The city's newest, biggest beer maker is caught in the middle of a brewing jurisdictional dispute between the city and the Hamilton Port Authority.

Arts & Science, a partnership of two craft brewers, is hoping to open this summer to suds-lovers on the site of the former Lakeport brewery on Burlington Street East.

The outfit is applying for a special liquor licence that requires municipal consent.

Council voted Wednesday to give consent — but only if the landlord, the Hamilton Port Authority, settles a building permit dispute over the building.

John Romano, one of the brewery partners, said late Wednesday night he's hopeful the disagreement "won't drag out."

"I've heard from the port authority and councillors and I don't think anyone wants us to be in the crosshairs," he said.

At the same time, Romano said the liquor licence is needed if the brewery wants to invite tourists in to taste beer in a rapidly approaching summer season.

City staff told councillors while the port authority applied for a demolition permit for the building, it has indicated no permit application is forthcoming for the actual renovations.

Port board chair Mel Hawkrigg declined to comment on the matter late Wednesday, referring questions to top staffer Bruce Wood Thursday.

Coun. Jason Farr, who moved the conditional approval, said he doesn't want to put the brewery "in a tough spot," calling the new business an "economic boon" to the city.

But he added the city has to ensure everyone follows the same rules.

The port authority is a creature of the federal government and has clashed with the city over the years on jurisdictional matters.

Businesses dealing with shipping or navigation, for example, are sometimes not subject to municipal zoning.

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But Farr noted the port authority and its tenants have applied for 162 permits for various building projects since 1997.

"I don't know what's preventing them in this case from adding one more," he said.