How to Start a Restaurant in Charlottetown

Open a restaurant in Charlottetown: City zoning and permits, the Health PEI food premises licence, and the PEILCC Dining Room licence.

Applies in: Prince Edward Island

The short answer

Zoning first, then the Health PEI food premises licence, then the PEILCC liquor licence — with fire approval in the middle. To open a restaurant in Charlottetown you need three separate approvals from three separate bodies: the City of Charlottetown for zoning and permits, Health PEI's Environmental Health for the food premises licence, and the Prince Edward Island Liquor Control Commission (PEILCC) for a Dining Room licence if you serve alcohol. This guide walks the Charlottetown mechanics only. The national restaurant guide covers the parts that are the same everywhere in Canada; nothing in this guide repeats it.

Step 1: Check zoning and permits with the City

The City of Charlottetown's Zoning and Development Bylaw prescribes the purposes for which land, buildings, and structures in each zone may be used, and it runs the permit system for development permits, building permits, sign permits, footing permits, demolition permits, and occupancy permits. Confirm the site is zoned for a restaurant and find out which permits apply to your address before you sign a lease. The City's planning office can be reached at planning@charlottetown.ca.

The City's Fees Bylaw provides for business licence fees, inspections, and other charges, and its schedules were revised by resolution on March 31, 2026. The schedules opened for this guide do not publish a restaurant-specific business licence figure, so this guide states no City fee — ask the City what applies to your premises.

Step 2: Apply for the food premises licence

Anyone wishing to operate a food premises in Prince Edward Island must apply for a Food Premises Licence. A food premises is any place where food is manufactured, processed, prepared, packaged, stored, handled, distributed, transported, served, offered for sale, or sold. All food premises must comply with the Public Health Act and the Food Premises Regulations.

The licence class depends on the size of the room:

  • Class 1A, $150 — food premises where food is primarily consumed on the premises and more than 25 seats are available for patrons, or food premises operating primarily as a supermarket, caterer, or retail bakery. Examples include restaurants, licensed premises, dining rooms, supermarkets, caterers, and retail bakeries.
  • Class 1B, $75 — food premises where food is primarily consumed on the premises and 1 to 25 seats are available for patrons. Examples include restaurants, licensed premises, cafes, and recreational facility canteens.
  • Class 2, $55 — food premises where food is primarily consumed off the premises.

A complete application must be submitted at least two weeks before the planned opening, and an application will not be reviewed until all of the listed items have been received, including the type of business, the completed application with up-to-date contact information and address, and the applicable fee. Allow at least two weeks to be contacted by an Environmental Health Officer to arrange for an inspection. The licence holder must have successfully completed a food safety course recognized by Environmental Health. Once the opening inspection is passed, the food premises licence is provided and must be posted in a visible location, and the establishment is then subject to random routine inspections.

Other agency approvals are part of the same checklist. Approval from Charlottetown Fire Inspection is required: it is at 89 Kent Street, Charlottetown, phone 902-629-4083. A liquor licence with the Liquor Control Commission is required for all alcohol service. For questions, contact Environmental Health at 902-368-4970, toll free at 1-800-958-6400, or at envhealth@ihis.org.

Food premises licences expire each year on March 31, except Class 4 licences for non-profit organizations, which do not expire. A food premises licence is not transferable: if a food premises changes ownership or physical location, a new, complete application is required.

Step 3: Apply for the PEILCC Dining Room licence, if you serve alcohol

A Dining Room licence authorizes the licensee to purchase liquor from the PEILCC and sell the liquor so purchased by the glass, and beer and wine by the glass or open bottle, with meals. A $200.00 non-refundable application fee must accompany the application, and the annual fee for a Dining Room licence is $250.00.

Only a Dining Room licence holder may apply for a Lounge licence. A Lounge licence authorizes the licensee to purchase liquor from the PEILCC and sell it by the glass, and beer and wine by the glass or open bottle, with or without meals. A $200.00 non-refundable application fee must accompany the application, and the annual fee for a Lounge licence is $250.00.

The PEILCC is at 3 Garfield Street, Charlottetown, phone 902-368-5710. A Caterer's licence is also available to the holder of a Dining Room, Special Premise, or Club licence with a fully operational kitchen, at an annual fee of $250.00, for catering events where meals are served with liquor at locations without a liquor licence.

The order that avoids rework

Confirm zoning and permits with the City, then submit the food premises licence application at least two weeks before the planned opening, with the fire approval in hand. Apply for the PEILCC Dining Room licence while the food premises inspection is arranged, and do not plan an opening date around either licence until the opening inspection is passed and the licence is posted. The expensive mistake is signing a lease on a space that cannot be zoned for a restaurant, or fitting out a kitchen before Environmental Health has seen the application.

What the opened pages do not state

Two points need stating plainly. The PEI food premises licence fees in this guide — Class 1A $150 and Class 1B $75 — come from the Government of Prince Edward Island's own published fee list, but the province's online application page itself would not load at build time: it showed a browser-verification screen instead of the application, so the fee class could not be re-checked on the live application page. Confirm the class and fee on the application before you pay. The City's Fees Bylaw schedules opened for this guide do not publish a restaurant-specific business licence figure, so this guide states no City business licence fee. The PEILCC page does not publish a processing time for a Dining Room licence, so this guide states none.

Related guides:

Opening a restaurant in Charlottetown, in order

  1. Check zoning and permits with the CityConfirm the site is zoned for a restaurant and find out which development and building permits apply
  2. Apply for the food premises licenceApply at least two weeks before the planned opening; a restaurant with more than 25 seats pays $150, and one with 1 to 25 seats pays $75
  3. Get fire approval from Charlottetown Fire InspectionCharlottetown Fire Inspection is at 89 Kent Street, Charlottetown, phone 902-629-4083
  4. Pass the opening inspectionAn Environmental Health Officer inspects the premises, and the licence must be posted in a visible location
  5. Apply for the PEILCC Dining Room licence if serving alcoholA $200.00 non-refundable application fee must accompany the application, and the annual fee is $250.00
  6. Open with the licences in placeFood premises licences expire each year on March 31 and must be renewed yearly

Questions people ask

What City approval does a Charlottetown restaurant need?

Zoning and permit approval from the City of Charlottetown. The City's Zoning and Development Bylaw governs the purposes for which land and buildings may be used and runs the development permit, building permit, sign permit, and occupancy permit system. Confirm the site is zoned for a restaurant and which permits apply before you sign a lease.

How much is the Charlottetown business licence for a restaurant?

The City's Fees Bylaw provides for business licence fees, but the schedules opened for this guide do not publish a restaurant-specific business licence figure, so this guide states no City fee. Ask the City's planning office at planning@charlottetown.ca what fee applies to your premises before you budget.

What food premises licence does a Charlottetown restaurant need, and what does it cost?

A food premises licence from Health PEI's Environmental Health. A restaurant where food is primarily consumed on the premises and more than 25 seats are available needs a Class 1A licence, at $150. A restaurant with 1 to 25 seats needs a Class 1B licence, at $75. Apply at least two weeks before the planned opening, and the licence holder must have completed a food safety course recognized by Environmental Health.

When does a Prince Edward Island food premises licence expire?

Food premises licences expire each year on March 31, except Class 4 licences for non-profit organizations, which do not expire. A licence is not transferable: if a food premises changes ownership or physical location, a new, complete application is required.

How do I get a liquor licence for a Charlottetown restaurant?

Apply to the Prince Edward Island Liquor Control Commission (PEILCC) for a Dining Room licence. It authorizes the licensee to buy liquor from the PEILCC and sell it by the glass, and beer and wine by the glass or open bottle, with meals. A $200.00 non-refundable application fee must accompany the application, and the annual fee is $250.00. The PEILCC is at 3 Garfield Street, Charlottetown, phone 902-368-5710.

Can a Charlottetown restaurant add a lounge?

Yes, but only a Dining Room licence holder may apply for a Lounge licence. A Lounge licence authorizes the sale of liquor by the glass, and beer and wine by the glass or open bottle, with or without meals. A $200.00 non-refundable application fee must accompany the application, and the annual fee is $250.00.

Sources

Get new guides by email

One short email when a new Canadian startup guide publishes. No spam — unsubscribe anytime.

We use your address only for the newsletter. Privacy policy.