.
As it turns out, the firm’s winning bid is apparently the highest amount ever paid for a liquor license in New Jersey.
According to information provided by township officials, the restaurant chain submitted the highest bid, $1,013,000, of the three received.
The losing bids were submitted by Jersey Freeze Inc., which bid $1,010,000, and Free Race Mall Rest II, L.P., which bid $876,000.
The availability of new retail liquor licenses has been a boon for the township. In addition to awarding two licenses over the past six months, the committee agreed to go out for bid on another new license next month, with the goal of awarding it by the end of the summer.
"We’re going to set a minimum bid amount of $1 million," Mayor Raymond Kershaw said. "Our intent is to take the money we get from these liquor licenses and put it in general surplus to control tax increases. We need something to offset a lack of funding from the state."
Kershaw said that according to the Division of Alcoholic Beverage Control, Ruby Tuesday Inc.’s winning bid of $1,013,000 is the largest amount ever received for a liquor license. He attributes that to growth and development in Monmouth County.
"Everyone is interested in coming here," he said.
Apparently representatives from Ruby Tuesday support that claim. Kershaw said the firm’s representatives told him the Ruby Tuesday restaurant at the Freehold Raceway Mall has the highest volume of all their restaurants in the United States.
"Right now they are working off the [liquor] license that the mall has, so we don’t know if [Ruby Tuesday Inc.] will use it there or build another restaurant somewhere else in town," the mayor said.
According to the 2000 census, the population of Freehold Township had increased enough from 1990 (24,710 residents) so that officials were allowed to sell three new retail licenses. The 2000 census put the population at 32,470.
In December, the committee approved the issuance of a new consumption license and turned down two applicants for the second license. The license was awarded to WHF, a subsidiary of JDN Development Corp., a developer that has an application filed with the Planning Board for a large project on Route 537 which includes department stores, restaurants and a hotel.
WHF plans to construct two restaurants under the one license at the proposed site of the development project on the south side of Route 537 about a half-mile east of Stillwells Corner Road. According to Duane Davison, township attorney, WHF can do that as long as the restaurants are connected somehow with a common area such as a parking lot or connected buildings.
Township Administrator Tom Antus said the first liquor license, to WHF, was awarded by the traditional method.
Companies approached the Township Committee and made presentations about what they were going to build, how many people they would employ, the tax benefit to the township and a voluntary payment to the township. WHF paid $600,000, Antus said.
He explained that the second license was awarded by sealed bid, with the highest bidder getting the license. That was Ruby Tuesday Inc.
Township officials weren’t ready to award that second license in December, so they let the original resolution lapse on Feb. 5 and started the process over again. They approved a resolution on March 25 that allowed them to go out for bid for the second license.
In addition to WHF, the bidders for the first available license included Charlie Brown’s at the Mount’s Corner shopping center, Wemrock Road and Route 537, and Legal Seafood at the Freehold Raceway Mall.