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SR-7A (4)~~~ - FCD:SF:DKW:DB:f:\plan\share\council~strpt~cupl7cc - Council Mtg: April 11, 1995 Santa Manica, Californ~a APR 1 ~ ~q~ T0: Mayox a~d City Council FROM. City staff SUBJECT: Appeal of P~anning Cornrnission Denial of Conditzonal Use Permit 94-017~ 1233 Third Street Promenade Applicant: Richard Grossl/Santa Monica Sports Club Appellant: Richard Grossi/Santa MoniCa Sports Club INTRODUCTION This ~eport recomrnends that the City Council deny the appeal and uphold the Planning Commission's denial of CUP 94-Q1.7 to allow the establ~shment of a Typ~ 41 (On-Sale Beer and Wine for a Bona Fide Public Eatir~g Place) alcohol licznse to be issued in con~unction with an existing cafe/juice bar within a sports club located on the second floor. BACKGROUND Planninq Commission Action ~n Decembex 7, 1994, the Planning Comm~ssion denzed CUP 94-017 based on the recomm~ndation of staff Planning Commissioners expressed concern r~gardin~ the m~nimal kitchen facilities at the si~e, the Police Departrnent's recommendation of denial, the compati~il~.ty of th~ proposed alcohol use with the Th~rd Str2et Promenade, and the fact tha~. the food use at thp establishment is lnc3dental to a nealth club. The ~lanning Commission's Statemen~ of Official Action is conta~n~d in A~tachmen~ D. ~~ ,~,.~ - 1- APR 1 i i995 4 Appeal On Deeember 15, 1994 the applicant appealed the Planning C~mmisszon`s denial based on the folZawz~g statement Applzcation was dznied ~or reasons cther than those dzscussed a~ the pub~ic eo~ment portian af the public hear~ng. ~he Board [sic] was apparently unaware that approvals have already bzen issued ~or up to 5 new restaurants Wlth l~quar permi~s on th~s bl~ck that do nat yet exist. Th~refore holding this approval for a largPr applicant in the future makes no sense Tre Appeal form is contained in Attachment E. The minutes o~ tha Decem~er 7, 1994 meet~ng of the Planning Commission indicate that the applicant and four mernbers af the public spoke regarding the proposed permi~. The reccrd indicates that pr~o~ to closing the public hearang, ~he Planni~g Commission questioned thA applicant regarding the operation ard physical layout of ~he restaurant, ~he manner in wh~ch alcohol would be served, and the possibilzty of future expansion of food and alcoho~ service at the street ~evel. Wi~h the exception Qf the possi~le future expansion, which was no~ a part of the appiication before the Commission, the concerns expressed by the Planning Comm~ssion during the public commer_t per~od are reflected in the Statement of D~ficial Action. Proposed Pro~ect Proposed ~s a Type-41 (On-Sale Beer and Wine for a Bona Fide Public Ea~zng Placey alcohoi Iicense to b~ issued in conjunc~ion with an existing 9-seat cafe/~uice bar within an existing sports club. When reviewed by the Planning Commission the existing use - 2 - associated with the proposed alcQhol l~cense included 195 square feet of szrvice area, 154.5 sq~iare teet of seatzng area, 9 bar seats, and no waiting area seats. The applzcan4 has s~nce added a 10-seat, 3-table, 75 square foot seating area ta the existing facility, and, as shown in the submi~ted plans, he propases to add an additional 12 seats on an existing secor:d =1oor balcony. The cafe o~er~tes between the hours of 5 a m and midnight and the appl~cant propases to sell beer and wine between the hours of 1Z:30 a m. and mzdnight. The estabZish~ent wouZd not have ~ive entertainment. The existing ~u~ce bar/cafe is loca~ed within an en~ry area of the gymnasiam and is open to the gen~ral public. I~ operates as the ^hird Street Natural Cafe and has a menu of salads, sandwich~s, burgers, burritos, ~uices, shakes and srnaathies. ~o s~reet-level signagP ex~s~s for ~he ju~ce bar/~afe, but the applican~ has indicated that he plans to appiy to the Architectural Review Board for additional s~gnage at the sit~ to identify thz ~uice bar/caLe. Alcohol L~censes In Area The sub~eC~ property is locat~d within Block 4 of ~he Third Str~e~ Ma11 SpeciflG Plar_ (and future Bayside Distric~ Specific Plan; area and is sub~ect to the requirements of Ordinance 1746 (CrS} Pursuant ~o Ordznance 174& (~CS}, ~~~ck 4~s al~owed a maximum o~ ia "'ype 41 or 'Type 47 al~ahol licenses; a total o~ S af these licenses are currently be~ng utiZ~zed by other - 3 - establishments. The proposed pro~ect is cansistent with the parameters established by Ordinance 1746(CCS}. Police Department Comments The Police Department reco~mends denial of this application because the Department deterrnined that the ~itchen faciliti~s were inadequate ~a accommodate faod sales as the primary use at the property. The rn~morandum recommending den~al is contained ~n Attachment F. Neiqhborhood Compatibility Two schools exist within a 500~ radius of the pro~ect site Crossroads Elementary at ~229 4th Street and Weekday Nursery Schoal at 1248 2nd Street Approximately 39 persons reside within a 500' radius of the site. ~o placzs of worship ar parks are located within a 50C' radius. Conclusion Plann~ng staff recarnrnends that t~e City Council deny the applicant's appeal and uphold the Planning Commission's denial. The pr~mary use of ~he sub~ec~ business ~s a~ealth club rather than a restaurant, with approxirnately 7,000 square fe~t devoted to gym uses and appraximately 425 square fee* devoted to food and beverage s~rvice (~ncluding kitchen area;. If the subject fac~lity were not in the Bayside District, the original permitted food us~ wauld have fall~n under the category of incidental food service rather than restaurant Fur4hErmore, the upsta~rs - 4 - location of the juice bar/cafe is ~ot in keepz~g with the intent of the Draft Baysi~e Speci~ic Plan ~o pramote a pedestr~an- f riendly atmosphere Because of ~he ~imit on the total number of alcohol uses permitted on each blocx in the Bayside District area, the nature of each alcohal p~rmit granted is especially iMportant. Given tre small k~tchen size and the lack of permanent k~tchen fixtures such as an industr~al stove or oven in tne sub~ect esta~lishrnen~, the poten~ial exists for creatzng a bar-l~ke environment where people come to drink alcohol rather than eonsume food or no~- alcoholic beverages Based an these factors, and the f~ndings cor_tained below, Planning staff reco~mends that the Council deny thz appeal. ~UDGET/F~NANCIAL ~MPACT The recommendation presented zn th~s repor~ do~s not have any budget or fiscal irnpact RECOMMENDATION It is respectfully recommended that the Council deny the appeal and uphold the Planning Commission's denial of CUP 9a-017 based on the follow~ng findings: CONDITIDNAL US~ PERMIT FINDINGS 1 The proposed use is one conditionally permaCCed w~thin the sub~ect dzstr~ct and com~laes urzth ail of the applicable prcvisions or the "Czty of Santa Moni~a CoT~p~ehensive Land Use and Zoning Ordinance", in that an alcoral license in con~unct~on with a food service ~s conditionally permitted - 5 - in the C3C dzstrict of the Zoning OrdinancE and in the Third Street Ma~I Specific Plan. However, given the minimal k~tchen facilities on-sit~ and the inciden~al nature of the food-serving use relative to the health club use at the site, a denial of th~ proposed 1~cense is consistent wi~h SMMC Section 9.04.10.18.010(c), which states that "approval [shall be] based on the specific type ot alcohol outlet, ~eighborhood ~ocat~on, and potential prablems involved."' Specifically, because ot ~he minimal seating and kitchen facilities, the type of alcohol outlet proposed has the potential ~o be operated ~n a bar-like rnann~r, thereby result~ng ~ n the noise and disorderly behavior often asscciated with public prernises Fur~hermore, the establishment as located aiaove the ground floot in a rnanner which is nat p~des~riar friendly arsd wrich is inc~nszstent with Land Ilse and Circula4ion Elern~nt Policy 1 3.4 and Ob~ective 1.4 2 The proposed usz would impair the integrity and character af ~.he da.strict in which it is to be es~ablished or located, in that the C3C District and Th~rd S~reet Mall Specific P~an permit alCOhol uses that are ancillary to focd ~sses, and the praposed aleohol use would be anczllary to a health club use to which ~oocl service is incidenta~, ratnex tha~ ancil~ary to a~or_a fide pating establishment. 3. Th~ propos~d use is not compatible with any of th~ Iand uses presently on the subject parc~l if th~ present land uses are ~.o re~r~ain, in that the issuance of a Type 41 (On- Sale Beer and W~ne for a Bona Fide Public Eat~ng Place) alcohol license is incampatible with the allowed ~uice b~r w~th lirnited k~tchen facilities located w~.thin an approxlr~ate~~r ~, 00~ square foat health c~ub because fooc~ serv~ce is not the primary function of ~he establishment. 4. The nropased use would be incompatible with existing and permissible land uses wi~hin the district and ~he general area in wr~.ich the proposed use is to be located, in that the zoning of the site conditionally per;ni~s the issuance of an alcohol license for bona fide public eating places, and the existing approved ]L11C2 bar/ca~e is incid~ntal to a health club use and does not contain sufficient facilities ~o ensure that it will be continually utilized as a bona fide public eating plac~ Furthzrmore, whi~~ Third Street Mall Speci~~c Plan Pol~cy 4 1.5 encourages the deve~opment of eatin~ and drinking establishments ~c promote econom~c activity ir the area, the size and locaLion of the cafe, which may znhibi~ general public access, and the cafe' s opera+~ion, wi~ich is incidenta~ to the primary hea~th club establishment, will not serve to promote ac~ivity in the area. - 6 - 5. The physica~ locatzon ar placement of thE ~se on the site is incnrnpatib~e wsth and re~ates unharmaniously to the sur~aunding neighlaorhood, ~n that the pxoposed Type 41 alcoho? license is permitted only for a bona f~de public eating place, and the incidental nature of the food service relative to ~he health club use le~ds itself to ~he use af ~he alcohol license in a manner similar to a public prernises, which is associated with alcohol problems in th~ area an~ far which a licens~ has nct been filed. 6. The proposed use is inconsistent with the goals, objectives~ and policies of the Genera~ ~lan, in ~hat Policy 1.2.4 of the Land Use Element of 4he General Plan states ~hat the City shall "l~mit or contro~ the locatior~ or oth~rwise mz~zgate ~he impact of commerczal uses such as alCOho1 outlets" city-wide, and the praposed alcohol out~et has the pote~tial to be utilized as a public prernises es~abl;shmen~ and that, while Thixd ~~reet Mall Specific Plan Policy 4 1.5 encourages the developmen~ of eating and drinking establishments to promote economic activity ~ r. thz area, the size and location af the cafe, which may lnhib?t general public access, and the cafe's operatian, which is incidental to the primary health club establishrnent, will not szrve to pro-note activity in the area. 7. The proposed use would be detrirnen~al to ~.he public interest, healUh, safe~y, canvenience, or g~neral we~fare, in that the proposed permit would allow alconol service in a~sociatian with a food ase wh~ch is incidental ta a health club and would have the potential ~a be utilized as a publ~.c prernises 8. The praposed use will nct result in an overconcentxation of such uses in the immediate vicir.i~.y, in that the propased alcahol license ~s a Type 41 l~cense and one addational ~'ype ~1 or Type 47 llcen.se ~s permitted witrin Block 4 of the Third Street Promenade, wnere the propos~d use is locatecc. However, given the layouL of the proposed operation and the Zack of szgnificant kztchen faciZities, the propased use has the potent~al to be operated e~fectively as a general prem~ses, which is a type cf ou~le~ that has cor.tributed signif~.cantly ta alcohal related probierns ~n the area ALCOHOL OUTLET FINDINGS ~. The proposed use and locatien ls not in accordanc~ with good zoning practice, is not in the publ-c interest, and is not necessary that substantial justice be done in tnat ~he a~.coho~ ~lcense wauld. be far a juice bar~cafe ~ha~ is ~ncidental to the prirnary health clu~ use and that a'_cohol in this type of facility cauld lead ~o a prolife~at=on oi - 7 - alcohol ou~~ets in estab~ishments that are no~ primar~ly food-serving operations 2 Thz praposed use wouZd adverse~y affect the welfare o~ ne~g~borhood residents in a signi~icant manner in that the use could bz easily converted from a~ona fide publ~c eating place to a public prernlses, wh?ch is a type o~ alcohal ou~let assoCiated with alcohol-re?ated problems ~n the area. 3 The proposzd use will not contribute to an undu~ concentration of alcohol outl~ts in the area in that a restaurant is not typically considered to contribute to object~onable problems assoc~ated with alcohal outlets, and that the area is zn the ~owntown portion o~ Santa Monica which is frequented by large nurnbers cf lccal residen~s as well as office work2rs, shoppers, and vis~tors from outside the a~ea However, given `he size, Iocat~on and Iayou~ o~ the proposed operation and th~ lack of signif-cant kitcher, facilities, the praposed use has the potential to b~ operated effectively as a g~neral prEmises, which is a typ~ of outlet that has canCribut2d signif~cantly to alcohol related problems in the ar~a. 4. The proposed use would have a potential to detrimentally affect r~eazby neighborhoads considex~~g tnz distance of the alcarol outlet to residential busld~ngs, chuzches, schools, hosp~~als, playgrounds, parks, and athzr existing alcohol out~ets in that the proposed facil_~y wou?d have the poten~ial to be utilized as a publ~c premises and is within a 500' radius of a privat~ elem~ntary school and a priva~e preschoal. 5. The proposed use is incompatible with existing and ~otential uses within the general area ir_ that the ~uice bar/cafe would ~ave tre potential to be effectively utzliaed as a public prem~ses 6. The public health, safety, and ge~erai welfare are not protected in that the prapas~d use would al~ow aZcohoZ service in an estab~ishment Lhat is primarily a health club. 7 Harm to ad~acent properties could that, b~cause of the layout and lim: cantained at the establishmen~, it adequately candit~on the applscation would be r,la~ntainzd as a bona establishment. potentialiy result in Lt~d k~tchen faciliLies would be difficult to to er_sure that the ~ase fide public eating 8. The proposed i:.se ~s incansls~ent w~th General Plar. ~n trat Policy 1,2.4 of cf the Gen~ral Pla:! states that the the cb~ectzves af th~ the Land Use Element City sna'i "limit or - 8 - contral ~he locatzon or ctherwise mitigate the impact of cammercial uses such as alcohol ou~lets" caty-wide, and the proposed alcohol cutlet has the potentiai to be utilized 2n a rnannzr simi~.ar to a pubZic premises, which is a t~rpe of alcohol use which is associated with alcahol-related problems in the City P~epared by: Suzanr.e Frick, Director D. Kenyon Webster, Planning Manager Drurnrnond Buc~ley, Planning & Zoning D~vision Planning and Community Development Department Attachments: A. B. C D E F G. H General Plan anc~ Municipal Code Conforrr•ance Public Notzce Planning Commission Planning Cammission Appeal Forrr- Police Camments Photographs of Sa4e Prc~ect Plans Staff Report Statement of Official Action and Surrounding Properties DB \ f:\plan\share\council~strpt\cupl7cc - 9 - A~'TACHMEN~' A e }~~ :° . ~: ~. ~!l~ t : I l~~lr. ' e' .'~'.'1'1-~~ :,:inlrl~ ~Y" ~-_ + ~~ 1, . ~' ~ I~ .. T - ~t I [' ~ ; ~rr-~r' i;:l[: . ~ K "v~:t~ .~7C`C'^ I.,': , . t.i.' '~' : C3~ • P' ' 1 1~ L; "_:ti; i I :T I'-~I1 . 1 1" L~ .. .. tf':" j!1'~: ,f•,.~ ~.~~'r ~ .1:J~ . - ['. ~ . . 'l~ . ..`~~ . - [ I' +• f'r: r ~Si L' : i ~ ' ~' ~1 S; ~:' E 1'~r~i a.~~ ~ ~^r~ lr J ~.'a~ I'~~t ~: ` ~~r ~' :~t. SECTION 9. Section 9.04.20.34.08a of the Santa Monica Municipal Code is amended to read as follows: Section 9. 04.20. 34 . 080 ~~~..~. ~: ~; :~ =a ...._. Term af Pc:rmit. 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C3C Applicant Richard Grossi, Santa Monica Spons Club Appellant Richard Grossi, Santa Monica Sparts Club A Public Hearuig «~ill be held by the Cin Council an the followmg request Appeal of Plamm~g Commission denial of a Conditional U5e Permit to permit the establishment of a T~~pe 41 (On-Sale Beer and Wme for a Bona Fide Public Eating Place) alcohol license for an ex~st~ng 9-seat cafel~uice bar withm an existmg sparts club The beer and «line sen~ice ~~~ould be m a portion of the establishment which is open to the public {Planner D. Buckley) TIlVIE: TUESDAY, APRIL 11, 1995 AT 6:30 P.1~7. LOCATI~N COUNCIL CHAMBER, RQQM 213, CITY HALL 1685 MAIN STREET, SANTA MONICA HOW TO COMMENT The City of Santa Manica encourages public comment on this and other pro~ects You or your representan~re, or any other persons may cornrnent at the Crty Council's public hear~ng, or by~ writin~ a letter Lett~rs shouZd be addressed to MORE INFORMATI4N City Council, City Clerk's Of~ce 16$S Main Street. Room 102 Santa Momca, Califorma 90401 If desired, further information on any application may be obtained fram the Planning and Zoning Division at the address above or bti calling (310) 458-8341. The meeting facility is handicapped access~ble If ~ ou ha~e ant~ special needs such as sign language interpretmg. please contact the Office of the Disabled at (310)458-5701 - 1. - ~~t ~~~. Pursuant to Cal~forma Government Code Section 65009{b}. if this matter is subsequentl}~ ehallenged m Court, the challenge ma~~ be limrted to only those issues raised at the Public Hearmg described m this not~ce, ar m wrxtten correspandence delivered to the City of Santa Monica at. or prior to, the Public Hearing Esto es un aviso sobre una audencia publ~ca para revisar applicac~ones propomendo desarrollo en Santa Manica Esto puedo ser de mteres a usted Si deseas mas informacion. favor de llamar a Luuiea Hernandez en la Division de Plant~ficacion al numero {310} 458- 8341 f lplanlsharelcouncillnoticeslcupl7cpn ~~ 0~2 - 2 - AT~'AC~~=~T C