Despite objections from local residents and businesses, Calderdale Council Licensing Committee decided owner Sukvinder Bahee can serve beer, wine and spirits with his traditional English food.
But the committee says Mr Bahee must stick to strict conditions.
They include serving alcohol only to customers eating meals and a personal licence holder must be on the premises when alcohol is sold.
No alcohol can be taken outside or sold to take away with food.
The licence is valid from 11.30am to 10pm.
Oscar Germain, 54, will manage The Lodge on a day to day basis.
At the meeting, Mr Bahee's solicitor Steven Pollitt said: "Mr Bahee took over The Lodge in 2006 and over the course of time he has had many requests for alcohol.
"There are 225 to 275 people who dine there during the week. It's not a huge operation.
"The idea that this is a drinking emporium or a cheap boozer is a misunderstanding.
"It will not cause any of the problems perceived."
Eric Trickey spoke at the meeting on behalf of a dozen objectors who attended.
He said residents approved of a licence that permitted drinking inside The Lodge, but disapproved of alcohol and drinking spilling out on to the moor.
He said residents also feared parts of the moor becoming a no-go area if drinking was allowed.
"Savile Park has a special place in the hearts and minds of people. We worry about the effects of developments," he said.
After the meeting Mr Trickey said: "We were more concerned about the sale of alcohol outside. If it comes back to the licensing committee for a variation I'm sure we will fight that."
Stephen Gow (Lib Dem, Skircoat) also said: "The right decision has been made."