Sam Fakouri, the owner of the proposed store, balked at O'Connor's request that the store close at 10 p.m. nightly, in accordance with the wishes of nearby residents, said Nick Haak, an aide to the alderman.
"The conditions were just too strict," Haak said.
The opening of a liquor store at 6060 N. Northwest Highway would have required O'Connor to lift a ban on liquor stores in the main Norwood Park business district and obtain a special-use permit and liquor license from city officials.
Residents who attended a community meeting in August gave the proposal the green light — provided Fakouri met a list of conditions designed to prevent the 3,500-square-foot store from becoming a nuisance.
The restrictions also were expected to include a ban on the sale of half-pints of liquor, single-serving containers of beer, wine and malt liquor as well as liquor for sale for less than $6.99.
There are no other liquor stores in downtown Norwood Park.
An insurance agent is expected to open an office in the coming weeks in the strip mall, which also includes a Subway sandwich shop and Mo Dailey's Pub and Grille, which serves beer, wine and spirits, Haak said.
For more neighborhood news, listen to DNAinfo Radio here: