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sr-082581-7eCA°RMM:BB:se -City Council Meeting 8-25-81 STAFF REPORT T0: Mayor and City Council FROM: City Attorney SUBJECT: Claim for Vested Right from Emergency Building A4oratorium, Claim Number M-056, by Richard Howard Gross To Convert Vacant Store to a "Fast Foods" Sandwich Shop at 512 Santa Monica Boulevard. a AUG 2 5 1981 PROJECT DESCRIPTION Claimant seeks to renovate vacant space at 512 Santa *TOnica Boulevard for use as a fast fond sandwich shop. The space was previously used for approximately the last twenty years as a bowling supplg store. The project site is within the C-3 zone and is being rented for this purpose by claimant. A hearing for a use permit has been held, but no 3ecison will be made pending a decision on claimant's exemption request. VESTED RIGHT A determination of a vested right depends on whether the claimant has secured the last governmental approval necessary for construction and, in good faith reliance thereon, performed substantial work or incurred substantial liabilities in further- ance thereof. In connection c.?ith this project, claimant obtained no necessary governmental approval prior to the adoption of the Santa Monica, California AU6 2 5 1981 moratorium. No expenditures were made or liabilities incurred prior to April 22, 1981. Accordingly, claimant does not possess a vested right to proceed. HARDSHIP Based on apparent misinforamtion from the owners of the building within which the sandwich shop is proposed, as well as inadvertent lack of or miscommunication with staff, claimant believed he could proceed with this project. Renovation was thus begun for the desired use. According to claimant, of the estimated total cost of development of $20,000, renovation costs totalling $10,000 have already been spent and delay or inability to proceed will cause claimant additional loss. with respect to loss of his sole means of income. RECOT~MMENDAT I ON 1. It is respectfully recommended that the claim for vested right be denied. Prior to April 22, 1981, claimants had not obtained the last necessary governmental approval and did not perform substantial work or incur substantial liabilities in reliance thereon. 2. If, under the facts as presented above or as may be determined at the time of the hearing, the City Council should determine that application of the moratorium to claimant's project .would result in an unfair hardship to claimant, an exemption on the basis of unfair hardship should be granted. -2-