There is a Class D beer license. Subject to paragraph (2) of this subsection, the license authorizes the license holder to sell beer at retail at the place described in the license for on– and off–premises consumption. A license may not be issued for a drugstore. A license holder may file an application with the Board to convert the license to a Class D beer and light wine license. A license holder who files an application under subparagraph (i) of this paragraph shall submit an application fee of $750. If a license holder applies for a conversion under paragraph (1)(i) of this subsection, the Board shall hold a public hearing in the same manner a public hearing is held for the issuance of a new license. In determining whether to approve an application filed under paragraph (1)(i) of this subsection, the Board shall consider the privileges the license holder exercises under the Class D beer license. If the Board decides to approve an application filed under paragraph (1)(i) of this subsection, the Board shall restrict the privileges of the Class D beer and light wine license to allow the license holder to sell beer and light wine only during the days and hours specified in § 26–2002(d) of this title. The annual license fee is $500.