Santa Monica Greenlights “Entertainment Zone” to Revitalize Third Street Promenade

Responding to the lingering financial effects of the COVID-19 pandemic and recent Southern California wildfires, the City of Santa Monica is taking a bold step to breathe new life into the iconic Third Street Promenade.

On May 13, 2025, the Santa Monica City Council unanimously voted and approved an emergency ordinance to establish an “Entertainment Zone” along the Promenade between Wilshire Boulevard and Broadway. This initiative aims to revitalize the area by encouraging foot traffic and boosting business activity within the area. 

What is the Entertainment Zone?

This new designation allows visitors to purchase alcoholic beverages from participating liquor-licensed businesses and enjoy those beverages outdoors while walking throughout the Entertainment Zone boundaries (similar to outdoor open container laws of New Orlean’s French Quarter or the Las Vegas Strip). It is part of a growing trend in California to rethink how public spaces can support community engagement and tourism, as well as economic and social activities.

Santa Monica’s Entertainment Zone designation is the first of its kind in California, outside of San Francisco, and follows the passage of California Senate Bill 969^[i] in September 2024. While California’s Alcoholic Beverage Control Act already had provisions for entertainment zones in San Francisco, SB Bill 969 amends various sections of the Business and Professions Code to re-define “entertainment zone” as a zone “created by a city, county, or city and county ordinance on or after January 1, 2025, that authorizes consumption of one or more types of alcoholic beverages on public streets, sidewalks, or public rights-of-way.” 

Balancing Economic Growth and Public Safety

The ordinance has received support from local business owners who see it as a much-needed boost. It is expected to  help stimulate the economic recovery and restore vibrancy in the area. 

However, some residents have voiced concerns about public safety and the potential for disruptive behaviors associated with open alcohol consumption – particularly in light of existing challenges with homelessness and crime.

Despite the concerns, the City Council decided to approve the ordinance with the implementation of a 6-month evaluation from the date of activation of the Entertainment Zone. The key performance indicators for the evaluation will include:

• Crime rates
• Calls for service
• Impacts on business revenue
• Foot traffic on the Promenade
• Feedback through business surveys

Rules for Participation

Both the City and participating businesses must implement clear operational and safety protocols before the Entertainment Zone officially launches. This includes:

• Installing appropriate signage
• Providing alcohol safety training for staff
• Enforcing the following rules for public consumption:
  • Participants and visitors must follow these specific rules:
    • Must be 21 years or older and wear an official wristband.
    • Alcohol must be purchased from participating and licensed businesses.
    • Alcohol to-go must be in non-glass containers.
    • Drinks must be finished before entering another business that sells alcohol.
    • Consumption is allowed only within the “Entertainment Zone” boundaries.
    • Alcoholic beverage drinks will not be allowed inside retail stores. 

What’s Next?

According to the City of Santa Monica’s Staff Report^[ii], “the regular activation will allow any individual business on the Promenade that is licensed to serve alcohol to easily participate in the Entertainment Zone by notifying [California’s Department of Alcoholic Beverage Control (ABC)] of their participation, signing a simple one-page participation agreement agreeing to comply with the terms and conditions of the ordinance and management plan, and receive free wristbands provided by the City for the purposes of identifying customers over 21 years of age.”

Furthermore, “this regular activation will be augmented by the Entertainment Zone’s launch event, anticipated to be Pride on the Promenade on June 21, 2025” – a vibrant event that also aligns with the City’s goals of community celebration and economic revitalization.

Stay tuned for updates.

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^[i] Senate Bill 969 Alcoholic Beverages -  entertainment zones: consumption: https://leginfo.legislature.ca.gov/faces/billNavClient.xhtml?bill_id=202320240SB969

^[ii] City of Santa Monica Staff Report: https://santamonicacityca.iqm2.com/Citizens/Detail_LegiFile.aspx?Frame=&MeetingID=1435&MediaPosition=&ID=7059&CssClass=