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HomeMy WebLinkAboutPA2022-105-20230316_Resolution_ZA2023-017Community Development Department CITY OF NEWPORT BEACH 100 Civic Center Drive Newport Beach, California 92660 949 644-3200 newportbeachca.gov/communitydevelopment VIA EMAIL March 16, 2023 DSH Industries, LLC Attn: Marin Howarth Blom marin@arcbottleshop.com Subject: Minor Use Permit (PA2022-105) 501 30th Street ARC Private Dining Room Dear Ms. Blom, It was a pleasure working with you on the above referenced application. Please be advised that the subject application was approved by the Zoning Administrator on March 16, 2023 and effective on March 30, 2023. A copy of the approved resolution with findings and conditions is attached. If you have any questions, please do not hesitate to contact me directly. Thank you and I look forward to working with you again in the future. Sincerely, David Lee, Senior Planner On behalf of Benjamin Zdeba, Principal Planner RESOLUTION NO. ZA2023-017 A RESOLUTION OF THE ZONING ADMINISTRATOR OF THE CITY OF NEWPORT BEACH, CALIFORNIA, APPROVING A MINOR USE PERMIT TO CREATE A PRIVATE DINING ROOM (EATING AND DRINKING ESTABLISHMENT) WITH ALCOHOL SERVICE AND NO LATE HOURS LOCATED AT 501 30TH STREET (PA2022-105) THE ZONING ADMINISTRATOR OF THE CITY OF NEWPORT BEACH HEREBY FINDS AS FOLLOWS: SECTION 1. STATEMENT OF FACTS. 1.An application was filed by DSH Industries, LLC (Applicant), with respect to the property located at 501 30th Street, and legally described as Lot No. 1 of Tract No. 16292 (Property), requesting approval of a minor use permit. 2.The Applicant requests to operate a small 10-seat private dining room in conjunction with an existing restaurant, ARC Butcher & Baker, located at 417 30th Street. The proposed use would replace the existing ARC Bottle Shop and would remove the Type 20 (Off-Sale Beer & Wine) Alcoholic Beverage Control (ABC) License. The private dining room would serve food and alcohol using ARC Butcher & Baker’s existing Type 41 (On-Sale Beer & Wine – Eating Place) and Type 58 (Caterer’s Permit) ABC Licenses. The operating hours would be from 10 a.m. to 10 p.m., daily. If approved and implemented, this Minor Use Permit would supersede Minor Use Permit No. UP2021-003 (Project). 3.The Property is designated Mixed-Use Horizontal (MU-H4) by the General Plan Land Use Element and is located within the Mixed-Use Cannery Village and 15th Street (MU-CV/15TH ST) Zoning District. 4.The Property is located within the coastal zone. The Coastal Land Use Plan category is Mixed-Use Horizontal (MU-H) and it is located within the Mixed-Use Cannery Village and 15th Street (MU-CV/15TH ST) Coastal Zone District. The project is exempt from the requirements of a Coastal Development Permit (CDP) because there is no expansion in floor area and no additional parking is required; therefore, the proposed changes do not constitute any changes in land use that are anticipated to result in an intensification nor a de-intensification of land use. 5.A public hearing was held on March 16, 2023, online via Zoom. A notice of the time, place, and purpose of the hearing was given in accordance with the Newport Beach Municipal Code (NBMC). Evidence, both written and oral, was presented to and considered by, the Zoning Administrator at this hearing. SECTION 2. CALIFORNIA ENVIRONMENTAL QUALITY ACT DETERMINATION. 1.This Project is exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15301 under Class 1 (Existing Facilities) of the CEQA Guidelines, California Code Zoning Administrator Resolution No. ZA2023-017 Page 2 of 11 01-17-23 of Regulations, Title 14, Division 6, Chapter 3, because it has no potential to have a significant effect on the environment. 2.The proposal is to occupy an existing nonresidential tenant space with a new private dining room (i.e., eating and drinking establishment land use). There will be no significant improvements to the interior of the building and no expansion of floor area. Given there is no change to the amount of parking required, there is also no anticipated increase in intensity. SECTION 3. REQUIRED FINDINGS. Alcohol Sales Although there is a net reduction in alcohol licenses with no new licenses being proposed, the Project will still include alcohol sales and service onsite. In accordance with Section 20.48.030 (Alcohol Sales) of the NBMC, the following findings and facts in support of the findings for a use permit are set forth: Finding A.The use is consistent with the purpose and intent of Section 20.48.030 (Alcohol Sales) of the Zoning Code. Facts in Support of Finding In finding that the proposed use is consistent with Section 20.48.030 (Alcohol Sales) of NBMC, the following criteria must be considered: i.The crime rate in the reporting district and adjacent reporting districts as compared to other areas in the City. 1.The crime rate in the subject reporting district (RD 15) as well as two (2) of the three (3) adjacent RDs (Reporting Districts) are over the City average. RD 15 contains the large commercial shopping center known as The Landing at 32nd Street and Balboa Boulevard and much of Via Lido and Balboa Boulevard. The purpose of the Zoning of these beach areas is to provide various commercial and retail uses to support the surrounding residential area, as well as the surrounding tourist destinations. Therefore, these beach areas with a higher concentration of commercial land uses tend to have a higher crime rate than adjacent RDs with more residential development. 2.The Newport Beach Police Department (NBPD) reviewed the Project and has no objections given the limited operation, the net reduction in alcohol licenses, and the conditions of approval contained in Exhibit “A.” Zoning Administrator Resolution No. ZA2023-017 Page 3 of 11 01-17-23 ii.The numbers of alcohol-related calls for service, crimes, or arrests in the reporting district and in adjacent reporting districts. 1.Due to the high concentration of commercial land uses, the calls for service and number of arrests are greater than adjacent RDs. Additionally, this is the beach area that is considered one of the most significant tourist areas of the City. 2.The NBPD reviewed the Project and has no objections given the limited operation, the net reduction in alcohol licenses, and the conditions of approval contained in Exhibit “A.” iii.The proximity of the establishment to residential zoning districts, day care centers, hospitals, park and recreation facilities, places of worship, schools, other similar uses, and any uses that attract minors. 1.The tenant space is located on the ground floor of a mixed-use building with residential units above. The surrounding area is mixed-use with residential and various commercial services including offices, personal services, retail, and eating and drinking establishments of a similar nature. The residential uses are intermixed amongst these uses, mostly on second floors. The neighborhood is intended and designed for a mix of residential and commercial uses. The nearest park, Lido Park, is approximately 600 feet northeast of the site. There is one (1) church more than 500 feet north. Other sensitive land uses above are not located within proximity of the subject building. iv.The proximity to other establishments selling alcoholic beverages for either off-site or on-site consumption. 1.The Project will result in the removal of an existing Type 20 (Off-Sale Beer & Wine) Alcoholic Beverage Control (ABC) License. 2.Several other establishments along 32nd Street, Balboa Boulevard and Via Lido currently have active ABC Licenses, most of which are bona fide eating and drinking establishments and are not defined as bars, lounges or nightclubs by the NBMC. Approximately 200 feet west on the same block is ARC Butcher & Baker. Approximately 350 feet across 30th Street on the south corner of 30th Street and Newport Boulevard is Helmsman Ale House (formerly Newport Brewing Company). On the opposite corner is Porro Vita Juice store. North of Porro Vita along Newport Boulevard is Mama Ds. Across Newport Boulevard is Malarky’s Irish Pub (the only bar in the vicinity). North of Malarky’s is The Landing Shopping Center with Chipotle, Gina’s Pizza, and Chihuahua Cervezeria. 3.The Project is a unique operation that is conditioned to close at 10 p.m. There are appropriate conditions in place to prevent the establishment from operating as a bar, lounge, or nightclub. The proximity to other food service establishments does not appear to create foreseeable concern. Zoning Administrator Resolution No. ZA2023-017 Page 4 of 11 01-17-23 v.Whether or not the proposed amendment will resolve any current objectionable conditions 1.There are no current objectionable conditions at this location. Minor Use Permit In accordance with Section 20.52.020(F) (Findings and Decision) of the NBMC, the following findings and facts in support of the findings for a minor use permit are set forth: Finding B.The use is consistent with the General Plan and any applicable specific plan; Facts in Support of Finding 1.The General Plan designates the site as Mixed-Use Horizontal (MU-H4), which applies to areas where it is the intent to establish a cohesively developed district or neighborhood containing multi-unit residential dwelling units with clusters of mixed-use and/or commercial structures on interior lots of Cannery Village and 15th Street on Balboa Peninsula. The proposed use will occupy the ground-floor nonresidential tenant space of an existing mixed-use building that has a residential unit above. 2.The Project is consistent with the MU-H4 designation, as it is intended to provide a service not only to visitors, but also to residents within the immediate neighborhood and surrounding area. 3.Several mixed-use structures including office, personal service, and eating and drinking establishment uses exist nearby and are complementary to the surrounding commercial and residential uses. 4.The Property is not part of a specific plan area. Finding C.The use is allowed within the applicable zoning district and complies with all other applicable provisions of this Zoning Code and the Municipal Code; Facts in Support of Finding 1.The Property is in the Mixed-Use Cannery Village and 15th Street (MU-CV/15TH ST) Zoning District. The proposed private dining room is considered an eating and drinking establishment. This land use is allowed subject to the approval of a minor use permit (MUP) pursuant to Section 20.22.020 (Mixed-Use Zoning Districts Land Uses and Permit Requirements) of the NBMC. Zoning Administrator Resolution No. ZA2023-017 Page 5 of 11 01-17-23 2.The ground-floor tenant space is approximately 660 square feet and is occupied by ARC Bottle Shop, a retail sales use. The current parking requirement is one parking space for every 250 square feet of gross floor area or three spaces. The proposed private dining room will maintain 150 square feet of net public area with a single dining table and no more than ten seats. Section 20.40.060 (Parking Requirements for Food Service Uses) of the NBMC allows the review authority to establish a rate between one parking space for every 30 square feet and one space for every 50 square feet of net public area. In this case, given the limited size and nature of the operation with no patron turnover, staff recommends applying the lowest rate of one parking space for every 50 square feet of net public area. Therefore, there is a resulting requirement of three parking spaces, which is equivalent to the current requirement for the retail sales land use. 3.All criteria outlined by Section 20.48.030 (Alcohol Sales) of the NBMC have been considered and are analyzed in the preceding section of this Resolution. Finding D.The design, location, size, and operating characteristics of the use are compatible with the allowed uses in the vicinity; Facts in Support of Finding 1.The operation of the use will be restricted to the hours between 10 a.m. and 10 p.m., daily. These hours are consistent with the business hours of other uses in the commercial area. It is expected to be harmonious with the residential uses nearby. 2.The existing ground-floor nonresidential tenant space is located within an existing two (2)-story mixed-use building accessible from 30th Street and the alley at the rear, which provides convenient access to motorists, pedestrians, and bicyclists. 3.The surrounding area contains various, retail, business office and visitor-serving commercial uses including restaurants and take-out eating establishments. The proposed use will be compatible with and complementary to the existing and permitted uses within the area. 4.The operational conditions of approval will help ensure compatibility with the surrounding uses. The Project has been conditioned to ensure that the business remains a private dining room and that it does not become a self-sufficient restaurant, bar, lounge, or nightclub. Finding E.The site is physically suitable in terms of design, location, shape, size, operating characteristics, and the provision of public and emergency vehicle (e.g., fire and medical) access and public services and utilities; and Zoning Administrator Resolution No. ZA2023-017 Page 6 of 11 01-17-23 Facts in Support of Finding 1.The Project will occupy an existing nonresidential tenant space, which has existed for nearly 20 years. There will be no material changes to the floor plan or alterations to the site that would compromise its suitability. 2.There are three (3) tandem parking spaces on-site, including two (2) for employees and one for a visitor to the tenant space. In addition, there is a fourth accessible space that is accessed from 30th Street. As conditioned, no more than two (2) employees will be on-site at any given time. 3.Original site plan approvals for the tenant space included a review to ensure adequate public and emergency vehicle access, and that public services, and utilities are provided. Any tenant improvement plans will be reviewed for compliance with applicable building and fire codes. Finding F.Operation of the use at the location proposed would not be detrimental to the harmonious and orderly growth of the City, or endanger, jeopardize, or otherwise constitute a hazard to the public convenience, health, interest, and safety, or general welfare of persons residing or working in the neighborhood of the proposed use. Facts in Support of Finding 1.The Project has been reviewed and includes conditions of approval to ensure that potential conflicts with the surrounding land uses are minimized to the greatest extent possible. The Applicant is required to take reasonable steps to discourage and correct objectionable conditions that constitute a nuisance in parking areas, sidewalks and areas surrounding the subject property and adjacent properties during business hours, if directly related to the patrons of the establishment. 2.The Project will operate similarly to an eating and drinking establishment. It will serve the surrounding community in a commercial area designed for such uses. The service of alcohol is provided as a public convenience that is part of, and not separate from, a dining experience. SECTION 4. DECISION. NOW, THEREFORE, BE IT RESOLVED: 1.The Zoning Administrator of the City of Newport Beach hereby finds this project is categorically exempt from the California Environmental Quality Act pursuant to Section 15301 under Class 1 (Existing Facilities) of the CEQA Guidelines, California Code of Regulations, Title 14, Division 6, Chapter 3, because it has no potential to have a significant effect on the environment. Zoning Administrator Resolution No. ZA2023-017 Page 7 of 11 01-17-23 2.The Zoning Administrator of the City of Newport Beach hereby approves the Minor Use Permit filed as PA2022-105, subject to the conditions set forth in Exhibit “A,” which is attached hereto and incorporated by reference. 3.This action shall become final and effective 14 days following the date this Resolution was adopted unless within such time an appeal or call for review is filed with the Community Development Director in accordance with the provisions of Title 20 Planning and Zoning, of the NBMC. 4.This resolution supersedes Zoning Administrator Resolution No. ZA2021-014, which upon vesting of the rights authorized by this Minor Use Permit, shall become null and void. PASSED, APPROVED, AND ADOPTED THIS 16TH DAY OF MARCH, 2023. Zoning Administrator Resolution No. ZA2023-017 Page 8 of 11 01-17-23 EXHIBIT “A” CONDITIONS OF APPROVAL (Project-specific conditions are in italics) Planning Division 1.The development and operation shall be in substantial conformance with the approved floor plan and project description attached to the staff report and dated with the date of this approval (except as modified by applicable conditions of approval). 2.The Project is subject to all applicable City ordinances, policies, and standards, unless specifically waived or modified by the conditions of approval. 3.The Applicant shall comply with all federal, state, and local laws. Material violation of any of those laws in connection with the use may be cause for revocation of this Minor Use Permit (MUP). 4.This MUP may be modified or revoked by the Zoning Administrator if determined that the proposed uses or conditions under which it is being operated or maintained is detrimental to the public health, welfare or materially injurious to property or improvements in the vicinity or if the property is operated or maintained so as to constitute a public nuisance. 5.The hours of operation shall be limited to between 10 a.m. and 10 p.m., daily. All patrons shall vacate the premise by the designated closing hour. 6.The net pubic area shall be limited to no more than 150 square feet. The private dining area shall have no more than 10 seats for patrons at any one time. 7.There shall be no more than two (2) employees on-site at any given time. All employees shall park in the spaces designated as “Employee Parking” on the approved site plan. The two spaces designated as “Visitor Parking” on the approved site plan shall always remain unobstructed and available to patrons. 8.The Project shall not be allowed to obtain its own Alcoholic Beverage Control (ABC) License. All alcohol service must be done through the existing Type 58 (Caterer’s Permit) License. 9.Any change in operational characteristics, expansion in area, or other modification to the approved plans, shall require subsequent review and may require an amendment to this MUP or the processing of a new MUP. 10.Should the Property be sold or otherwise come under different ownership, any future owners or assignees shall be notified of the conditions of this approval by either the current business owner, property owner or leasing agent. Zoning Administrator Resolution No. ZA2023-017 Page 9 of 11 01-17-23 11.All trash shall be stored within the building or within dumpsters stored in the trash enclosure (three walls and a self-latching gate) or otherwise screened from view of neighboring properties, except when placed for pick-up by refuse collection agencies. The trash enclosure shall have a decorative solid roof for aesthetic and screening purposes. Trash receptacles for patrons shall be conveniently located both inside and outside of the establishment, however, not located on or within any public property or right-of-way. 12.The Applicant shall ensure that the trash dumpsters and/or receptacles are maintained to control odors. This may include the provision of either fully self-contained dumpsters or periodic steam cleaning of the dumpsters if deemed necessary by the Planning Division. Cleaning and maintenance of trash dumpsters shall be done in compliance with the provisions of Title 14, including all future amendments (including Water Quality related requirements). 13.Deliveries and refuse collection for the facility shall be prohibited between the hours of 10 p.m. and 8 a.m. on weekdays and Saturdays and between the hours of 10 p.m. and 9 a.m. on Sundays and Federal holidays, unless otherwise approved by the Director of Community Development, and may require an amendment to this MUP. 14.Storage outside of the building in the front or at the rear of the Property shall be prohibited, except for the required trash container enclosure. 15.All noise generated by the proposed use shall comply with the provisions of Chapter 10.26 and other applicable noise control requirements of the NBMC. The maximum noise shall be limited to no more than depicted below for the specified periods unless the ambient noise level is higher: Between the hours of 7 AM and 10 PM Between the hours of 10 PM and 7 AM Location Interior Exterior Interior Exterior Residential Property 45dBA 55dBA 40dBA 50dBA Residential Property located within 100 feet of a commercial property 45dBA 60dBA 45dBA 50dBA Mixed Use Property 45dBA 60dBA 45dBA 50dBA Commercial Property N/A 65dBA N/A 60dBA 16.A Special Events Permit is required for any event or promotional activity outside the normal operating characteristics of the approved use, as conditioned, or that would attract large crowds, involve the sale of alcoholic beverages, include any form of on-site media broadcast, or any other activities as specified in the Newport Beach Municipal Code to require such permits. 17.This approval shall expire and become void unless exercised within 24 months from the actual date of review authority approval, except where an extension of time is approved in compliance with the provisions of Title 20 Planning and Zoning of the NBMC. Zoning Administrator Resolution No. ZA2023-017 Page 10 of 11 01-17-23 18.To the fullest extent permitted by law, the applicant shall indemnify, defend and hold harmless the City, its City Council, its boards and commissions, officials, officers, employees, and agents from and against any claims, demands, obligations, damages, actions, causes of action, suits, losses, judgments, fines, penalties, liabilities, costs, and expenses (including without limitation, attorney’s fees, disbursements, and court costs) of every kind and nature whatsoever which may arise from or in any manner relate (directly or indirectly) to City’s approval of ARC Private Dining Room including, but not limited to, the Minor Use Permit (PA2022-105). This indemnification shall include, but not be limited to, damages awarded against the City, if any, costs of suit, attorney’s fees, and other expenses incurred in connection with such claim, action, causes of action, suit, or proceeding whether incurred by the applicant, City, and/or the parties initiating or bringing the such proceeding. The applicant shall indemnify the City for all the City's costs, attorneys' fees, and damages that which City incurs in enforcing the indemnification provisions outlined in this condition. The applicant shall pay to the City upon demand any amount owed to the City under the indemnification requirements prescribed in this condition. Police Department 19.All owners, managers, and employees serving or selling alcoholic beverages shall undergo and successfully complete a certified training program in responsible methods and skills for selling alcoholic beverages within 60 days of hire. This training must be updated every three years regardless of the certificate expiration date. The certified program must meet the standards of the certifying/licensing body designated by the State of California. The establishment shall comply with the requirements of this section within 60 days of approval. Records of each owner’s, manager’s, and employee’s successful completion of the required certified training program shall be maintained on the premises and shall be presented upon request by a representative of the City of Newport Beach. 20.Approval does not permit the premises to operate as a standalone restaurant, bar, tavern, cocktail lounge or nightclub as defined by the NBMC. 21.No alcoholic beverages shall be consumed on any property adjacent to the licensed premises under control of the licensee. 22.There shall be no live entertainment and no dancing by patrons, as defined by Section 5.32.010 of the NBMC. Amplified sound is prohibited. 23.Strict adherence to occupancy limits is required. 24.The exterior of the business shall be always maintained free of litter and graffiti. The owner or operator shall provide for daily removal of trash, litter debris, and graffiti from the premises and on all abutting sidewalks within 10 feet of the premises. Graffiti shall be removed within 48 hours of written notice from the City. 25.There shall be no exterior advertising or signs of any kind or type, including advertising directed to the exterior from within, promoting or indicating the availability of alcoholic Zoning Administrator Resolution No. ZA2023-017 Page 11 of 11 01-17-23 beverages. Interior displays of alcoholic beverages or signs which are clearly visible to the exterior shall constitute a violation of this condition.