There are three liquor stores within a mile of each other and we already have half empty strip malls in the area, the location was stupid.
The location is great. Middletown collects a lot of commuter traffic towards 228 in the morning. There is no gas station on that side of the road from that area until Accokeek. The 7-11 will see good business from the commuters. Also, lots of neighborhoods around there, this was built on a 'neighborhood commercial' parcel and represents exactly the kind of business they are intended for.
Now for the liquor store. MD is very liberal in their licensing of liquor stores ('the free state'). In many other states, there are stand-offs between liquor stores and schools, often 1/2 a mile (because they know that students are lazy). Other states also restrict the density of liquor licenses to x/10,000 residents and requires individual stores to be at least one mile from each other. MD doesn't do that, and you can have a place like Bryans Road where 3 out of the 4 corners of an intersection are opccupied by liquor stores.
If the application for the permit had all the right pieces of paper and fees attached and it fulfills the letter of the law, the board of liquor control has no latitude to disallow it (unless they want to spend their budget on litigation with the business owner).