In its bankruptcy filings, Cannon’s Chophouse, the newly closed restaurant in downtown Meadville, lists its liquor license as its most valuable asset, worth an estimated $60,000.
The license’s value on the open market is likely to become more clear over the next several weeks.
Cannon’s is close to reaching a deal to sell the liquor license and other assets to raise funds to pay creditors whatever it can to close out its Chapter 11 case in U.S. Bankruptcy Court in Erie, the restaurant’s bankruptcy lawyer said.
Cannon’s is looking “to sell the assets in a way that is somewhat beneficial to the bankruptcy estate,” attorney Michael Kruszewski said at a court hearing on Tuesday.
He told U.S. Bankruptcy Judge Carlota Bohm that he has identified a prospective buyer and intends to file a sale motion within a week or two.
Liquor licenses usually change hands in private sales, a situation that keeps the sale prices confidential. The sale of the Cannon’s liquor license through a public court action could provide a look at the market value of a liquor license in northwestern Pennsylvania.
What happened to Cannon’s reorganization plan?
The imminent sale of the liquor license also signals that Cannon’s