How Are Hotels and Lodging Properties Licensed to Serve Alcohol Across Bars, Room Service, and Event Space?

On this page

A hotel that serves spirits can run its bars, room service, and event space from a Mixed Beverage Permit (MB), because the Alcoholic Beverage Code gives a hotel’s MB a reach beyond the bar itself: drinks may be delivered to guest rooms and anywhere else in the hotel building or grounds, except parking areas and another alcohol business’s premises. Minibars also operate under that MB rather than under a separate permit. What the hotel still has to plan is how its outlets are laid out as licensed premises, how minibars are stocked and keyed, and whether a package store on the property is compatible with the rest.

Delivery across the property

Section 28.01(b) lets the holder of an MB for an establishment in a hotel deliver mixed beverages, wine, and beer:

  • to individual guest rooms;
  • to any other location in the hotel building or on its grounds, such as a pool deck or a meeting room;
  • whether or not the place of delivery is part of the licensed premises.

Two places are excluded: a parking area, and the licensed premises of another alcoholic beverage establishment. The same subsection lets a hotel permittee allow a patron or visitor to enter or leave the licensed premises carrying a drink in an open container that appears to be for present consumption, so a guest may carry a drink from the bar into the lobby.

Minibars

Chapter 51, titled “Operation of Minibars” since September 1, 2021, puts minibar sales under the hotel’s MB, and TABC’s license and permit types page describes the MB itself as including authority to provide guestroom minibars in hotels. The chapter sets the operating rules:

Topic Rule Section
What may be sold distilled spirits in containers of one to two ounces; wine up to 13 fluid ounces; malt beverages up to 12 fluid ounces 51.02
Access a minibar key separate from the room key, given only to employees or registered guests, never to anyone under 21 51.03
Stocking only the MB holder's employees, at least 18 years old; no restocking during hours the MB may not sell; no more than 40 containers at a time 51.04
Purchasing and tax purchases and sales are made under the MB and taxed as MB sales 51.07
Vending no coin-operated machines 51.09

Several outlets on one property

  • Bars and restaurants. If the hotel adds a Food and Beverage Certificate, each licensed premises with its own bar needs its own food service facilities.
  • The premises diagram. A hotel or motel location files a premises diagram with its application, showing which areas are licensed.
  • Hours. A registered hotel guest may be served in the hotel bar at any time, an exception to the ordinary sale and consumption hours.
  • A package store. Section 102.05 allows a hotel to hold a package store permit, MB, wine and malt beverage retailer’s permit, and retail dealer’s license together if the businesses are completely segregated. Section 51.06 then narrows that: an MB holder that operates minibars may not have an interest in a package store permit, and a package store may not be located on the premises of a hotel where an MB holder operates minibars. A property that wants both a liquor store and in-room minibars has to choose one before applying.

Event space

Banquet halls, ballrooms, and conference rooms inside the hotel building or on its grounds fall within the MB’s delivery reach, so a hotel can serve events held there under the permit it already holds. An event the hotel caters away from the property is a different question, handled through an MB holder’s authority to sell at temporary locations.

Planning the permit around the property

  1. List every place alcohol will be sold or served: bars, restaurants, room service, minibars, pool and outdoor areas, and event rooms.
  2. Decide which areas will be designated licensed premises on the diagram and which will be reached by delivery.
  3. Set minibar procedures for keys, stocking staff, container counts, and restocking hours.
  4. Decide between minibars and an on-property package store, since Section 51.06 does not allow both.

This article is general information about Texas alcoholic beverage law, not legal advice, and reading it does not create an attorney-client relationship. Statutes and TABC rules change; confirm current requirements with the Texas Alcoholic Beverage Commission, the relevant city or county, or a licensed Texas attorney before acting.

Leave a comment

Your email address will not be published. Required fields are marked *