CHICAGO (CBS) — Wal-Mart is suing the city of Chicago over the denial of a liquor license for it’s Express store on Chicago Avenue in the River North neighborhood.

WBBM Newsradio’s Mike Krauser reports, in November 2011, the city’s Liquor Control Commission denied Wal-Mart’s application to sell alcohol at its Wal-Mart Express store at 225 W. Chicago Av., saying in a letter that liquor sales there would create a law enforcement problem.

According to Crain’s Chicago Business, the letter noted the store is located near two methadone clinics, a single-room occupancy building, and public transportation lines – all of which it said attract people who struggle with addiction, mental illness, and homelessness.

The letter also said Ald. Brendan Reilly (42nd) and neighboring residents and businesses objected to the liquor license request.

Wal-Mart had said it would not sell fortified wines, or lower-end alcohol associated with loitering and pandering. It also offered to install 24-hour surveillance cameras that could be monitored by police.