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HomeMy WebLinkAboutArches Grill 508 29th St.CITY OF NEWPORT BEACH PLANNING COMMISSION STAFF REPORT January 31, 2008 Agenda Item 3 SUBJECT: Arches Grill (PA 2007 -146) 508 2V' Street ■ Amendment to Use Permit No. 3611 APPLICANT: Daniel Marcheano PLANNER: Jaime Murillo, Associate Planner (949) 644 -3209, imurilloOcity.newport- beach.ca.us _111 J,IJ50 XA The applicant is requesting approval of an amendment to Use Pen-nit No. 3611 to permit an existing full - service, low- turnover eating and drinking establishment to: 1) expand their hours of operation to include lunch service; 2) increase the number of special events permitted per year from 8 events to 12 events; and 3) reconfigure the dining area and retain a bar area not previously authorized. RECOMMENDATION Staff recommends that the Planning Commission take the following actions: 1. Receive staff presentation, open public hearing, and receive public comments. 2. Adopt resolution (Exhibit 1) approving the amendment to Use Permit No. 3611, subject to findings and conditions. Arches Grill January 31, 2008 Page 2 LOCATION GENERAL PLAN ZONING CURRENT USE Cannery Village Specific Arches Grill (Formerly ON -SITE Mixed Use Horizontal Plan (SP -6) / Retail & Aubergine), an eating and (MU -H4) Service Commercial drinking establishment operating RSC under Use Permit No. 3611 NORTH MU -H4 SP -6 /RSC Mixed -use & commercial uses SOUTH MU -H4 SP -6 /RSC Commercial /industrial uses EAST MU -H4 SP -6 /RSC I commercial office uses WEST MU -H4 SP -6 /RSC Marine repair and maintenance facility Arches Grill January 31, 2008 Page 3 INTRODUCTION Project Setting The project is located at 508 29th Street, west of Lafayette Avenue and east of Villa Way. The project site is 4,500 square feet in area with the proposed project occupying the existing 1,970 square -foot, one -story restaurant building. The restaurant consists of an indoor dining room, a bar, restrooms, a wine storage room, and a kitchen. Two small patios exist at the front of the building and a larger outdoor dining area exists toward the rear of the building. Also located at the rear of the building, adjacent to the alley, is the property's trash enclosure, on -site parking, and a storage container. The previous restaurant (Aubergine's) improvements without permits or approvals the bar adjacent to the interior dining room used to expand the rear patio, and the stc encroaches into required on -site parking sp, Project Description operator had constructed a number of from the City. These improvements include a new block wall of the rear of the building gage container adjacent to the alley, which aces (Exhibit 2; Photographs). In July of 2007, the applicant took over the existing full - service, low- turnover eating and drinking establishment (formerly known as "50829" and Aubergine's) permitted under Use Permit No. 3611. Since occupying the building, the applicant has made minor cosmetic changes to the interior decor, including new wall paneling, the addition of booth seating, and reconfiguring the seating layout. The reconfigured seating layout has resulted in the reduction of net public area (NPA)' to 750 square feet, a reduction of 50 square feet from the previously permitted 800 square feee (Exhibit 3; Project Plans). No changes are proposed to the 182 square -foot accessory outdoor dining area located at the rear of the restaurant permitted under Outdoor Dining Permit No. 2005 -003. The conditions of approval for the current Use Permit limit the restaurant's hours of operation from 5:00 p.m. to 11:00 p.m. Monday through Friday and 6:00 a.m. to 11:00 p.m. on weekends. The applicant is requesting to amend the Use Permit to allow lunch service on weekdays with the ability to open at 10:00 a.m. Net Public Area (NPA): The total area used to serve customers, including, but not limited to, customer sales and display areas, customer seating areas, service counters, and service queue and waiting areas, but excluding restrooms and offices, kitchens, storage and utility areas, and similar areas used by the employees of the establishment. 2 The applicant had originally proposed to locate an additional 50 square feet of NPA on the front patio for customer seating; however, as discussed in more detail in the Off -Site Parking section of the report, the applicant eliminated the square footage to make up for the loss of 1 on -site parking space. 4 Arches Grill January 31, 2008 Page 4 The applicant is also requesting the ability to hold a maximum of 12 special events per calendar year, whereas the current Use Permit limits the restaurant to a maximum of 8 special events per calendar year. As stated earlier, the applicant wishes to retain and continue operation of the bar within the existing restaurant. The bar existed prior to the applicant assuming operation of the restaurant and was added without the benefit of building permits. This constitutes a material change in operational characteristics. The current Use Permit requires the applicant to maintain a minimum of 3 on -site parking spaces; however, the striping within the rear parking area is no longer visible and, due to the construction of the unpermitted block wall, unpermitted storage container, and location of the permitted trash enclosure, 3 parking spaces can no longer be accommodated. The applicant is proposing to remove the storage container and restripe the rear parking area to provide 2 Code - compliant parking spaces. Background Use Permit No. 3611 On August 7, 1997, the Planning Commission approved Use Permit No. 3611 allowing additions and alterations to an existing full - service, low- turnover restaurant. This included the expansion of the area devoted to dining and a change in the operational characteristics to upgrade the existing alcoholic beverage license from beer and wine to full alcohol service (Exhibit 4; UP 3611 Findings & Conditions). The Commission also approved a modification to the Zoning Code to allow the use of tandem parking spaces on -site, authorized the use of 13 off -site parking spaces to satisfy a portion of the required parking, and waived the restaurant development standards pertaining to site requirements, walls and landscaping. The following table provides a summary of the facility and operations consistent with Use Permit No. 3611. 3 Arches Grill January 31, 2008 Page 5 The permitted hours of operation were based on the availability of the proposed 13 off- site parking spaces. These spaces were to be available to the restaurant after 5:00 p.m. on weekdays and all day on weekends. Given the limited availability of the proposed off -site parking spaces, the Use Permit restricts the hours of operation for the restaurant from 5:00 p.m. to 11:00 p.m. on weekdays and 6:00 a.m. to 11:00 p.m. on weekends, to coincide with parking availability. In-Lieu Parking Subsequent to the approval of the Use Permit, the restaurant operator and the property owner of the proposed off -site parking lot location were unable to reach an agreement on the terms of the lease for the 13 off -site parking spaces. Staff worked with the restaurant to identify alternative methods of meeting its parking requirements and determined that the restaurant was a good example of the type of restaurant for which the use of in -lieu parking fees were suited, given its small size and low turnover of customers. On April 7, 1998, the City Council adopted Resolution No. 98 -28 (Exhibit 5) creating an exception to the 1989 moratorium on the use of commercial in -lieu parking fees for eating and drinking establishments that operate with certain characteristics and have a very low parking demand which can be met with street parking without causing adverse impacts on the surrounding neighborhood. These characteristics were: • Small scale (fewer than 45 seats) • Very low turnover • Closure earlier than midnight • Located in an area with ample and convenient street parking for which there is limited demand The City Council also permitted the subject restaurant to pay for 13 in -lieu parking spaces under the exception (Exhibit 6; Minutes). The City Council further found that the use of in -lieu parking fees to satisfy the off -site parking requirements for the restaurant was in substantial conformance with the conditions of approval of Use Permit No. 3611 (eliminating the need to amend the Use Permit). To date, the restaurant operators have annually paid for 13 in -lieu parking spaces. Accessory Outdoor Dining On September 28, 2005, the Planning Director approved Accessory Outdoor Dining Permit No. 2005 -003 (Exhibit 7) permitting the retention of an outdoor dining area that had been operating without the benefit of an approved outdoor dining permit. The outdoor dining area is located at the rear of the property, behind a fenced area and under an existing patio cover, and limited to a maximum of 180 square feet of net public area. Per Section 20.82.050 (Accessory Outdoor Dining) of the Zoning Code, the Planning Director may pen-nit the addition or expansion of an existing eating and drinking r Arches Grill January 31, 2008 Page 6 establisment, without providing additional parking, provided the area devoted to outdoor dining does not exceed 25 percent of the existing interior net public area of the establshiment and is accessory to any indoor dining. Temporary Use Approvals On July 19, 2007, the Planning Director authorized the applicant to temporarily operate the resturant from 6:00 a.m. to 11:00 p.m., seven days a week, to accommodate lunch service for a period not to exceed 90 days while the applicant prepared and processed a formal amendment to the Use Permit. In reviewing the applicant's use permit amendment request for the extension in the hours of operation, staff discovered the changes to the approved on -site parking configuration; therefore, on November 15, 2007, the Planning Director authorized an extension to the temporary use of the existing eating and drinking establishment for a period not to exceed an additional 90 days to allow the applicant to develop an alternative parking solution for the loss of the on -site parking space. DISCUSSION Analysis Off - Street Parking Requirement The parking standard for restaurants specified by the Municipal Code is 1 parking space for each 30 to 50 square feet of NPA. The speck ratio applied is based on the operational characteristics of the establishment. The current Use Permit reflects a parking requirement of 1 space per 50 square feet of NPA, consistent with the restaurant's operational characteristics as a full - service, low - tumover establishment (turnover in excess of 1 hour), and based on the following considerations: • Net public area accounts for 40 percent of total floor area • Over 10 percent of net public area is shown as a waiting area • No live entertainment or dancing • No area devoted exclusively to the sales or consumption of alcoholic beverages • No pool tables, televisions or other attractions • Limited hours of operation • Public off -site parking available nearby (at Villa Way /30th Street lot) Although the applicant is now requesting the retention of the bar and an increase in the hours of operation, staff believes the established parking ratio of 1 space per 50 square feet of NPA is appropriate based on the following considerations: Net public area has been reduced to 750 square feet and now accounts for 38 percent of the total floor area (excluding the accessory outdoor dining). I Arches Grill January 31, 2008 Page 7 • The restaurant, as proposed, only provides 45 seats (excluding the accessory outdoor dining), which is substantially consistent with the 44 -seat interior dining area permitted under the original approval. • The new bar is ancillary to the interior dining area and is often used by patrons waiting for a table. • As discussed in the Parking Survey section of this report, ample and adequate on- street parking remains available throughout the day. • The applicant states that a number of the restaurant's patrons, particularly during lunch hours, are walk -in patrons who either reside or work within the Cannery Village area. Using the calculation of 1 space per 50 square feet of NPA, the required number of parking spaces required for the restaurant is 15 spaces (750 sq. ft. of net public area / 50 = 15). As previously mentioned, the location of the unpermitted block wall, unpermitted storage container, and legally constructed trash enclosure impede the ability to provide the 3 previously required on -site parking spaces. Without demolishing the block wall and relocating the trash enclosure, the parking lot area can only be restriped to accommodate 2 Code - compliant parking spaces once the storage container is removed. Although losing 1 on -site parking space is not ideal, the 50 square foot reduction in NPA does eliminate 1 of the required off - street parking spaces previously required under the original Use Permit approval. It should also be noted that the restaurant has operated out of compliance for a number of years without the third required on -site parking space (a tandem space) and there is no evidence of detrimental impacts to the surrounding area. Therefore, staff recommends amending the conditions of approval to require the restriping of the parking area to provide the 2 on -site spaces as proposed and to continue requiring the applicant to pay the annual in -lieu parking fee for the remaining 13 off -site parking spaces. Staff believes the proposed full - service, low- turnover restaurant, as conditioned, will continue to qualify for the in -lieu parking fee provision. The restaurant will continue to maintain a maximum of 45 seats (excluding the accessory outdoor dining), continue closing at 11:00 p.m. and, as discussed below, ample and convenient street parking continues to exist in the vicinity of the restaurant Parking Survey Staff surveyed the availability of parking on the streets surrounding the restaurant where employees and patrons would likely park (total of 70 spaces), as well as the 30th Street Municipal Parking Lot (total of 43 spaces). A Arches Grill January 31, 2008 Page 8 Staff surveyed the study area four times a 1 (9 a.m., 12 p.m., 3:30 p.m., and 5 p.m.), on five separate days (Thursday, October 25 , Friday, October 26th, Friday, November 2nd Monday, November 19th, and Friday, November 30th). The number of available parking spaces on each of the streets and within the municipal parking lot within the study area was tallied and analyzed. The following table provides the results of the study: Clitl Parking Survey Study Area 30th Sereln . +. ' • • • so; w. ex a em :a e.. �„ Arches Grill 508 29th St 0 Muniapal Lot 43 Spares � • Z � - 2•. ' �� ,! 0 Villa Way -23 Spaces • QOM ® 2gth Street Spaces .1. 417 IV •ipl M M) - 23 29th p. 3+1 Street © Lafayette Avenue -24 Spaces Parking Meter _. _... •� R • • "� _. SITE . ,ap 01• � • m � � � 1 � �ej o 490 N G A.c Grll ORa:K � i 200 LJ 6 Staff surveyed the study area four times a 1 (9 a.m., 12 p.m., 3:30 p.m., and 5 p.m.), on five separate days (Thursday, October 25 , Friday, October 26th, Friday, November 2nd Monday, November 19th, and Friday, November 30th). The number of available parking spaces on each of the streets and within the municipal parking lot within the study area was tallied and analyzed. The following table provides the results of the study: Arches Grill January 31, 2008 Page 9 Friday, Oct. 26 9:00 A-M. 12:00 P -M. 3.30 RM, 5:00 P.M. 8 13 15 AREA: A B c D 12 Omf �-Sqh WN 13 15 43 13 Tw_l r Total Spaceq: 43 23 23 24 113 Thursday, Oct. 25 9:00 A.M. 12'00 P.M- 3'30 P-M. 5:60 P-M. 7 12 14 14 47 9 4 a 1 22 12 11 15 11 49 14 15 14 .12 66 Friday, Oct. 26 9:00 A-M. 12:00 P -M. 3.30 RM, 5:00 P.M. 8 13 15 16 62 5 5 8 12 30 4 11 13 15 43 13 is 16 11 56 Friday, Nov. 2 9:00 A.M. 12.00 P-M. 3.30 RM, 5:00 P.M. 5 13 15 15 48 7 11 1 9 7 34 17 12 11 12 52 18 10 12 12. 52 Wonday. lov. 19 9-00 A.M. 12:00 P.M. 3:80 P.M. 5:00 P.M. 7 13' 15 15 50 6 5 12 3 26 7 7 16 9 39 18 9 17 12 56 Friday, Nov. 30 9:00 A.M. 12:00 P.M. 3:30 P.M, 5-00 P.M- 12 16 14 12 54 7 4 9 11 31 11 11 10 14 46 25 9 8 1 43 1° 110111 t7 10-1-1• ilkfi#v�—yqk I.-n -Yffilwoffi 'K Y�jW h S, EM00 9:00 A.M. 8 42 12:00 P-M. 7 22 3'30 P-M. 10 36 5:00 P-M. 18 35 DAILY AVERAGE: 11 34 1° Arches Grill January 31, 2008 Page 10 The results of the parking study indicate that on average, 34 of the 70 on- street parking spaces within the study area throughout the day, on all 5 days, were available. However, the study also indicates that on average, only 11 of the 43 parking spaces within the 30th Street Municipal throughout the day, on all 5 days, were available. The study also shows that the parking utilization was significantly higher at noon (lunch time) as opposed to the morning or late afternoon hours; however, on average during the 5 days, 22 of the on- street parking spaces remain available during the increased noon time parking demand. It is important to note that the restaurant has been temporarily operating for lunch since August and coincident demand for parking is reflected in the parking counts. Staff concludes that even with the lunch time operation, ample and convenient street parking will continue to exist within the vicinity of the project. Hours of Operation As previously stated, the hours of operation for the restaurant are currently limited to 5:00 p.m. to 11:00 p.m. on weekdays and 6:00 a.m. to 11:00 p.m. on weekends, which were intended to coincide with the availability of 13 off -site parking spaces that were once proposed. Given the fact that the City Council previously authorized an annual in- lieu parking fee which the operator has continued to pay, staff believes the current limitations on the hours of operation are no longer applicable. When the City Council adopted the resolution that created the in -lieu parking fee exemption that allowed the applicant to provide 13 parking spaces within the 30th Street Municipal Parking Lot through the payment of in -lieu fees, they also acknowledged that patrons of the restaurant would most likely park on 29th Street where there was ample and convenient on- street parking with limited demand. Based on the results of the parking survey previously discussed, ample and convenient street parking is available at all hours of the day and that the proposed hours of operation, including lunch service, can be accommodated without negatively impacting the demand for parking within the vicinity. Special Events The number of special events a restaurant is permitted per year is not typically conditioned with use permits; however, with the original review of Use Permit No. 3611, the project was conditioned to only allow a maximum of 8 special events per year with incidental live entertainment and dancing accessory to the primary restaurant use. For future flexibility, the applicant has requested a change in the conditions of approval to allow a maximum of 12 special events per year. Arches Grill January 31, 2008 Page 11 Use Permit Findings Section 20.91.035 of the Zoning Code requires that the Planning Commission make certain findings for use permit requests. These findings and facts in support of such findings are listed and discussed below. 1. That the proposed location of the use is in accord with the objectives of this code and the purposes of the district in which the site is located. The project is located in the Retail and Service Commercial land use designation of the Cannery Village /McFadden Square Specific Plan District (SP -6), which is intended to provide for retail sales, personal and professional uses that offer direct services to the public, and marine - related light industrial uses. Eating and drinking establishments are permitted within this designation with the approval of a use permit. The proposed project consists of changes to the operational characteristics of an existing eating and drinking establishment and will remain consistent with this designation. 2. That the proposed location of the use permit and the proposed conditions under which it would be operated or maintained will be consistent with the General Plan and the purpose of the district in which the site is located; will not be detrimental to the public health, safety, peace, morals, comfort, or welfare of persons residing or working in or adjacent to the neighborhood of such use; and will not be detrimental to the properties or improvements in the vicinity or to the general welfare of the city. The proposed eating and drinking establishment, pursuant to the conditions of approval, is consistent with the Mixed -Use Horizontal (MU -H4) land use designation of the General Plan. This designation applies to properties where it is the intent to establish the character of a distinct and cohesively developed district or neighborhood containing multi - family residential with clusters of mixed -use and /or commercial buildings in such locations as the interior parcels of Cannery Village. Eating and drinking establishments are permitted as a commercial use within this designation. The proposed project and overall gross floor area of the site (1,930 square feet or 0.43 FAR) are consistent with this designation and the 0.50 maximum permitted FAR for the site. The proposed eating and drinking establishment is also located within the General Commercial (CG -C) land use designation of the City's Local Coastal Land Use Plan (CLUP). The GC -C designation is intended to provide for a wide range of commercial activities oriented primarily to serve citywide or regional needs and establishes a development intensity range of 0.50 to 0.75 FAR. The proposed project is consistent with this designation. Staff believes the project will not be detrimental to the public health, safety, peace, morals, comfort, or welfare of persons residing or working in or adjacent to the neighborhood of such use; and will not be detrimental to the properties or improvements in the vicinity or to the general welfare of the City for the following reasons: `1 a. Arches Grill January 31, 2008 Page 12 • The operation of the restaurant will be restricted to the hours 10:00 a.m. to 11:00 p.m., Monday through Fridays, and 6:00 a.m. to 11:00 p.m. on weekends. • The total "net public area" of the interior dining area has been reduced to 750 square feet, thereby reducing the parking demand. • Deliveries will be scheduled outside of peak operating hours of the use so that access will not be blocked and will not be permitted before 7:00 a.m. or after 6:00 p.m. Deliveries will be required to access the site from the alley whenever possible to avoid impeding vehicular access on 29th Street. • No dancing or live entertainment will be provided on the premises. • Residential units are located across the street from the restaurant and no outdoor dining is proposed adjacent to 29th Street. A condition of approval requiring the closure of windows and doors after 8:00 p.m. will be retained, which should prevent any potential noise problems. • A restaurant has been operating in this location in a similar capacity since 1998 under the original approval of Use Permit No. 3611 and has not proven detrimental to the area. • Restaurant uses can be expected to be found in this area and similar locations and are complementary to the surrounding commercial and residential uses. 3. That the proposed use will comply with the provisions of this code, including any specific condition required for the proposed use in the district in which it would be located. The Zoning Code requires the approval of a use permit for eating and drinking establishments. The project substantially conforms to the restaurant development standards of the Zoning Code given the existing site conditions, and the previous waiver of the development standards as they pertain to site, walls, and landscaping will not be detrimental to adjoining properties. The proposed conditions of approval for this project will ensure that all potential conflicts with surrounding land uses are minimized to the greatest extent, or are eliminated. Public Comments Staff has received two letters from property owners (Mr. Person and Mr. Low) within the vicinity of the project expressing a number of concerns (Exhibit 8). Mr. Person resides at 507 29th Street, directly across the street from the subject restaurant, and has expressed concerns with the illegal improvements that have occurred within the restaurant over the years. Also addressed in the letter were a number of specific occurrences of violations of the Use Permit conditions of approval. Mr. Low resides at 411 29th Street and expresses a general concern about parking availability in the Cannery Village and the need for California Coastal Commission review of the applicant's request. Coastal Commission Staff contacted a Coastal Program Analyst from the South Coast District Office to discuss the project. The Analyst stated that the current Coastal Development Permit for the restaurant also maintains a similar restriction on the hours of operation; therefore, the increase in hours of operation to accommodate lunch service would be considered 13 Arches Grill January 31, 2008 Page 13 an intensification of use and require the an amendment to the Coastal Development Permit. Staff has included a condition of approval requiring California Coastal Commission review and approval. Alternatives If the Planning Commission determines that not all the facts in support of the findings can be made for the applicant's requests, the Planning Commission should direct staff to prepare findings and a resolution denying the requests and return at the next available Planning Commission meeting date with such resolution for adoption; or The Planning Commission may suggest specific project modifications that are needed for approval. If this is done, the item should be continued if the changes are reasonable and easy to incorporate. If substantial changes are directed, the item should be removed from calendar to allow redesign of the project. Environmental Review This project has been reviewed, and it has been determined to be categorically exempt from the requirements of the California Environmental Quality Act (CEQA) under Class 1 (Existing Facilities). The proposed project consist mainly of changes to the operational characteristics of an existing eating and drinking establishment with minor alterations to the on -site parking area. Public Notice Notice of this hearing was published in the Daily Pilot, mailed to property owners within 300 feet of the property and posted at the site a minimum of 10 days in advance of this hearing consistent with the Municipal Code. Additionally, the item appeared upon the agenda for this meeting, which was posted at City Hall and on the city website. Prepared by: Jdime Murillo, Associate Planner EXHIBITS 1. Draft Resolution 2. Site Photographs 3. Project Plans 4. UP 3611 Findings R Conditions 5. City Council Resolution No. 98 -28 6. April 7, 1998 City Council Minutes 7. Outdoor Dining Permit No. 2005 -003 8. Public Comment Letters Submitted by: David Lepo, a g Director RWSERSIPLNISharedlPA'sIPAs - 20071PA2007- 1461PA2007- 146PCrptdoc 6