That makes a difference. The city might allow a bar to open there. Baylor might not like it but probably cannot stop it. Knowing Baylor, though, they might have insisted a clause in the contract banning booze within 1,000 feet of campus. Foster Pavilion is now part of campus.
Back in the day, when I was s student in the 1980s, Schlotsky's used to be across the street from campus on 8th Street. (I think it was at or near the Pizza Hut that's there now - my memory is rusty). Supposedly, Baylor insisted the city pass a resolution to ban alcohol being sold within a certain distance from campus, forcing Schlotzsky's to move. I don't know if this is really what happened but I believe it was possible then & is still possible now.
“Incline my heart to your testimonies, and not to selfish gain!”
Psalm 119:36