PCN Application Process
Undue Concentration and the PCN Process
The City of Los Angeles limits the number of Retail Licenses that can be issued in any given Community Plan Area. Once a Community Plan Area has reached this limit, the area is said to have met Undue Concentration.
Applicants must know whether or not their proposed Business Premises is located in a Community Plan Area that has reached Undue Concentration.
Applicants are encouraged to identify the Community Plan Area of their proposed Business Premises here: https://neighborhoodinfo.lacity.org/
An example of how to identify a location’s Community Plan Area is provided below:
Currently, the following Community Plan Areas have reached Undue Concentration for Retail licenses:
- Central City
- Central City North
- Sherman Oaks - Studio City-Toluca Lake-Cahuenga Pass
- Sun Valley - La Tuna Canyon
Applicants with a Business Premises in a Community Plan Area that has reached Undue Concentration are not eligible for Phase 3 Retail Round 1 Application Processing. Instead, these Applicants must first receive a finding of Public Convenience or Necessity (PCN) from the Los Angeles City Council (City Council) before DCR can accept and process the application.
Applicants who identify their proposed Business Premises as being located in a Community Plan Area that has met Undue Concentration will automatically be routed to the PCN request process. The Applicant will be required to pay a $1,499 PCN fee within 10 calendar days of receiving an invoice from DCR. If the fee is not paid within 10 calendar days, the PCN request is deemed abandoned. If the fee is timely paid, the PCN request will be transmitted to the Office of the City Clerk for City Council consideration. PCN requests are not pending applications, do not receive a timestamp, and do not prevent another applicant from submitting a competing PCN request in the same area.
DCR will not accept, review, or process any application from an Applicant located in area of Undue Concentration unless there is PCN finding from City Council.