What does "locally unique" mean?

In the Wayfarer community, there appears to be disagreement about the term "locally unique". There seems to be 2 interpretations.
1. Something is the only business of it's kind in a local area. Or has something special about it to differentiate it from similar businesses in the area.
2. It is not part of a chain. The business is the only location worldwide.
Is either of these correct, or are they maybe both wrong?
Comments
Thank you for asking this after our discussion in the other thread, you have my vote for sure :)
Regardless of the outcome, can this be pushed into the criteria pages and the reviewing screen?