PORT ANGELES — State-owned liquor operations in Port Angeles, Port Townsend and Sequim are among the 167 sold in a statewide auction.
The state Liquor Control Board announced Monday that bids for the rights to the licenses totaled $30.75 million statewide.
According to a list of the auction winners obtained through a public records request, the winning bids for North Olympic Peninsula liquor operations were:
— $125,100 for the Port Angeles liquor store, 1331 E. Front St. Sold to Abi Eshagi of Woodinville.
— $63,200 for the Sequim liquor store, 1400 W. Washington St. Sold to Kulbir Singh of Indiana.
— $54,900 for the Port Townsend liquor store, 2005 E. Sims Way. Sold to Singh.
Eshagi won the rights to two other liquor stores. Singh won the rights to seven others.
The state owns the licenses but not the buildings they occupy.
New owners will have to negotiate leases with landlords and purchase inventory.
If they can’t come to a deal on a lease, they can resell the license or relocate within a mile of the current location.
“The contract liquor stores were not part of this action,” state Liquor Control Board spokesman Mikhail Carpenter said.
The five contract liquor stores on the North Olympic Peninsula are the Forks liquor store at 180 N. Forks Ave., the Clallam Bay liquor store at 16713 state Highway 112, the Port Hadlock liquor store at 690 Nesses Corner Road, the Brinnon liquor store at 91 Corey Lane and the Quilcene liquor store at 294700 U.S. Highway 101.
Voters required the state to dismantle its liquor business when they approved Initiative 1183 last fall. The measure allows stores larger than 10,000 square feet to sell liquor.
Successful bidders won the exclusive right to operate a liquor store at that location.
Because the state does not own the properties, the bidders still must negotiate a lease as well as acquire a liquor license and stock their stores.
The highest winning bid was $750,100 for a liquor store in Tacoma.
The lowest winning bid was $49,600 for a liquor store in Spokane.
The 45-day online auction ended amid a flurry of activity at 6:25 p.m. Friday.
Carpenter said he was not surprised that the auction drew so much interest.
“I think it’s a great business opportunity,” he told the Peninsula Daily News.
“It’s been profitable for the state.”
Pressure is on to move the process forward, because the measure takes effect June 1.
More than 1,000 retailers, including Target and large beverage retailer BevMo!, already have applied to begin selling liquor as a result of the initiative.
Initiative opponents have filed suit in court, arguing that it violates state rules requiring initiatives to address only one subject because it includes a provision for public safety funding.
A judge already rejected that claim, but opponents have appealed to the state Supreme Court.
The high court will hear arguments May 17.
The entire measure would be nullified if the justices determine that voters would have rejected the initiative without the safety-funding provision.
Nearly 20 states control the retail or wholesale liquor business. Some, such as Iowa and West Virginia, have relinquished partial control in recent years, but Washington would be the first in that group to abandon the liquor business entirely.
State stores carry more than 1,400 products, including locally produced wine and spirits, and state officials have said the auction could be a golden chance for entrepreneurs looking to serve a niche market.
The state’s spirits industry is growing, with more than 20 distillers producing gin, whiskey and vodkas distilled from Washington-grown wheat or potatoes.
Washington wineries now top 700.
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The Associated Press contributed to this report.
Reporter Rob Ollikainen can be reached at 360-452-2345, ext. 5072, or at rob.ollikainen@peninsuladailynews.com.
