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Bill

Bill

A 10620

Exempts certain parcels of land from licensing restrictions prohibiting manufacturers, wholesalers and retailers of alcoholic beverages from sharing an interest in a licensed premises; repealer

2025 Regular Session Introduced by Tony Simone

Allows a Manhattan retail liquor license on a specific block to own a manufacturing interest elsewhere, with safeguards and a lease-based sunset.

SUBSTITUTED BY S9273
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Bill Summary · A 10620

Overview

Bill A. 10620 (2025-2026, New York) proposes to exempt certain parcels of land in Manhattan from existing licensing restrictions that prohibit manufacturers, wholesalers, and retailers of alcoholic beverages from sharing an interest in a licensed premises or selling alcohol retail for consumption on or off the premises. The bill would add a specific geographic parcel description in Manhattan to these exemptions, allow limited cooperation between holders of different licenses on those parcels, and provide for expiration and leasehold conditions tied to the exemption. It also includes a repealer mechanism and transitional provisions related to a sale or transfer of the described parcels.

Main purpose and intent

  • Create an exemption from certain Alcoholic Beverage Control Law restrictions for a defined block of land in Manhattan.
  • Allow a retail licensee located on that land to hold an interest in a manufacturing business (inside or outside the U.S.) on the same parcels, under specified conditions.
  • Clarify conditions under which such an interest can exist without violating prohibitions on manufacturers, wholesalers, and retailers sharing an interest in a licensed premises or selling alcohol for on-premises or off-premises consumption.

Key provisions and changes

  • Subdivision 25 of section 105 (A.B.C.L.) is repealed and replaced with a new subdivision 25.
    • (a) The exemption applies to an interest in a manufacturing business (anywhere in the U.S.) held by a business/entity located on a precisely described parcel in Manhattan, bounded by West 48th Street, Rockefeller Plaza, West 49th Street, and Fifth Avenue, including a party-wall segment. The description defines a specific block/land area.
    • (b) Conditions for retail licensee interest in manufacturing:
    • The retail licensee’s interest in the manufacturing business must have been acquired before the effective date of this subdivision.
    • The retail licensee shall not purchase alcoholic beverages for resale directly from the manufacturer. However, beverages acquired via a consignment process under section 99-g (sale on consignment) are not considered a direct purchase for resale.
  • Additional amendment to section 106:
    • Subdivision 13 gains a new paragraph (a-2) with provisions mirroring the parcel description and adding manufacturing interaction rules for on-premises retail licenses in Manhattan.
    • (a-2)(ii)(1) The retail licensee’s interest in manufacturing must have been acquired before the effective date.
    • (a-2)(ii)(2) The retail licensee shall not purchase alcoholic beverages for sale at retail directly from the manufacturer.
  • Effective date and sunset mechanics:
    • The act takes effect immediately.
    • If the described parcels are sold or transferred, or if the leasehold is terminated or not renewed, the exemption provisions expire unless the licensee immediately obtains a leasehold as part of the sale/transfer.
    • The licensee’s leasehold must be in place for the exemption to continue; upon lease end, the related exemption provisions are repealed.
    • The State Liquor Authority (SLA) must notify the Legislative Bill Drafting Commission of sale/transfer or lease termination to maintain accurate records.

Who/what is affected

  • Retail on-premises liquor licensees located on the specifically described Manhattan parcel (bounded by West 48th Street, Rockefeller Plaza, West 49th Street, and Fifth Avenue).
  • Manufacturers (inside or outside the U.S.) whose interest is held by a business or entity located on the same described land parcel.
  • The State Liquor Authority, which administers liquor licensing and would enforce/monitor compliance with the new provisions and oversee filings related to sale, transfer, or lease termination.

Procedural and timeline aspects

  • Immediate effect upon enactment.
  • Repealer-based mechanism: the new exemption provisions are temporary in effect unless maintained by continued leasehold arrangements; they expire if the parcel changes hands or the lease is terminated without a replacement lease.
  • If a lease is obtained as part of a sale/transfer, the exemption remains in effect for the duration of the lease; upon lease termination, the exemption expires.
  • SLA must notify the Legislative Bill Drafting Commission of relevant actions to keep the official codified text up to date.

Practical impact and considerations

  • The bill creates a tightly scoped permission for cross-ownership interests between retail liquor licenses and manufacturing interests within a defined Manhattan parcel, relaxing some restrictions while imposing specific safeguards (e.g., no direct purchases from manufacturers by the retailer).
  • It provides a potential pathway for integrated or mixed-use licensing arrangements in a high-density commercial area, potentially affecting real estate, licensing strategies, and retail/manufacturer collaboration.
  • The sunset/lease-based mechanism ensures ongoing legislative control and requires active leasehold arrangements to preserve the exemption.

Compiled from official sources — confirm details with the bill’s official record.

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