Bay Area/ San Francisco/ Retail & Industry
Published on March 15, 2016
The Cellar Surrenders Liquor License, Entertainment Permit Following Fatal StabbingPhoto: Kevin Y./Yelp

The Cellar (685 Sutter St.), the site of the recent fatal stabbing of a popular DJ and Apple analyst, voluntarily surrendered its liquor license and its entertainment permit and is closed to the public. Its website still advertises that it's open for private events, but we hear it's in the process of major changes.

SFGate reported that Joseph Razo, 29, died after being stabbed outside of the Cellar by a mob in January. SFPD Central Station Capt. David Lazar wrote in his weekly newsletter on March 10th, "The Cellar has been a problem location for the residents and merchants for some time. It is the location of our only homicide [in Central] this year. The owners have surrendered their Alcohol Beverage Control license along with their Entertainment Permit. This decision will make for a safer environment at this location."

Jocelyn Kane, executive director of the SF Entertainment Commission, said Goodman did surrender his entertainment permit, but that he's been in contact with her office and SFPD and "wants to do the right thing." She added, "He's a very responsible person. I know he wants to do what’s good for the neighborhood and the city. And he’s got a lease, so he has a financial responsibility."

Goodman can apply to reinstate the entertainment permit, Kane said. But for now, she added, he's given up his permits and licenses "so we can all be on the same page of his new direction."

Kane told us that Goodman plans to change the business "substantially in terms of branding and marketing" and is working on changing partners and making other management decisions. "In the meantime, he spoke with us and the police department about what he believes his intentions are going to be," she said. "It's important for us to scrutinize what the intentions are moving forward at this location. We want to be mindful of how we move forward.” Her office, she said, promotes "responsible hospitality."

We checked with California Alcohol and Beverage Control to ask why the Cellar surrendered its license and spokesperson John Carr said we'd have to ask the license holder why he did so. We didn't receive a response by deadline to emails sent to Keith Goodman, listed as the licensee, through the contact email listed on the Cellar's website. We asked Carr if Goodman could ask to reinstate the liquor license, and he said yes, a license holder has one year in which to ask for a reinstatement, or transfer or sell the license.

In the meantime, the Cellar's website says it's open for private events. This is allowed, according to ABC rules. Carr sent us section 23399.1 of the code, which says no license or permit is required for serving alcohol as long as it's not being sold, the venue isn't open to the public during the time alcohol is being served or disposed of, and the premises are not maintained for the purpose of keeping, serving, consuming or otherwise disposing of alcoholic beverages. (A full copy of the 2016 California Alcohol Beverage Control Act is online; this section is on page 152.)

However, Kane said the venue isn't allowed to host any entertainment, whether live or recorded (such as DJ music), because it surrendered its entertainment license. So that would prevent it from hosting most types of events. "It would be an odd way for him to activate that space," she said. "It’s not an event space, necessarily." And, she said, Goodman has emailed the commission saying he won't operate until he gets a plan together, so she's not sure why the website still advertises private event hosting.

We'll keep you posted on the Cellar's plans for the fut.