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HomeMy WebLinkAboutOverstreet's Wine Merchant & Wine Bar (PA2002-167)rFa"�e, CITY OF NEWPORT BEACH Hearing Date: November 7, 2002 PLANNING DEPARTMENT Agenda Item: 3 3300 NEWPORT BOULEVARD Staff Person: Bill Cunningham NEWPORT BEACH, CA 92658 (949) 644 -3234 (949) 644 -3200; FAX (949) 644 -3229 Appeal Period: 14 days after final action REPORT TO THE PLANNING COMMISSION PROJECT: Overstreet's Wine Merchant & Wine Bar (PA2002 -167) 3400 Via Lido SUMMARY: Request for an amendment to a previously- approved use permit to include the sale of distilled spirits (Type 47: beer, wine & spirits) for on -site consumption, to permit live entertainment, and to expand the hours of operation from 11:00 pm to 12:00 midnight on Fridays and Saturdays at an existing retail Alcoholic Beverage Outlet located in Lido Village. RECOMMENDED ACTION: Adopt Resolution No._ approving the requested Amendment to Use Permit No. 2001 -005 (PA2002 -167) with conditions. APPLICANT: Dennis & Christine Overstreet 3400 Via Lido Newport Beach, CA 92663 PROPERTY OWNER: Dennis & Christine Overstreet LOCATION: 3400 Via Lido (Lido Village) LEGAL DESCRIPTION: Lot 2 of Tract 1235 GENERAL PLAN: Retail & Service Commercial ZONING DISTRICT: Retail and Service Commercial (RSC) Q <>7 v 0 200 400 Feet �a. T io 1!P ox VICINITY MAP Amendment to Use Permit No. 2001 -005 (PA2002 -167) 3400 Via Lido Current Development: Existing wine sales and wine tasting business. To the north: Retail and service commercial. To the east: Retail and service commercial across Via Oporto. To the south: Retail and service commercial Via Lido Plaza across Via Lido. To the west: Retail and service commercial. (oapplicann>( «application»)) ( «7neetingdate )>) Page 2 of 9 Site /Project Overview The wine sales and tasting business is existing and located at the northwest corner of the intersection of Via Lido and Via Oporto. Currently, the business operates with a Type 21 off - sale general license and a Type 42 on -sale beer and wine license for wine tasting only. The applicant proposes the following modifications to the original use permit: 1. Pen-nit the sale of distilled beverages for on -site consumption (Type 47 license); 2. Permit live entertainment; and 3. Expand the hours of operation from 11:00 pm on Fridays and Saturdays, to 12:00 midnight. The applicant proposes to maintain the size and other operating characteristics as approved under Use Permit No. 2001 -005 in that there are no interior or exterior modifications proposed to the building, and the maximum number of patrons on the premises at any time is to continue to be limited to 29 persons. In addition, as originally approved, only limited food service was to be provided such as hors d'oeuvres and light snacks. Applicant has submitted a copy of the menu which indicates that the food service is somewhat extensive, but staff believes that the food service is supportive of the retail business and is not classified as an eating and drinking establishment (see discussion that follows). The live entertainment is proposed for seven days a week, and will consist of three- musicians offering "light jazz and contemporary music." As approved and conditioned, the wine tasting and food service portion of the business is limited to Suite B, and the retail portion limited to Suite A (note: the plans submitted with this application have changed the designation of Suite A to "Unit Al ", and Suite B to "Unit A2" -- the size of each portion of the business remain unchanged). Background Use Permit No. 2001 -005 was approved by the Planning Commission on April 5, 2001. The approval was for "a new alcoholic beverage license (Type 21, off -sale general) in conjunction with a fine wine retail establishment [with] periodic on -site wine tasting seminars in the evenings for approximately 30 people with a Type 42 alcohol license. " , Included in the original application was a request for a parking waiver. In discussing the applicant's request at the April 5, 2001 put lic hearing, the Planning Commission had expressed concern that the on -site sale of wine be an ancillary use to the retail sale of alcoholic beverages for off -site consumption, and that the use was not classified as an eating and drinking establishment or bar. The Planning Commission's concerns with respect to this point related to the high number of alcohol - related crimes within the vicinity of the subject property, and the lack of on -site parking and limited number of parking spaces in close proximity to the site. To that end, the Planning Commission adopted a number of conditions (and added revisions to other conditions recommended by staff) that were intended to ensure that the business would be operated primarily as a retail use and would not operate as a restaurant or evolve into a bar or cocktail lounge. Specifically, the Planning Commission approved the use subject to, among other conditions, the following: (oapphcanw ( <<applicatiowu)) («meetingdate ») Page 3 of 9 • Condition No. 1 stated that "the alcoholic beverage outlet is hereby defined as a retail establishment for off-site consumption as the primary and principal use... on -site consumption of alcoholic beverages shall be limited to wine tasting and shall be accessory and subordinate to the principal retail use and sales shall not exceed 20 percent of gross sales... " • Condition No. 5 that stated "approval does not permit the premises to operate as an eating and drinking establishment, restaurant, bar, tavern, cocktail lounge or night club... " The minutes of the April 5, 2001 Planning Commission meeting and the finding and conditions of approval for Use Permit No. 2001 -005 are included as Exhibit No. 2. Analysis In analyzing the applicant's request, staff evaluated whether or not the change in the uses and business operation proposed by the applicant would materially change the use classification. The applicant is requesting a new Type 47 Department of Alcoholic Beverage Control license to permit the on -site consumption of alcoholic beverages including distilled beverages. A Type 47 license is a restaurant license where the business must operate and maintain a bona fide eating place and make substantial sales of meals during normal meal times. Included within the request is an extension of the closing time from 11:00 pm to 12:00 midnight Fridays and Saturdays, and live entertainment seven days a week. As discussed above, the staff evaluation and Planning Commission discussion of the original request centered on the business operating as a retail use, with the majority of the sales related to the retail sales of wine. Therefore, conditions were included that 1) prohibited the on -site consumption of beer, 2) prohibited live entertainment, and 3) required that on -site consumption of wine be as an accessory use to retail sales as the principal use and that the business not operate as a restaurant. In addition, as indicated in the attached minutes of the April 5, 2001 Planning Commission meeting, the applicant represented that the on -site consumption of wine would be limited to small sample sizes (one ounce or less) only. While the requested changes could be viewed as a potential to change the classification of the business, the applicant has stated that the intent is to remain as a business specializing in wine sales with ancillary wine tasting and consumption with light snacks and small food portions, and they have stated that they intend to continue to comply with the original conditions restricting the on -site consumption of alcoholic beverages to not exceed 20 percent of gross sales. Staff has included that condition in the draft resolution (Condition No. 4). Related to the classification of the business is the extent of the food service being offered at the business. As noted above, the original application included minor hors d'oeuvres and snacks. The applicant has submitted their menu (included as Exhibit No. 3), which shows the array of food items being offered is extensive. However, the menu items are mostly small portions and are offered with accompanying wine selections. Because of this, staff believes the food service remains accessory to the primary function of retail sales of wine, and staff notes that the kitchen facilities are very limited in terms of size and equipment. Therefore, in staff s opinion, the food service is ancillary to the on -site alcoholic beverage consumption and the business does not constitute an eating and drinking establishment. The findings and conditions of the original (oapplicann) («application»)) (ameetingdate ») Page 4 of 9 application approval restricting the on -site food and alcohol sales receipts has been carried forward in the draft resolution. City Council Policy K -7 states that establishments are defined as a bar or cocktail lounge if they demonstrate either one or both of the following characteristics: A. Is licensed as a 'public premises " by the Department of Alcoholic Beverage Control, Or B. Provides an area for serving alcoholic beverages that is operated during hours not corresponding to regular meal service hours. Food products sold or served incidentally to the sale or service of alcoholic beverages shall not be deemed as constituting regular meal service. A Type 47 license is a restaurant license and not a `public premises." ABC defines a restaurant as having normal dining hours of between 6:00 p.m. and 9:00 p.m. The applicant proposes to service food from 11:00 a.m. to 12:00 midnight, which can be viewed as "not corresponding to regular meal service hours" as stated in Item B of City Council Policy K -7. However, for the reasons discussed above, staff is of the opinion that the business continues to operate as a retail business with ancillary on -site alcoholic beverage consumption. Therefore, City Council Policy K -7 does not apply. General Plan The City's General Plan designates the site as Retail and Service Commercial, with an allowable floor area ratio for the Lido Village area of 0.5/0.75 FAR. Retail sales of alcoholic beverages and ancillary uses thereto such as wine tasting and minor food service is a permitted use within the Retail Service Commercial designation. As noted in the original staff report for the April 5, 2001 Planning Commission meeting, the building exceeds the allowable General Plan FAR with an existing FAR of 0.83. However, as noted in that staff report, the building is considered legal, nonconforming and the project did not, and does not now, include an increase in floor area. Therefore, the applicant's request is consistent with the General Plan. Alcoholic Beverage Ordinance (ABO) In accordance with Section 20.89.030A of the ABO, a use permit shall be required for any existing alcoholic beverage outlet if the business changes its type of retail liquor license with the Department of Alcoholic Beverage Control. Therefore, this staff analysis is required in conjunction with the ABO. The purpose of the ABO Ordinance is to preserve a healthy environment for residents and businesses by establishing a set of consistent standards for the safe operation of alcoholic beverage outlets, while preventing alcohol - related problems. The ABO requires the Planning Commission to consider the following factors: 1. Whether the use serves public convenience or necessity. 2. The crime rate in the reporting district and adjacent reporting districts as compared to other areas in the City. («applicant)) (aappGcation )) («meetingdate >>) Page 5 of 9 3. The number of alcohol licenses per capita in the reporting district and in adjacent reporting districts as compared to the county -wide average. 4. The numbers of alcohol - related calls for service, crimes or arrests in the reporting district and in adjacent reporting districts. 5. The proximity of the alcoholic beverage outlet to residential districts, day care. centers, park and recreation facilities, places of religious assembly, and schools. In accordance with the foregoing, and in order to provide the Planning Commission with the necessary data and analysis to make the required findings, each of the foregoing factors are discussed as follows: 1. Public Convenience or Necessity. The business has been in operation for approximately one year, and has been operating as a retail wine merchant with ancillary on -site wine tasting. As noted above, the change in the license to a full on -site alcohol sales (Type 47), and the introduction of live entertainment, will not substantially change the operating characteristics and the business continues to be classified as retail alcoholic beverage sales with ancillary on -site alcoholic beverage consumption. The Police Chief is designated by Council Policy K -7 to be responsible for making an official finding of Public Convenience and Necessity on behalf of the City. The Police Department's report (included as Exhibit No. 5) states that the new proposed use will substantially change the use as currently exists, and "could arguably make the business more like a bar /cocktail lounge and less like a restaurant that provides alcoholic beverages in conjunction with food service. " The Police Department concludes that the proposed changes will likely result in an increase in police activities in the area, and they state that "it is difficult for the Police Department to endorse the propose intensified use permit modification. " In addition, it is noted by both Planning and Police Department staff that the area is characterized by a number of existing establishments that have on -site service of alcoholic beverages. However, the Police Department analysis was based on the business changing to a bar or cocktail lounge, and there appears to be incomplete clarity relative to the exact operating characteristics of the business. Therefore, the Police Department report leaves the decision to the Planning Commission with respect to the changes requested by the applicant. As discussed above, the changes do not materially change the overall operating characteristics of the business, which continue to operate as a retail wine business with ancillary on -site alcoholic beverage and food consumption. Therefore, in staff's opinion, the Pubic Convenience or Necessity finding contained in the original approval can continue to be made for this amendment request. 2. Crime Rate. Citywide, there were 6,955 crimes reported during calendar year 2001, of which 2,852 were Part One Crimes (serious offenses). The remaining 4,103 were Part Two Crimes that include alcohol related arrests. The project site, located within the Lido Village area, is located within Police Reporting District No. 15. During 2001, the number of Part One Crimes in RD No.15 was 367 and the number of Part Two Crimes was 912. Adjacent Reporting Districts are Nos. 16 and 13. RD No. 16 had 178 Part One and 424 Part Two Crimes; and RD No. 13 had 101 Part One and 161 Part Two Crimes. As noted in the Police Department report, the crimes within the reporting district of the project site are higher than surrounding RD's, and are significantly higher than the City -wide average. The reported crimes within RD No. 15 are (oapplicant>> (aapplication>>)) (omeetingdato» ) Page 6 of 9 over 500% above the City -wide reporting district average. Even though the Police Department has expressed a concern that the revised operating characteristics requested by the applicant could result in the business operating more like a bar or cocktail lounge, the business will continue to operate primarily as a retail premium wine shop with ancillary on -site alcoholic beverage consumption. Therefore, in staff's opinion, the original finding can continue to be made that the business will not result in an increase in crime rate within the area. 3. Over Concentration. The request will result in one additional on -site alcohol beverage (Type 47) license within RD No. 15. There are a total of 70 active ABC licenses within RD No. 15. The census tract within which the business is located has a higher ratio of liquor licenses (1 license per every 88 persons) when compared with the average ratio for Orange County (1 license per every 590 persons), and the area has a number of businesses with Type 47 licenses. However, the new Type 47 license is a replacement for the existing Type 42 license. Therefore, there will be no net increase in the total number of ABC licenses within the reporting district. 4. Alcohol Related Crimes. The Police Department has provided statistics for driving under the influence and plain drunk arrests. There were 137 driving under the influence arrests and 476 plain drunk arrests within RD No. 15 in 2001. The percentage of alcohol related arrests within RD No. 15 is 68.7 %. City -wide, alcohol related arrests account for 48.7% of all arrests made. The alcohol - related arrest rate in the two adjacent reporting districts is 62.4% for RD No. 16 and 50.9% for RD No. 13. (A map of the reporting districts is included in Exhibit No. 4.) The rate within RD No. 15, within which the project is located, is higher than the city-wide average and also higher than the two adjacent RD's. As noted above, the Police Department report states that the changes proposed will result in a use more like a bar or cocktail lounge, and could result in a likely anticipated increase in police related activities. However, the use classification is not being changed, and the business will continue to operate primarily as a retail wine shop with ancillary alcoholic beverage sales. 5. Adjacent Uses. The site is located within the Lido Village area that is predominantly commercial. The project site is not adjacent to sensitive land uses, and there are no day care centers, schools, or park and recreation facilities in the vicinity of the project site. The nearest residential uses are located approximately 600 feet to the west across Newport Boulevard, and approximately 600 feet to the southeast along the easterly side of Via Lido. A concern also discussed in the staff report for the use as it was originally proposed in 2001 was relative to the potential to change the operational characteristics given a change in ownership. The business has operated for approximately one year with no known alcohol - related problems. However, the past operation has been with on -site alcohol consumption on a limited basis and incidental to the retail sales of wine. The proposed change would result in the business operating with a Type 47 license that will allow full liquor service for on -site consumption, and with live entertainment. As noted in the 2001 staff report, a use permit runs with the land and not with the individual. Staff is concerned relative to the potential adverse effects which may result if the business were sold to an operator that wished to change the characteristics resulting in less emphasis on the sale of fine wines, or change the type of live entertainment provided. This concern is tempered somewhat by the fact that the applicant is also the owner of the property, but staff remains concerned about a potential future operator of the business who could lack the («applicant» («application»)) (ameetingdateo) Page 7 of 9 sensitivity to alcohol - related issues demonstrated by the current business owner. Nevertheless, these concerns relate primarily to the potential for the business being changed to a bar or cocktail lounge use. In response to this concern, staff has included a condition (No. 9) requiring future owners to be notified of the conditions and submittal of a letter by the owners acknowledging acceptance of the limitations and conditions. Hours of Operation The applicant's request includes an amendment to the operating hours. The existing conditions for the use permit include the hours of operation limited to 10:00 a.m. to 11:00 p.m. daily for the retail portion of the business, and from 1:00 p.m. to 11:00 p.m. for the wine tasting portion. Applicant is requesting that the wine tasting portion of the business be expanded to 12:00 midnight on Fridays and Saturdays. Staff does not feel that the request to extend the hours of operation as requested by the applicant is unreasonable. Parking The original approval of Use Permit No. 2001 -005 included a parking waiver. The site is nonconforming in that there are no off - street parking spaces provided on the site. The analysis at that time determined that the use (retail alcohol sales with ancillary on -site wine tasting) would require 21 parking spaces. This parking requirement was based on the retail portion of the business being 1,328 square feet and computed on the standard of one parking space per 250 square feet of floor area; and the wine tasting/seminar portion based on a maximum of 29 patrons and six employees. In granting the parking waiver it was noted that a parking management plan exists for 22 spaces provided within Lido Marina Village parking garage, and a Condition ( #18) was included within the approving action requiring the applicant to submit documentation that at least 21 spaces are available. Subsequently, a copy of the parking agreement between the applicant and the Lido Marina Village parking garage was submitted and it stipulates that a total of 33 spaces have been made available to the business. The applicant has submitted a menu that suggests that the food service goes beyond light snacks and hors d'oeuvres. However, for the reasons discussed above, staff continues to classify the food service as ancillary to the predominate retail use of the business. However, staff notes that the original approval included a parking waiver that was based on the use being as retail sales with ancillary wine tasting and light food service. If the use classification were to be changed to an eating and drinking establishment, the parking requirement would increase for that portion of the business (i.e., the portion operated in Suite A2). Suite A2 consists of 1,263 square feet. The parking standard for eating and drinking establishments ranges from one parking space for every 30 to 50 square feet resulting in a requirement of 26 to 43 spaces for that portion of the business. Therefore, if the business is classified as an eating and drinking establishment, the parking waiver increases from 21 spaces, to 37 to 48 spaces. Since this analysis was based on the business classification remaining unchanged, a waiver of parking was not advertised as part of the public hearing notice. If, however, the Planning Commission determines that the use classification is in fact changing to that of an eating and drinking establishment, it will be necessary to continue the public hearing and send out a revised public hearing notice. («applicant» ( <<applicatiow)) ( «meetingdate >>) Page 8 of 9 Environmental Review This project has been reviewed, and it has been determined that it is categorically exempt from the requirements of the California Environmental Quality Act under Class 1 (Minor Alteration of Existing Structures). Conclusion In summary, staff believes that the changes requested by the applicant will not result in a substantial change in the operating characteristics of the business, which will continue to operate as a retail alcoholic beverage outlet with on -site alcoholic beverage consumption and food service that is incidental to the retail sales. If the Planning Commission agrees with this conclusion, staff believes, the findings of the ABO continue to be met by the findings contained within the approving action for the original use permit, in which case it would be appropriate for the Planning Commission to adopt the draft resolution of approval. The Commission has the option to determine that the business classification has changed to that of a bar or cocktail lounge, in which case, and in accordance with City Council Policy K -7, it would be necessary to deny the amendment. Staff has included Findings for Denial as Exhibit No.2. The Commission also has the option to determine that the portion of the business with on -site food and alcoholic beverage consumption is classified as an eating and drinking establishment. If so determined, it is necessary to continue the public hearing and instruct staff to re- notice the item to include an amendment to the parking waiver. Submitted by: Prepared by: PATRICIA L. TEMPLE WILLIAM CUNNINGHAM Planning Director Contract Planner Il .\ NM Exhibits Resolution No. 2002 -_, findings and conditions of approval 2. Findings for denial 3. Food service menu 4. Letter and project description from applicant S. April 5, 2001 Planning Commission minutes and conditions of approval 6. Police Department report 7. Project plans ((<apphc=t>) (oapplicatiom)) ( «meetingdateo) Page 9 of 9 EXHIBIT 1 RESOLUTION NO. _ A RESOLUTION OF THE PLANNING COMMISSION OF THE CITY OF NEWPORT BEACH APPROVING AMENDMENT TO USE PERMIT NO. 2001 -005 (PA2002 -167) FOR PROPERTY LOCATED AT 3400 VIA LIDO THE PLANNING COMMISSION OF THE CITY OF NEWPORT BEACH HEREBY FINDS, RESOLVES AND ORDERS AS FOLLOWS: Section 1. An application was filed by Dennis and Christine Overstreet with respect to property located at 3400 Via Lido and legally described as Lot 2 of Tract 1235, requesting approval of Amendment to Use Permit No. 2001 -005 pursuant to the Alcoholic Beverage Outlet Ordinance (ABO) to authorize a Type 47 ABC license for on -site consumption of general alcoholic beverages, live entertainment, and expansion of hours of operation. Section 2. A public hearing was held on November 7, 2002 in the City Hall Council Chambers, 3300 Newport Boulevard, Newport Beach, California. A notice of time, place and purpose of the aforesaid meeting was given. Evidence, both written and oral, was presented to and considered by the Planning Commission at this meeting. Section 3. The Planning Commission finds as follows: The proposed location of the alcoholic sales establishment needing this use permit, and the proposed conditions under which it would be operated or maintained, is 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 structure that the proposed use will occupy is legal, nonconforming with respect to the maximum floor area ratio, however, the proposed changes in the use do not increase the gross floor area of the building. The amended use permit pertains to the on -site consumption of alcoholic beverages in conjunction with retail alcoholic beverage sales in a building that is designated and zoned for this activity. The use has been conditioned in such a manner to minimize the impacts associated with the sale of alcoholic beverages. The plans, as conditioned, meet the design and development standards for alcoholic sales. 2. The operational characteristics of the proposed use, including the hours of operation, are consistent with Municipal Code requirements. Any change in the operational characteristics, including a change in the hours of operation, would require an amendment to the Use Permit, reviewed by the Planning Commission. 3. The proposed project is consistent with the purpose and intent of Chapter 20.89 of the Municipal Code (Alcoholic Beverage Outlets Ordinance) for the following reasons: Il City of Newport Beach Planning Commission Resolution No. _ Pa ,ze 2 of 7 a. The convenience of the public can be served by the sale of desired beverages in conjunction with a full- service, sit -down restaurant that is complementary to surrounding uses within the Lido Village area. Alcohol service is typical and expected by the public in a full- service restaurant setting. b. The crime rate in the police reporting district and adjacent reporting districts is not likely to increase as a result of the proposed use provided that the use is operated as an eating and drinking establishment, with the on -site consumption of alcohol incidental to the restaurant use. C. The number of alcohol licenses within the report districts and adjacent reporting districts is high given the nature of the land uses in the district and when compared with County-wide data, but the change in the license classification of a Type 42 to a Type 47 will not result in an increase in licenses within the report district. d. The percentage of alcohol - related arrests in the police reporting district in which the project is proposed is higher than the percentage citywide. However, on -site consumption is not expected to increase alcoholic related crime in that the use is incidental to the use of the site as an eating and drinking establishment. e. There are no sensitive uses such as residences, day care centers, schools, or park and recreation facilities in the vicinity of the project site. 4. The project has been reviewed, and it qualifies for a categorical exemption pursuant to the California Environmental Quality Act under Class 1 (Minor alteration of existing structures). Section 4, Based on the aforementioned findings, the Planning Commission hereby approves Amendment to Use Permit No. 2001 -005, subject to the Conditions set forth in Exhibit "A." Section 5. This action shall become final and effective fourteen days after the adoption of this Resolution unless within such time an appeal is filed with the City Clerk or this action is called for review by the City Council in accordance with the provisions of Title 20, Planning and Zoning, of the Newport Beach Municipal Code. Q, City of Newport Beach Planning Commission Resolution No. _ Paee 3 of 7 PASSED, APPROVED AND ADOPTED THIS 7th DAY OF NOVEMBER 2002. M M Steven Kiser, Chairman Shant Agajanian, Secretary W— dW1 NOES: l3 City of Newport Beach Planning Commission Resolution No. _ Paee 4 of 7 EXHIBIT "A" CONDITIONS OF APPROVAL AMENDMENT TO USE PERMIT NO. 2001-005 1. The development shall be in substantial conformance with the approved plot plan, floor plan, and elevations dated January 22, 2001. 2. Amendment to Use Permit No. 2001 -005 shall expire unless exercised within 24 months from the date of approval as specified in Section 20.91.050 of the Newport Beach Municipal Code, unless an extension is otherwise granted. The Amended Use Permit for an alcoholic beverage outlet granted in accordance with the terms of this Chapter (Chapter 20.89 of the Newport Beach Municipal Code) shall expire within 12 months from the date of approval unless a license has been issued or transferred by the ABC prior to the expiration date. In the event of expiration, the uses and conditions shall revert to the approval and conditions therein as approved for Use Permit No. 2001 -005 as approved and conditioned by the Planning Commission on April 5, 2001. 3. The applicant is required to obtain all applicable permits from the City Building and Fire Departments. The construction plans must comply with the most recent, City- adopted version of the California Building Code. The construction plans must meet all applicable State Disabilities Access requirements, Adequate access and exiting must be cleared through the Building Department, and a second exit shall be provided in a manner and location that does not exit into the outdoor eating or waiting areas. Specifically, approval from the Orange County Health Department is required prior to permit issuance. A grease interceptor of adequate size is required in association with food preparation activities. 4, The alcoholic beverage outlet is defined as a retail establishment for the sale of general alcoholic beverages for off -site consumption as the primary and principal use of the project site. On -site consumption of alcoholic beverages shall be accessory and subordinate to the principal retail use and sales shall not exceed 20 percent of gross sales. The sale of distilled spirits shall not exceed 15 percent of gross receipts of all off -site alcohol sales. The applicant or operator shall maintain adequate records to determine compliance with this condition and shall provide the City said records when requested. 5. The interior area authorized for on -site alcoholic beverage consumption in conjunction with a Type 47 license shall be limited to 1,263 sq. ft. as delineated on the approved floor plans as "Unit A2" The interior area authorized for the retail sales for general alcoholic beverages for off -site consumption shall be limited to 1,328 sq. ft. as delineated on the approved floor plans as "Unit Al." Substantial changes to the floor plans shall require prior approval by the Planning Commission. Any increase in area of either Unit Al or Unit A2 shall be deemed substantial for the purposes of requiring review by the Planning Commission. 6. Hours of operation shall be from 10 :00 AM to 11:00 PM, daily for the retail portion of the project, and 1:00 PM to 12:00 midnight Fridays and Saturdays and 1:00 p.m. to 11:00 p.m. Sunday through Thursday for the eating and drinking portion of the project. Organized educational seminars shall not be conducted more than 3 days per week. �a City of Newport Beach Planning Commission Resolution No. _ Page 5 of 7 7. All owners, managers and employees selling alcoholic beverages shall undergo and successfully complete a certified training program in responsible methods and skills for selling alcoholic beverages. The certified program must meet the standards of the California Coordinating Council on Responsible Beverage Service or other certifying/licensing body, which the State may designate. The establishment shall comply with the requirements of this section within 180 days of the issuance of the certificate of occupancy. 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. 8. Live entertainment shall be limited to three musicians or less, and music shall be limited to indoor areas only. 9. That any change in operational characteristics, hours of operation, expansion in area, or operation characteristics, or other modification to the floor plan, shall require an amendment to this Use Permit or the processing of a new Use Permit. 10. Should this business 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 the leasing agent. Future owners, operators or assignees shall submit, within 30 days of transfer or sale of the business or alcohol license, a letter to the Planning Department acknowledging their receipt and acceptance of the limitations and conditions of approval of this Use Permit. 11. The Planning Commission may add to or modify conditions of approval to this Use Permit or recommend to the City Council the revocation of this Use Permit upon a determination that the operation which is the subject of this Use Permit causes injury, or is detrimental to the health, safety, peace, morals, comfort, or general welfare of the community. 12. The exterior of the restaurant and alcoholic beverage outlet shall be maintained free of litter and graffiti at all times. The owner or operator shall provide for daily removal of trash, litter debris and graffiti from the premises and on all abutting sidewalks within 20 feet of the premises. 13. The alcoholic beverage outlet operator shall take reasonable steps to discourage and correct objectionable conditions that constitute a nuisance in parking areas, sidewalks and areas surrounding the alcoholic beverage outlet and adjacent properties during business hours, if directly related to the patrons of the subject alcoholic beverage outlet. If the operator fails to discourage or correct nuisances, the Planning Commission may review, modify or revoke this Use Permit in accordance with Chapter 20.96 of the Zoning Code. 14. The sale of distilled spirits shall not exceed 15% of gross receipts of all off -site alcohol sales. The applicant or operator shall maintain adequate records to determine compliance with this condition and shall provide the City said records when requested. 15. Alcoholic beverage sale from drive -up or walk -up windows shall be prohibited. \t City of Newport Beach Planning Commission Resolution No. _ Page 6 of 7 16. The applicant shall comply with all federal, state, and local laws. Material violation of any of those laws in connection with the use will be cause for revocation of this permit. 17. This Use Permit may be modified or revoked by the City Council or Planning Commission should they determine 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. 18. A Special Events Permit is required for any event or promotional activity outside the normal operational characteristics of this restaurant business that would attract large crowds, include any form of on -site media broadcast, or any other activities as specified in the Newport Beach Municipal Code to require such permits. 19. Any event or activity staged by an outside promoter or entity, where the business owner or his employees or representatives share in any profits, or pay any percentage or commission to a promoter or any other person based upon money collected as a door charge, cover charge or any other form of admission charge, including minimum drink orders or sale of drinks is prohibited. 20. The operator of the restaurant facility shall be responsible for the control of noise generated by the subject facility. The noise generated by the proposed use shall comply with the provisions of Chapter 10.26 of the Newport Beach Municipal Code. The maximum noise shall be limited to no more than depicted below for the specified time periods unless the ambient noise level is higher: 21. Loitering, open container, and other signs specified by the Alcoholic Beverage Control Act shall be posted as required by the ABC. 22. The owner /operator of the use shall enter into an agreement to provide and maintain a minimum of 21 parking spaces within the Lido Marina Village parking garage to be accessible at all times during the operation of the use. 23. The applicant or operator of the facility may provide valet attendant service for the use in conjunction with the Lido Marina Village parking garage. The applicant or operator shall prepare \(D Between the hours of 7:OOAM and 10:OOPM Between the hours of 10:00PM and 7:OOAM Location Interior Exterior Interior Exterior Residential Property 45dBA SSdBA 40dBA SOdBA Residential Property located within 100 feet of a commercial property 45dBA 60dBA 45dBA 50dBA Mixed Use Property 45dBA 60dBA 45dBA 50dBA Commercial Property I N/A 65dBA N/A 60dBA 21. Loitering, open container, and other signs specified by the Alcoholic Beverage Control Act shall be posted as required by the ABC. 22. The owner /operator of the use shall enter into an agreement to provide and maintain a minimum of 21 parking spaces within the Lido Marina Village parking garage to be accessible at all times during the operation of the use. 23. The applicant or operator of the facility may provide valet attendant service for the use in conjunction with the Lido Marina Village parking garage. The applicant or operator shall prepare \(D City of Newport Beach Planning Commission Resolution No. _ Paee 7 of 7 a valet operated parking plan to be reviewed and approved by the City Traffic Engineer prior to the commencement of the valet service use. 24. Delivery vehicles shall not park within the public right -of -way of Via Lido and Via Oporto. 25. Trash generated by the business shall be screened from view from adjoining properties except when placed for pick -up by refuse collection agencies. 26. No outdoor loudspeaker or paging system shall be permitted in conjunction with the operation. 27. All signs shall conform to the provisions of Chapter 20.67 of the Municipal Code. 28. No temporary "sandwich" signs or similar temporary signs shall be permitted, either on -site or off - site, to advertise the restaurant. 29. Where grease may be introduced into the drainage systems, grease interceptors shall be installed on all fixtures as required by the Uniform Plumbing Code, unless otherwise approved by the Building Department and the Utilities Department. 30. The project shall comply with State Disabled Access requirements. 31. Health Department approval is required for any changes to the kitchen and other portions of the building that require a Building Permit. N,\ EXHIBIT 2 FINDINGS FOR DENIAL PA2002 -167 (AMENDMENT TO UP2001 -005) FINDINGS: 1. The granting of a use that involves the sale and consumption of alcohol at this location does not meet the intent or requirements of Chapter 20.89 (Alcoholic Beverage Ordinance) for the following reasons: a. The proposed use does not serve the public convenience or necessity in that there is a high number of similar uses within the vicinity. b. The crime rate in the reporting district and adjacent reporting districts is higher than surrounding reporting districts and significantly higher than the City -wide crime rate. C. The per capita number of alcohol licenses within the reporting district of the subject business is higher than in adjacent reporting districts and considerably higher than the County -wide average. d. The number of alcohol - related calls for service, crimes or arrests in the reporting district of the subject business and the adjacent reporting districts are higher than the City -wide average. 2. Granting of the amendment to the use permit will result in the use classification of the business being changed. to a bar or cocktail lounge, and will result in the provisions of City Council Policy K -7 not being met in that the business is located within a reporting district that has a high crime rate with alcohol- related arrests at a significantly higher rate than adjacent report districts and the City as a whole. Under the provisions of City Council Policy K -7, the mandatory finding of Public Convenience and Necessity cannot be made. 1� Overstreet's Wine Bar 3400 Via Lido, Newport Beach, CA 92660 (949) 566 -9463 The Menu at Overstreet's t)c/. 2Y. -,2D6 )-'� When food and wine find a perfect marriage, it's a magical moment, an unforgettable sensual experience. —Dennis Overstreet Overstreet's New Wine Guide Small Plates Malpeque Oysters on the Half Shell / champagne mignonette / fleur de sel 1.25each Cured Olives / candied walnuts / coriander / lemon 3.00 Olive Tapenade / shallots / creme fraiche / toasted baguette 4.00 Croque Madame / bacon -onion marmalade / gruyere / field greens 6.00 Wild Mushroom Santee / creamy polenta / bleu cheese / balsamic reduction 10.00 Salads Grilled Figs / bleu cheese / parsley / shallots 6.00 Kenter Greens Salad / sherry vinaigrette / pine nuts / parmesan 6.00 English Cucumber Salad / cherry tomatoes / basil / balsamic vinegar 6.00 Heirloom Tomato Salad / basil / chevre / citrus vinaigrette 7.00 Chicken Ancho Chile Grilled Chicken / sweet cam salad / red onions / parsley 8.00 Five Spice Chicken / coconut steamed rice / ginger broth / bamboo shoots 9.00 Pan Roasted Chicken Breast / wild mushroom / cous coos / pine nuts 9.00 Overstreet's Hine Bar 3400 Via Lido, Newport Beach, CA 92660 (949) 566 -9463 From The Sea Cold Smoked Tasmanian Salmon / dill cr6me fraiche / vodka / mesclun mix 8.00 Steamed Mussels / white wine / garlic / shallots 9.00 Ginger -Soy Marinated Prawns / star anise panna -cotta / scallions 10.00 Ahi Tuna Tartare / Asian aioli / guacamole / ponzu sauce 12.00 Pan Roasted Alaskan Halibut / fava beans / tomatoes / English peas 12.00 Pan Seared Sea Bass / celery root puree / English pea emulsion / black sesame 12.00 Traditional loz. Service of Caviar I chives I egg I shallots / capers / toast points Sevruga 55.00 Ossetra 65.00 Beluga 75.00 From The, Land Roasted Lamb Chops I cranberries / cous cous / mustard jus. 14.00 Seared Foie Gras / caramelized figs I balsamic gastrique I frisee 2100 For Dessert All Desserts, 7.50 Berry Trifle / raspberries / blackberries / whipped cream Franjelico- infused Chocolate Mousse 1 single - estate chocolate / whipped cream Black & White Sundae / chocolate sauce / marshmallow cream / vanilla bean ice -cream Tapioca Brulee / caramelized sugar / mint / blueberries 'j,�J Overstreet's Wine Bar 3400 Via Lido, Newport Beach, CA 92660 (949) 566 -9463 The Cheese Degustation There are more than 2,000 cheeses in the world. Here, Chef Jason has selected a few of his current favorites. What's more, to fully explore the cheese's full range of flavor, he has paired each cheese with key ingredients. Much like wine, cheese can be described in terms beyond the obvious. Seldom does someone say, "This wine tastes like grapes." More often one hears, "This wine kinda tastes like...grass /vanilla/wood/smoke /pears." The same can be said for cheese. Close your eyes, take a bite and ... enjoy! Our Current Compositions Goats Milk Gouda, raspberries — peppery / tangy / from Holland Pave du Morin, Whisky- smoked pecans soft / refreshing / creamy (cream is actually added!) French cow's milk Point Reyes Blue, walnuts, honey -- -California's only classic -style blue cheese Rochebaron, candied cashews, blackberries soft French cow's milk cheese / swathed in ash Crottin de Chavignol, peach, balsamic reduction salty yet sweet French goat's cheese One Cheese Composition 7.00 Three Cheeses 12.00 Artisan Cheese Board, the entire selection of five cheeses 15.00 Please Note: All cheese served at Overstreet's Wine Bar can be purchased at our retail counter. Take home a little wedge of heaven! �4 el Overstreet's Wine Bar 3400 Via Lido, Newport Beach, CA 92660 (949) 566 -9463 The Prix Fixe The Prix Fixe menu is the crux of the Overstreet's mission. Here, we've paired some of our favorite plates with wines that offer both balance and symmetry. Certain pairings help to accentuate or highlight a flavor, while other pairings are simply to counteract or tame an unruly ingredient. Always changing and always fun, the Overstreet's Prix Fixe is a total- dining - experience. Kick up `yer' heels and settle in! Prix Fixe # 37 Three Courses Paired With Three Glasses of Wine 45.00 English Cucumber Salad // Chateau Haut Rian, Bordeaux Ahi Tuna Tartare // Torh Mor, Pinot Blanc Cheese Composition: Pave du Morin, whisky - smoked pecans // Dehesa Gago Prix Fixe #12 Three Courses Paired With Three Glasses of Wine 45.00 Kenter Greens Salad I/ Teruzzi & Puthod, Terre di Tufi Ginger -Soy Marinated Prawns // Gerhard, Riesling Cheese Composition: Rochebaron, cashews and blackberries // Baileyana, Pinot Nair Prix Fixe #82 Five Courses Paired With Five %s Glasses of Wine 65.00 Heirloom Tomatoes It Bouvet Pan Roasted Chicken // Chateau Montelena, Chardonnay Grilled Figs // Byington "Alliage," Californian Bordeaux -style blend Cheese Composition: Croton de Chavignol, peach and balsamic reduction 11 Echeverria Berry Trifle // Chateau Coutet, Barsac Prix Fixe 961 Five Courses Paired With Five li Glasses of Wine 65.00 Kenter Greens Salad // Colombelle Cold Smoked Tasmanian Salmon // Sokol Blosser, Evolution #9 Roasted Lamb Chops // Downing Family, Cabernet Sauvignon Cheese Composition: Point Reyes Blue, walnuts and honey // Fusee, Syrah Tapioca Brulee // Chateau Coutet, Barsac Please Note: Prix Fixe dinners are carefully planned for your enjoyment. Please, No Substitutions. r._ Overstreet's Wine Bar 3400 Via Lido, Newport Beach, CA 92660 (949) 566 -9463 ...bubbles Wine is the world's most intriguing beverage. It begets an endlessly fascinating conversation that involves mathematics, science, art, music, opinion, romance, speculation, desire... — Dennis Overstreet Overstreet's New Wine Guide pour bottle NV Bouvet, Ladubay Signature, Loire Valley, France 4.00 17.00 delicate, perfume, vanilla, candy, roses '99 Varichon & Clerc, Brut Blanc de Blanes, France 6.50 20.00 poignant, lively, creamy, toasty, citrus NV Piper- Heidsieck, Brut Champagne, France (split - bottle w /straw) 14.00 electrifying, fun, oyster shell, hazelnut, toast NV Lanson, Brut Champagne Black Label, France 12.00 50.00 proud, consistent, dough, honey, pepper NV Mumm de Cramant, Brut Blanc de Blanes, Champagne, France 20.00 65.00 determined, solid, crisp citrus, rare mineral '93 Dom Perignon, Brut Champagne, France 100.00 dignified, chic, toast, coffee, hazelnut 195 Louis Roederer, Cristal, Champagne, France 150.00 dazzling, opulent, rich, citrus, dough Don't see anything you like? Just ask! Our salon and cellar is filled with the best the world has to offer. Overstreet's Wine Bar bottle prices are based upon on -site consumption only. Wines from the salon and cellar may require a $15.00 corkage fee. Ask your server for details. Overstreet's Wine Bar 3400 Via Lido, Newport Beach, CA 92660 (949) 566 -9463 ...white light demi ,pour bottle 101 Colombelle, Cotes de Gascogne, France 1.25 3.50 15.00 vivid, appealing, green peach, lemon, mineral '00 Heather Ranch, Chardonnay, Russian River Valley 3.75 7.50 25.00 brooding, smoky pear, toast, butterscotch, melon '00 Torii Mor, Pinot Blanc, Oregon 5.00 10.00 25.00 graceful, peach, pear, melon, spice medium `01 Chateau Haut Rian, Bordeaux, France 3.00 6.00 20.00, surprising, rogue, grass, nuts, fruit '01 Gabriel Meffre, "Fat Bastard" Chardonnay, France 3.25 6.50 20.00 "get in my belly," butter, pear, citrus, monkey elbow 102 Isabel, Sauvignon Blanc, New Zealand 3.50 7.00 20.00 waif - runway- strut, pear, grapefruit, celery? '99 Kumeu River, Chardonnay, New Zealand 7.50 15.00 45.00 debonair, refined, apple, spice, peach ' full '99 Teruzzi & Puthod, Terre di Tull, Italy 2.25 5.50 20.00 graceful, darling, lemon, apple, vanilla '00 Gerhard, Riesling - Kabinett, Germany 3.00 6.00 25.00 brilliant, dense, nectarine, mineral, passion NV Sokol - Blosser, Evolution No. 9, Oregon 3.25 6.50 25.00 ...uncanny, complex, floral, sweet, dry '00 Chateau Montelena, Chardonnay, Napa Valley 4.00 8.00 28.00 stalwart, oak, apricot, fig, vanilla Don't see anything you like? Just ask! Our salon and cellar is filled with the best the world has to offer. Overstreet's Wine Bar bottle prices are based upon on -site consumption only. Wines from the salon and cellar may require a $15.00 corkage fee. Ask your server for details. LAI Overstreet's Wine Bar 3400 Via Lido, Newport Beach, CA 92660 (949) 566 -9463 ...red demi pour bottle light 198 Pascal Avril, Cabernet Franc, Chinon, Loire Valley, France 3.50 7.00 20.00 gentle, velvety, plums, spice, leather '99 Baileyana, Pinot Noir, Edna Valley 4.00 8.00 30.00 silky, suave, cherry, plum, sage '00 Elk Cove, Pinot Noir, Willamette Valley 5.00 10.00 32.00 prize - fighter, symmetric, strawberry, vanilla medium 100 Bodegas Toresanas, Dehesa Gago, Toro, Spain 2.25 4.50 20.00 aggressive, wild, plum, blackberry, rustic spice 198 Chateau Cruzeau, Pessac- L6ognan 4.50 9.00 32.00 berry, leaf, chocolate, tobacco, suede Puma's 199 Canoe Ridge, Merlot, Washington 4.75 9.50 35.00 smooth, chillin', black cherry, currant, chocolate full '99 Byington, "Alliage," Sonoma County 4.00 8.00 30.00 steadfast, blackberry, currant, smoke, mint NV Fusee, Syrah, California 4.00 8.00 30.00 shotgun blast, truckload of fire, currant, pepper, meat 199 Rex Hill, Pinot Noir, Willamette Valley 4.25 8.50 35.00 funky -fresh -fly, raspberry, chocolate, mingling licorice '99 Downing Family, Cabernet Sauvignon, Rutherford Valley 5.50 11.00 35.00 inky, anise, black currant, mocha, bee's knees 198 Virginie de Valandraud, St: Emilion, Bordeaux 9.00 18.00 70.00 kinky, smoky, vanilla - chocolate -love, berries Don't see anything you like? Just ask! Our salon and cellar is filled with the best the world has to offer. Overstreet's Wine Bar bottle prices are based upon on -site consumption only. Wines from the salon and cellar may require a $15.00 corkage fee. Ask your server for details. ,) t! d�'a Overstreet's Wine Bar 3400 Via Lido, Newport Beach, CA 92660 (949) 566 -9463 ...confection The only problem with so- called dessert wines, in my opinion, is dessert. Hemingway is supposed to have said that any man who eats dessert is not drinking enough. Jay McInerney Bacchus & Me, Adventures in the Wine Cellar our bottle '00 Robert Mondavi Winery, Moscato d'Oro, Napa Valley 6.50 28.00 austere, simple, sweet, litchi, pear NV Osbourne, Ruby Porto, Portugal 8.00 30.00 poised, lengthy, candy, dancing nancies, gorilla NV Bodegas Dios Baco, Sherry- "Oloroso," Spain 8.00 30.00 dapper, rich, hazelnut, semi - sweet, ole! 197 Chateau Coutet, Barsac, France 14.00 50.00 siren- esque, boundless, lemon, pineapple, honey NV Jean Fillioux, Pineau des Charentes, France 14.00 50.00 esoteric, heavenly, almond, caramel, a sweet bite Don't see anything you like? Just ask! Our salon and cellar is filled with the best the world has to offer. Overstreet's Wine Bar bottle prices are based upon on -site consumption only. Wines from the salon and q cellar may require a $15.00 corkage fee. Ask your server for details. 1 .Overstreet's Wine Bar 3400 Via Lido, Newport Beach, CA 92,660 (949) 566 -9463 ...flights three 15oz. pours 1. Chardonnay: A lesson in terroir (climate, microclimate, and soil composition) 15.00 —A diverse grape variety that, from one wine to the next, shows a complex range of character. The wines of this flight are all made from the exact same grape, but you'll soon taste the differences in climate, soil, and winemaking. Most interesting will be the major differences between the two Californian wines (a and c.) a. '00 Heather Ranch, Chardonnay, Russian River Valley b. '99 Kumeu River, Chardonnay, New Zealand c. '00 Chateau Mdntelena, Chardonnay, Napa Valley 2. Pinot Noir: Terroir with the world's most finicky grape. 15.00 Just when things couldn't get any more difficult ... Pinot Noir comes along! Not only does the vigneron (winemaker) have to deal with terroir, but also he.or she must contend with a grape variety that doesn't follow the rules! This genetically unstable grape has problems at every stage. Offspring grapes are often nothing like their parents. And due to a rare presence of 18 different amino acids, the grape can "act up" during its sometimes - violent fermentation. All this being true ... a great Pinot is like no other wine in the world! Ah! The sexy rewards of complexity! a. '99 Baileyana, Pinot Noir, Edna Valley b. '00 Elk Cove, Pinot Noir, Willamette Valley c. '99 Rex Hill, Pinot Noir, Willamette Valley 3. Bordeaux and Bordeaux - style: It's all about the blending! 19.00 France's Bordeaux region has long been at the pinnacle of winemaking excellence. Simply, in 1855 France built a classification tier for all of the major Chateaux; first through fifth growths. The Chateaux of the premier crus (first growths) produce the most sought after wines in the world. The "Big- Red - Guns:" Laftte- Rothschild, Margaux, Latour, Haut- Brion, Mouton - Rothschild. But beyond the history, beyond the terroir, and beyond the hundreds of years of knowledge... there is the blending. Usually, Bordeaux -style wine is driven by one of two grapes: Merlot or Cabernet Sauvignon. Then the two are balanced and rounded by several other grapes, namely Cabernet Franc, Petit Verdot, and Malbec. In this flight we offer one New World Bordeaux (a.) and two true Bordeaux's (b and c.), from one of the most famous St: Emillion estates, and a lesser known but respectable Pessac- Leognan offering. a. '99 Byington, "Alliage," Sonoma County b. '98 Chateau Cruzeau, Pessac- Leognan c. '98 Virginie de Valandraud, St.-Emil ion, Bordeaux 4. Build your own flight! Use our by- the -glass list to create your own tasting! Varies Don't see anything you like? Just ask! Our salon and cellar is filled with the best the world has to offer. Overstreet's Wine Bar bottle prices are based upon on -site consumption only. Wines from the salon and cellar may require a $15.00 corkage fee. Ask your server for details. ') 0 Overstreet's Wine Bar 3400 Via Lido, Newport Beach, CA 92660 (949) 566 -9463 .,limited engagement Throughout the course of the week the staff wildly cracks open random bottles for the sake of "education and evaluation." (Ahem) The wines here will eventually tun out, but while the bottle is cracked... we thought we'd be nice and share. All Pours, $5.00 white '99 Tahbilk Estate, Marsanne, Australia '01 Nautilus, Sauvignon Blanc, New Zealand '01 Seresin, Sauvignon Blanc, New Zealand '00 Wairau River, Sauvingnon Blanc, New Zealand '01 Livio Felluga, Pinot Grigio, Italy '00 Coastal Ridge, Chardonnay, California red '01 Chateau De Segries, Rhone '00 "Fat Bastard," Shiraz, France '99 Cecchetti Sebastian, Merlot, Italy '00 Ross Estate, Australia Don't see anything you like? Just ask! Our salon and cellar is filled with the best the world has to offer. Overstreet's Wine Bar bottle prices are based upon on -site consumption only. Wines from the salon and cellar may require a $15.00 corkage fee. Ask your server for details. ' t EXHIBIT 4 LETTER AND PROJECT DESCRIPTION FROM APPLICANT 33 August 12, 2002 James Campbell Senior Planning Commissioner` City of Newport Beach 3300 Newport Boulevard Newport Beach, CA Dear Mr. Campbell: Dennis Overstreet and I (Christine Overstreet), owners and operators of Overstreefs Wine Merchant and Wine Bar, located at 3400 Via Lido, Newport Beach, Ca 92663, respectfully submit a new (revised) Use Permit Application to the Planning Commission of the City of Newport Beach for your review and consideration. Attached for reference is our current Use Permit as well as our original application. . We are submitting a new application for the purpose of revising some of the conditions of our current Use Permit, as well as requesting new permit uses: We are not proposing any new construction; interior or exterior. All approved plans, inspec- tions and permits have been approved by all departments of the city of Newport Beach. No new ele- vations, roofs, or mechanical equipment are proposed. Photographs of the current and existing inte- rior and exterior of the building are attached. There is no additional environmental impact on the surrounding area or the community regarding these uses. There are no variances required for these requests. We are seeking Use Permits for a full on- premise liquor license and an entertainment license for our Wine Bar. Overstreet's Wine Merchant and Wine Bar has demonstrated to the community that we operate a sophisticated and responsible establishment that caters to a mature audience that lives and visits the Peninsula area. We are not and will not be a "teen age hangout". In fact we post a sign that one must be 21 years or older to enter the wine bar area. As owners of the building and operators of the business, we have a vested interest in the cormmurdty of Newport Beach. We- are a family of four, residing ore Lido Isle for the past four years and as residences of Newport Beach, we offer local residences a unique relax- ing atmosphere that appeals to a mature audience who enjoys soft jazz and contemporary music. Because of our location and size, we appeal to residents in our local neighborhood. This mini- mizes travel distances, and traffic on and off the Lido Peninsula. While our feature is a wine bar, we have begun to experience the fact that not everyone in a given party prefers -wine. Therefore; to encourage business and maximize customer satisfaction regarding beverage of choice, we respect- fully seek a use permit for a full on- premise liquor license. In addition, to offer the sophisticated atmosphere we are attempting to reach we respectfully seek your approval for a use permit that would entitle us to a live entertainment use permit. Page 2 of Use Permit Application -August 12, 2002 Overstreet's Wine Merchant & Wine Bar Our establishment serves only 29 people (USE PERMIT is for 29) and we wish to offer entertainment. Our establishment is not adjacent to nor close to any residences. We are an enclosed building so noise is not a factor. Our entertainment will include musicians that sing and /or play an instrument. We wish to offer soft Jazz and contemporary music for our setting. We request that we be permitted to offer entertainment seven days a week and that the it be limited to not more than three musicians. Several charity organizations and businesses have requested.to host small events because of our sophisticated atmosphere and convenient location. The live music we envision would clearly enhance the ambiance of our setting and appeal to our clientele. The parking has not caused any undue stress or added congestion to the village or the immediate area because of our size and evening hours. Customers find convenient parking in the Lido Marina Village parking structure and, via the metered street parking. There is also a handi -cap parking space in the Village immediately adjacent to our side main entrance on Via Oporto. There have been no instances nor reports of instances by our local merchants, neighbors, police. or community- The presence of our unique establishment has brought a new interest and new customers to the Village and we are complimented daily on the appearance of the exterior and interior of our business and the services and products we provide. We request additional hours of operation: Friday and, Saturday evening closing at 12:00 mid- night rather than our present 11:00 pm closing time. This new closing time is consistent with people's desire to remain out a little' later on weekends, and is consistent with hours of-operation for establish- ments such as this. We are in the process of obtaining signatures /names kaddresses of localLmcidences and busi- nesses that support our establishment and support this Use Permit application. (Attached is a copy of the beginnings of this supporting document.) We hope to obtain a space on the agenda for September 2002. Please advise­ us if this time frame is not feasible. n of our requests. Attachments: City of Newport Beach Application and other attachments as stated above '�5 EXHIBIT 5 APRIL 5, 2001 PLANNING COMMISSION MINUTES AND CONDITIONS OF APPROVAL �'1 CITY OF NEWPORT BEACH P.O. BOX 1768, NEWPORT BEACH, CA 92658 -8915 PLANNING DEPARTMENT (949) 644 -3210 NOTICE OF FINAL APPROVAL FILE G" P DATE: May 11, 2001 IF TO: Dennis and Christine Overstreet FROM: Planning Director SUBJECT: Use Permit No. 2001 -005 This is to confirm that Use Permit No. 2001 -005 was approved by the Planning Commission at its meeting of April 5, 2001, and became effective on April 19, 2001. The final findings and conditions of approvals are attached. Any deviation from them or the applications and plans on file in the Planning Department may require an amendment to the application(s) mentioned above for the project. Applicant: Dennis and Christine Overstreet Location: 3400 Via Lido Description A Use Permit for a new alcoholic beverage license (Type 21, off -sale general) it conjunction with a fine wine retail establishment. The applicant also proposes to conduct periodic on -site wine tasting seminars in the evenings for approximately 30 people with a Type 42- alcohol license. The project requires the consideration of a parking waiver. Should you have any questions, please contact our office. Very truly yours, PLANNING DEPARTMENT Patricia L. Temple, Director Ging�-t Varin Executive Secretary Planning Commission Enclosure: Approved Planning Commission minutes with Final Findings and Conditions of Approval ❑ Approved Council minutes with Final Findings and Conditions of Approval ❑ Approved minutes cc: Property Owner (if not applicant) 3300 Newport Boulevard, Newport Beach �Y J City of Newport Beach F I L E f p E Planni ng Commission Minutes i April 5, 2001 INDEX SUBJECT: Dennis & Chris Overstreet 3400 Via Lido PA2001.025(UP2001 -005) A Use Permit for a new alcoholic beverage license (Type 21, off -sale general) in conjunction with a fine wine retail establishment. The applicant also proposes to conduct periodic on -site wine tasting seminars in the evenings for approximately 30 people with a Type 42- alcohol license. The project requires the consideration of a parking waiver: Mr. James Campbell, Senior Planner, commented that the project is located at the corner of Via Lido and Via Oporto and noted that the site has no parking and they are relying on the Lido Marina Village Parking garage.. 'Mr. Campbell said that project approval requires a parking waiver. Mr. Campbell presented to the Commission a supplemental staff report because staff inadvertently put in the incorrect crime statistics in the original staff report. The ABO ordinance requires us to evaluate the alcohol beverage outlet pursuant to some factors including crime statistics and over- concentration of liquor licenses in the area. Mr. Campbell said that staff prepared the report using the 1999 statistics for the Commission's consideration. The crime rates and concentrations are slightly better than were in 1998 but that does not change the fact that this is an over - concentrated area in terms of the number of licenses as well as the area has one of the higher crime rates in the City. Mr. Campbell said that the Via Lido parking garage inventory contained in the staff report is an outdated version and the correct one is attached to the supplemental staff report. Mr. Campbell said that the survey does not change the fact the parking garage is over allocated during the daytime and during the evening hours it is not and that this is something that should be considered. Mr. Campbell said that staff wanted to discuss a minor condition change to Condition No. 4 that referenced the wrong unit. It should be Unit B in Condition No. 4. Mr. Campbell referred to Condition No. 19 that relates to valet parking services and said that it would imply that valet parking is required at all times. Mr. Campbell explained that the valet item is on amenity that the applicant wants to provide for the use for the educational and wine tasting sessions. Staff did not look at the valet requirement as being a mandatory factor in the consideration of the parking waiver. Staff wants to change the condition to if they provide valet parking service it would be subject to the review of the Traffic Engineer in the Public Works Department. Mr. Campbell stated that staff recommends approval of the alcohol beverage outlet and feel that the way the permit is structured and how the conditions link these two operations together, it would not permit the use of these licenses by almost anyone else unless they operated the same operation that the Overstreets are proposing. 13 Item No. 5 PA2001.025 (UP2001 -005) Approved `r��i City of Newport Beach Planning Commission Minutes April 5, 2001 Chairman Selich said that it appears the basis upon which they are granting the parking waiver is the fact that they have an off -site parking management plan and asked if the Commission approves this with that parking waiver and one of the keys to it is the proposal to use 22 parking spaces in the garage, and the reason we are not using our standard off -site agreement is because it cannot meet the.criteria of our standard off -site agreement but since this is a part of a parking management plan and we are waiving the parking based on that, if the agreement with the parking garage ceases to exist, does that mean the applicant has to come back to the Planning'Commission with another parking solution? Mr. Campbell said that is correct, and that Condition No. 18 requires that they provide 21 parking spaces in the Lido Marina Parking garage. Chairman Selich said that as long as they are in compliance with the Parking Management Plan, which controls the number of spaces they have, but if they lose the spaces and they cannot continue to operate, they would have to come back to the Planning Commission to seek relief from that or have the spaces or cease operation one way or another. Staff responded yes. Commissioner Gifford asked about the idea of how many uses occur simultaneously. She said that her question has more to do with what the definition of the site is because the wine tasting seminars are scheduled for evenings and almost all of Lido Marina Village is shut down in the evening in terms of the retail operations. Commissioner Gifford asked if "site' is not broad enough to include all of the parking that is available? Is the site Lido Marina Village or the building? Mr. Campbell said the site is the building. The use of the parking garage and the use of the spaces that are in the Village area are a factor that could be considered in the parking waiver. Mr. Campbell said that most of the uses in the evening hours are closed and there is less parking demand at that time. Commissioner Gifford noted that the other two uses operated at similar hours of operation and asked what two uses are referred to specifically. Mr. Campbell said that particular finding is setup for a larger site with multiple uses that are not operating at the some time. In this particular case; the site is the property, which are really the retail aspect as well as the wine tasting. Commissioner Gifford said that it is not Lido Marina Village but that parcel of property. Commissioner Kiser asked if there were any telephone calls or written responses to the Public Notice sent out by the City from anyone either objecting or supporting the application. Mr. Campbell responded that he had not received any telephone calls or letters from anyone. The applicant submitted a petition of endorsement. Commissioner Kiser referred to Condition No. 5 and asked how they differentiate the proposed use from an eating and drinking establishment and the evening use. How is this put in the non - eating and drinking establishment category? W. Campbell referred to the floor plan, Suite A and Suite B. Suite A is the retail portion and Suite B is the on -site consumption portion. Staff structured this permit to authorize the retail sale of alcohol beverages and are indicating that the on- ly INDEX 110 City of Newport Beach Planning Commission Minutes April 5, 2001 site wine tasting, which is in a separate suite, is accessory to that use. Therefore, this use permit does not authorize an eating and drinking establishment. The on- site consumption license is the some license you would have at a wine bar. With this use permit, it is restricted as accessory to the retail use and you could not operate a bar or anything other than accessory wine tasting. Commissioner Kiser asked what is accessory to another use? If it turned out that this use of the wine tasting ended up being 60 percent of the revenue of the business, would that then make it less of an accessory use? Mr. Campbell commented that typically accessory would be less than 50 percent. This particular retail establishment would have to be limited to 20 percent pursuant to the definitions of the Zoning Code, so they would fall below 20 percent. The on -site consumption aspect is accessory but no more than 20 percent of the overall activity of the entire operation. Ms. Wood noted that the Code definition of accessory use does not have anything quantifiable in it. It means "a use that is appropriate, subordinate and customarily incidental to the main use of the site, which is located on the main site of the use." Commissioner Agajanian asked what the hours of operation for the wine tasting were. Mr. Campbell said it would be 1 p.m. to 11 p.m. Commissioner Agajonian asked how Suite B could be incidental after 7 p.m. Mr. Campbell said they are measuring it based on the overall use and it would average out over the entire use of the facility. Commissioner Agajanian asked if during the hours that Suite B is open, do the doors need to remain open to the public? Mr. Campbell responded yes. Commissioner Agajanian asked if any adult could walk in, and Mr. Campbell responded that they have to be 21 years old. Commissioner Agajanian asked if they could sit down and order wine, and Mr. Campbell responded yes. Commissioner Agajanian asked how that would differentiate an eating and ddnklhg establishment from a bar? Commissioner Kronzley said he would like to continue that line of thought and wanted it understood that it was not specific to the Overstreets. In theory, Thursday, Friday and Saturday nights you could walk into this establishment or any subsequent establishment that falls under this use permit, purchase a glass of wine, buy food because the applicant has suggested, in their letter, they will have food that will include sandwiches, salads, etc. Commissioner Kranzley said that, in Condition No. 5, the approval does not permit the premises to act as an eating and drinking establishment, he does not understand that. Commissioner Gifford asked to have the applicant clarify it for them. She said when she read the condition it was her understanding that if you conducted wine - tasting seminars, they would be ticketed events. The idea that the room could be used from 1 p.m. to 11 p.m. would be that they could conduct seminars on the weekends and tostings in the evenings. Commissioner Gifford referred to a second optional finding they could make about parking and relying on the Lido Marina Village parking garage and asked about all the metered parking on the street that typically is not used at that hour and is available. Is that because of a requirement to provide on -site parking? 15 INDEX City of Newport Beach Planning Commission Minutes April 5, 2001 Mr. Campbell said yes. Commissioner Gifford referred to the closest Municipal Parking Lot located at the comer of Villa Way and 301h Street and asked if there was a public parking lot next to the Elks Club at the end of the street? Mr. Edmonton responded there is but the City has entered into an agreement with the Elks, which gives them the exclusive use of most of that lot from 6 p.m. to 6 a.m., seven days a week. Commissioner Tucker referred to Condition 1, the second sentence and said he was under the impression that the seminar room was going to be for wine tasting as a lead in to the sales from the liquor store portion. He said he was confused how this Condition ties in with the concern about it becoming a bar. Public Hearing Opened Chairman Selich asked the applicant to come forward and said the question is how does the wine tasting operate subordinate to the retail portion of their operation and what assurances do they hove that it will not become a bar, either through the applicant or some other owner. Dennis Overstreet, applicant, 128 Via Trieste. Mr. Overstreet commented that he has run the Wine Merchant in Beverly Hills for three decades and that his operation is unique in the fact that they have wine tasting on site in conjunction with their retail sales. Mr. Overstreet said the ABC came up with the Type 42 license, which is primarily a wine- tasting license. Mr. Overstreet said that they wanted their retail license to run at the same time as the on -sale license. Christine Overstreet commented that she wanted to clarify that they understand the concerns of an 11 p.m. hour. People who are drinking later in the evening are more inebriated than those drinking earlier in the evening. Mrs_ Overstreet said that their recommendation would be that, should the tasting room close at 8 p.m., three nights a week, that the retail part would have to close at the same time since the conditional use permit is recommending that the two licenses work hand in hand. Mr. Overstreet commented that, in purchasing the property, it was his understanding that they have a dedicated amount of spaces that are in the Lido Parking Garage that went along with the purchase of the building. Mrs. Overstreet said the agreement is through 2008 and that they also have an off -site parking agreement with the City of Newport Beach that went into effect 1975 and it is still in effect. Mrs. Overstreet said that to make sure they had enough parking, they went to California Parking Services, the management of the parking structure for Lido Marina Village, and have come up with a contract that would guarantee 22 spaces from 10 a.m. until closing. Mrs. Overstreet said in reference to valet parking, they spoke with Mr. Edmonston, the Fire Marshall and Mr. Campbell and it has been determined through the Lido Marina Village owner that they could have space and have a valet parking situation. Commissioner Tucker referred to Condition No. 3 and asked if the wine tasting 16 INDEX L City of Newport Beach Planning Commission Minutes April 5, 2001 would be open 7 days a week but the educational seminars would be up to 3 days per week? Mr. Overstreet said it would probably be a 5 to 6 day a week type of operation. Commissioner Tucker asked staff if they looked at what is involved in a Type 42 liquor license, the application form, and the restrictions the ABC has? Mr. Campbell said that the Police Department would know better what the ABC restrictions are. Commissioner Tucker asked if Mr. Overstreet anticipates selling a glass of wine to a person who happens on his premises at 9 p.m. on a Friday night who is interested in drinking and not into wine tasting? Do you contemplate selling wine by the glass in the tasting area? Mr. Overstreet responded yes they do, and they have had 100 residents sign a petition endorsing they would like to see this type of operation. Commissioner McDaniel asked what is to keep someone from stumbling in and getting three glasses of wine and hit the road again and what is the difference between that and a bar? Mr. Overstreet responded that they are a fine wine merchant and the standard for the products they carry is raised very high. Mr. Overstreet said they own the property and have a vested interest. Chairman Selich commented that they understand what the operation is and what the clientele that he is trying to attract to his business. Commissioner Agajanian asked how detrimental would it be to their operation if the Type 42 license operating hours was restricted to 9 p.m. instead of 1 1 p.m. Mr. Overstreet responded that it would get a little oppressive for adults and noted that they suggest their clientele have a meal before they go to a wine tasting. Commissioner Agajanian asked if they were intending on offering any table service in Suite B to the seats aside from the bar? Mr. Overstreet said probably not. Chairman Selich asked if no table service would be an acceptable condition on the use permit? Mr. Overstreet said yes. Commissioner Kiser asked if they are assuming that the wine tasting serving sizes will be typical of the serving sizes one would get in a restaurant if they were to order a glass of wine? Or will they be more of a sample size with a few ounces of wine? Mr. Overstreet responded it would probably be a sample size. Commissioner Kiser asked if they would consider a normal retail price for the samples or would he be giving away the samples? Mr. Overstreet said they would have at least a retail plus mark -up price. Mrs. Overstreet said the idea is to educate yourself without getting inebriated so you have 1/2 ounce to an ounce of three wines. Commissioner Kiser suggested if they were able to lawfully restrict that wine- tasting side of the shop to be served only in 1 ounce maximum servings, would they have a problem with that? Commissioner Kiser asked if they were talking about the classes only where they would receive the 3 ounces of wine? Mrs. Overstreet said not necessarily, it runs the gamut. Commissioner Gifford commented, in trying to structure something that did not 17 INDEX :!3 City of Newport Beach Planning Commission Minutes April 5, 2001 detract from their business, but gives the Commission confidence that a different operator who might come in the future, the permit would not have the latitude to have a significantly different operation. Commissioner Gifford asked Mr. Overstreet if he would have any objection to a condition that required that service in the wine bar would be made in Riedel stemware. Mr. Overstreet said no and would welcome that type of situation to ensure that wine appreciation is taking place rather than just tourism going from winery to winery for consumption. Mr, Overstreet also suggested a requirement is made that there is a minimum $10.00 cover that could be applied towards purchase of wine from the retail aspect. Commissioner Gifford asked if they would consider a condition that they not serve beer? Mr. Overstreet responded yes. Commissioner Tucker said he would like to clarify Condition 18 concerning the parking spaces, which is saying if they do not have a parking agreement at some point, they do not have a use permit. In other words, if they have a month to month parking agreement or one that expires in three or eight years, if they do not come back to the Commission to get a replacement use permit agreed upon, they will not have a use permit to operate. Mr. Overstreet said he understood that. Commissioner Tucker said he was not sure how he felt about requiring the applicant to have a cover charge or the type of stemware as a condition. Commissioner Gifford said that it is unusual to provide this as a condition, but the Riedel stemware alone would take care of any concerns they might have of what could happen in the future. Commissioner Gifford noted with respect to the hour of closing and said it has been her experience when a wine tasting event is over, people linger and talk about what they might order and the idea of 1 I p.m, does not necessarily mean that people will still be doing the tasting but it would seem like a reasonable hour. Commissioner Gifford expressed that if they have some condition that locks someone into a level of service that will require a certain pricing and not become a neighborhood bar, that would serve their purpose. Public Hearing Opened Christina Grace of Lido Island said that she has been to the Overstreets Wine Merchant in Beverly Hills and it is a lovely establishment. Ms. Grace supports it and urged the City to support it because it is for the betterment of the community. David Roster encouraged everyone to see the Wine Merchant in Beverly Hills and supports the applicant. Diana Chaumis of Lido Isle supports the applicant and urged the City to keep the sales tax in Newport Beach. 18 INDEX iLti City of Newport Beach Planning Commission Minutes April 5, 2001 Public Hearing Closed Commissioner Tucker suggested that they come up with some type of resolution and conditions that would allow this use to go forward. Commissioner Kranzley expressed he felt the Overstreets would bring a quality to Lido Marina Village that they need. Commissioner Kranzley said that he did not see anything in the conditions that would - prohibit the next person who owns this establishment from having an eating and drinking establishment. Mr. Campbell commented that he mentioned earlier about a 20 percent limitation and that is a definition in the Zoning Code for retail establishments for food and beverage sales for on -site consumption for example in a grocery store you could have on -site consumption as long as those transactions do not exceed 20 percent and they are not defined as an eating and drinking establishment. Twenty percent limitation on transactions is something that the Overstreets can and will comply with. If it were to exceed 20 percent of their transactions, then they would be classified as an eating and drinking establishment, which is not authorized by this use permit and they could not become a bar. Commissioner Kranzley noted that it could become a bar if were a very successful liquor store. Commissioner Kranzey commented that his sympathy goes with the Overstreets because they purchased a property at ground zero of alcohol related crimes in the City of Newport Beach. Commissioner Kranzley stated that they do want to keep revenues in the City of Newport Beach but the City spends a disproportionate amount of the budget in trying to keep the peace in District No. 15 and that is the problem in the Cannery Area and Lido Marina Village. Commissioner Kranzley expressed regret that he could not support this project in this area. Commissioner Kiser commented that the 20 percent limitation would naturally have an effect on the amount of on premises consumption of wine because the applicant would want and need to keep a close watch on what percentage was going out in their gross receipts in the tasting versus the off -sale. That would have a limiting effect on it that they would not be entertaining people coming in off the street just for glass of wine. Commissioner Agajanian asked if there was anybody who could speak to the limitations to the Type 42 type of license. Mr. Campbell responded that he did not see a representative from the Police Department and that he could not. Chairman Selich asked Mr. & Mrs. Overstreet to give a brief summary of the limitations on the Type 42 license. Mrs. Overstreet responded that, as for as she knew, it is limited to wine and beer only. She said their use permit would not allow beer, so it would be limited to wine only. Commissioner Agajanian asked how it would differ from the bar down the street that wanted to sell beer and wine? Mr. Overstreet commented that this goes back to 1973 when Type 42 was originally thought up for wine stores to be able to have on -site wine tasting. But unfortunately, the Legislature did not restrict it to say that the general public could not come in and buy a glass of wine or beer. That was the whole concept of this law originally. Mr. Overstreet said it is the same license that the wineries are 19 C �5 City of Newport Beach Planning Commission Minutes Aoril S. 2001 using. Commissioner Agajonian asked how it differs from a regular beer and wine license? Mr. Overstreet said that it does not. Commissioner Tucker said he would defer to the Police Department, which does not seem to believe that this particular use in this location will contribute to an alcohol related problem in the area. Commissioner Tucker said he would be supportive of this use in this location. Commissioner Kiser said he would be concerned about the cover charge and tying the applicant to a particular manufacturer that might become scarce or go out of favor. Commissioner Kiser brought up the possible limitation of evening hours of the on -site portion to bringing it back one hour to 10 p.m. so that it would restrict the potential future operator from creating a bar. Motion was made by Commissioner Kiser to approve Use Permit 2001 -005 with the following revisions to the Conditions of Approval: Commissioner Kranzley remarked that, after listening to the discussions of the other Planning Commissioners, having reviewed his notes with regards to the various limitations that have been placed and the additional limitations that have been placed, and his desire to have high quality businesses on the Peninsula, he was reversing what he said prior and will be supporting this motion. Commissioner Agajanian commented that he was concerned whether the hours are open to the general public or whether you can be operating that wine tasting room and still have the doors closed to the public. Commissioner Agajanian asked what the Type 42 license either allow or permit you to do? Commissioner Agajanian said that he would support continuance on this project because he is not prepared. There was no answer to Commissioner Agajanian's question. Commissioner Kranzley suggested adding a Condition where receipts are reviewed annually by the City. Substitute motion for Condition No. 34 was made by Commissioner Gifford that would not require an annual audit of receipts and that the Condition would be enforced by the factual observations by the Police Department or others in the way of complaint, they would have the ability to audit and is consistent with what they do with other businesses. Commissioner Kiser accepted the substitute motion as an amendment to his motion. Ayes: McDaniel, Kiser, Selich, Gifford, Kranzley, Tucker Noes: None Abstain: Agajanian Commissioner Kranzley req. ted that, 1' permit, staff to have either n 7ucuTe the Police Department press ai'W!C1•1 next time they the ABC permit question. 20 have an alcohol or someone from INDEX ,,o City of Newport Beach Planning Commission Minutes April 5, 2001 INDEX EXHIBIT NO.4 FINDINGS AND CONDITIONS OF APPROVAL FOR PA2001- 025(UP2001 -005) Findinas: The Land Use Element of the General Plan designates the site for "Retail and Service Commercial' use. Retail sales of alcoholic beverages and accessory wine tasting and wine educational seminars is permitted use within this commercial designation. The structure that the proposed use will occupy is legal, nonconforming with respects to the maximum floor area ratio. The proposed project does not increase the gross floor area of the building. Therefore, the proposed project is consistent with the General Plan Land Use Element and Local Coastal Program. 2. The project has been reviewed, and it has been determined that it is categorically exempt under Class 1 (Existing Facilities) requirements of the California Environmental Quality Act as it permits the continued operation and minor alteration of existing facilities with negligible or no expansion of use. The proposed project is consistent with the purpose and intent of Chapter 20.89 of the Zoning Code (Alcoholic Beverage Outlets) and will not, under the circumstances of the case, be detrimental to the health, safety, peace, morals, comfort and general welfare of persons residing or working in the neighborhood or be detrimental or injurious to property or improvements in the neighborhood or the general welfare of the City and is consistent with the legislative intent of Title 20 of this Code for the following reasons: a. The primary and principal function of the proposed alcoholic beverage outlet is as a retail establishment for the sale of general alcoholic beverages for off -site consumption. On -site consumption of beer and vine is limited to wine tasting and shall be accessory and subordinate to the principal retail use. b. The primary retail use requires accessory wine tasting and wine education seminars. c. The accessory wine tasting may not be converted or otherwise become a restaurant bar, tavern, cocktail lounge, and night club. d. The hours of operation of the principal and accessory use is sufficiently restricted to prevent negative effects of alcohol sales and service. e. Conditions of approval have been included which should prevent problems associated with the sale and service of alcoholic beverages. f. Off -site parking is available for the use within the Lido Marina Village parking garage and the site is not authorized as an eating or drinking IFE Al City of Newport Beach Planning Commission Minutes April 5, 2001 establishment as defined by the Zoning Code which could generate increased parking demand. g. No live entertainment is permitted and a special events permit is required for any event outside the normal operating characteristics of the proposed alcoholic beverage outlet. 4. The waiver of 21 parking spaces in this case will not, under the circumstances of the case, be detrimental to the health, safety, peace, morals, comfort and general welfare of persons residing or working in the neighborhood or be detrimental or injurious to property or improvements in the neighborhood or the general welfare of the City and is consistent with the legislative intent of Title 20 of this Code for the following reasons: a. The project includes a parking management plan that provides 22 parking spaces in the Lido Marina Village parking garage at all time the use is open for business. b. The project parking management plan includes the use of valet parking for in conjunction with the Lido Marina Village parking garage when the proposed educational seminars will occur. C. The project is not authorized as an eating or drinking establishment as defined by the Zoning Code which could generate increased parking demand. Conditions: The alcoholic beverage outlet is hereby defined as a retail establishment for the sale of general alcoholic beverages for off -site consumption as the primary and principal use of the project site. On -site consumption of alcoholic beverages shall be limited to beeF eRel wine shell be liMifed t9 wine tasting and shall be accessory and subordinate to the principal retail use and sales shaft not exceed 20 percent of gross sales. The retail use is prohibited from operation without the accessory wine tasting use. 2. The interior area authorized for on -site consumption of beer and wine in conjunction with a Type 42 alcohol license shall be limited to 1,263 sq. ft. as delineated on the approved floor plans as "Unit B:• The interior area authorized for the retail sales for general alcoholic beverages for off -site consumption in conjunction with a Type 21 alcohol license shall be limited to 1,328 sq. ft. as delineated on the approved floor plans as "Unit A. • The development shall be in compliance with the approved floor plans dated April 5, 2001. Substantial changes to the floor plans shall require prior approval by the Planning Commission. Any increase in area of either Unit A or Unit B shall be seems deemed substantial for the purposes of requiring review by the Planning Commission. 3. The hours of operation shall be limited to 10:00AM to 7;00RA4 I I:OOPM daily for the retail portion of the project and 1:00PM to 1 1:OOPM daily for the wine tasting and wine educational activities. Organized 22 INDEX �4� City of Newport Beach Planning Commission Minutes April 5, 2001 educational seminars shall not be conducted more than 3 days per week and wine tasting, open to the general public may occur, any day during authorized hours. 4. The service for on -site consumption of beer and wine of shall be restricted to the interior of Unit A B as identified in Condition No. 2, unless approved by the Planning Commission, Police Department and the California Board of Alcoholic Beverage Control. 5. Approval does not permit the premises to operate as an eating and drinking establishment, restaurant, bar, tavern, cocktail lounge or night club as defined by the Municipal Code, unless the Planning Commission first approves a Use Permit. 6. The sale of distilled spirits shall not exceed 15% of gross receipts of all off - site alcohol sales. The applicant or operator shall maintain adequate records to determine compliance with this condition and shall provide the city said records when requested. 7. Alcoholic beverage sales from drive -up or walk -up service windows shall be prohibited. 8. The alcoholic beverage outlet operator shall take reasonable steps to discourage and correct objectionable conditions that constitute a nuisance in parking areas, sidewalks and areas surrounding the alcoholic beverage outlet and adjacent properties during business hours, if directly related to the patrons of the subject alcoholic beverage outlet. If the operator fails to discourage or correct nuisances, the Planning Commission may review, modify or revoke this use permit in accordance with Chapter 20.96 of the Zoning Code. 7. The exterior of the alcoholic beverage outlet shall be maintained free of litter and graffiti at all times. The owner or operator shall provide for daily removal of trash, litter debris and graffiti from the premises and on all abutting sidewalks within 20 feet of the premises. 10. All owners, managers and employees selling alcoholic beverages shall undergo and successfully complete a certified training program in responsible methods and skills for selling alcoholic beverages. To qualify to meet the requirements of this section a certified program must meet the standards of the California Coordinating Council on Responsible Beverage Service or other certifying /licensing body, which the State may designate. The establishment shall comply with the requirements of these conditions within 180 days of the effective date of this Use Permit. 11. 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 23 INDEX 41) City of Newport Beach Planning Commission Minutes April 5, 2001 INDEX of the City of Newport Beach. 12. Loitering, open container, and other signs specified by the Alcoholic Beverage Control Act shall be posted as required by the ABC. 13. This Use Permit for an alcoholic beverage outlet granted in accordance with the terms of this chapter (Chapter 20.89 of the Newport Beach Municipal Code) shall expire within 12 months from the date of approval unless a license has been issued or transferred by the California State Department of Alcoholic Beverage Control prior to the expiration date. 14. A special events permit is required for any event or promotional activity outside the normal operational characteristics of this retail business that would increase the expected occupancy beyond 29 patrons and 6 employees at any one time or any other activities as specified in the Newport Beach Municipal Code to require such special events permit. 15. This use permit may be reviewed, modified or revoked by the Planning Commission or City Council should they determine 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. 16. 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 permit. 17. Should this business or either alcohol license be sold or otherwise come under different ownership or control, any future owners, operators or ossignees shall be notified of the conditions of this approval by either the current owner /operator. Future owners, operators or assignees shall submit, within 30 days of transfer or sale of the business or alcohol license, a letter to the Planning Department acknowledging their receipt and acceptance of the limitations, restrictions and conditions of approval of this Use Permit. 18. The owner /operator of the proposed use shall enter into an agreement to provide and maintain a minimum of 21 parking spaces within the Lido Marina Village Parking garage to be accessible at all times during the operation of the use. 19. The applicant or operator of, the facility she4 may provide valet attendant service for the use in conjunction with the Lido Marina Village parking garage. The applicant or operator shall prepare a valet operated parking plan to be reviewed and approved by the PPublie ` "' '' s DePGO A City Traffic Engineer prior to the commencement of 24 5 a City of Newport Beach Planning Commission Minutes April 5, 2001 the valet service use. INDEX 20. Delivery vehicles shall not park within the public right -of -way of Via Lido and Via Oporto. 21. Trash receptacles for patrons shall be conveniently located both inside and outside the proposed facility. 22. Trash generated by the business be screened from view from adjoining properties except when placed for pick -ups by refuse collection agencies. 23. No outdoor loudspeaker or paging system shall be permitted in conjunction with the operation. 24. No live entertainment or dancing shall be permitted in conjunction with the permitted use. 25. All signs shall conform to the provisions of Chapter 20.67 of the Municipal Code. 26. No temporary "sandwich" signs or similar temporary signs shall be permitted, either on -site or off -site, to advertise the restaurant. 27. The project shall comply with State Disabled Access requirements. 28. A handicapped assessable public restrooms are required. The restrooms must be in compliance with the Uniform Plumbing Code and all applicable Uniform Building Code requirements. 29. Health Deportment approval is required before issuance of a building permit. 30. Where grease may be introduced into the drainage systems, grease interceptors shall be installed on all fixtures as required by the Uniform Plumbing Code, unless otherwise approved by the Building Department and the Utilities Department. 31. The facility and related off - street parking shall conform to the requirements of the Uniform Building Code. 32. Upon evidence that noise generated by the project exceeds the noise standards established by Chapter 20.26 (Community Noise Control) of the Municipal Code, the Planning Director may require that the applicant or successor retain a qualified engineer specializing in noise /acoustics to monitor the sound generated by the restaurant facility to develop a set of corrective measures necessary in order to 25 5t EXHIBIT 6 POLICE DEPARTMENT REPORT 53 NEWPORT BEACH POLICE DEPARTMENT 870 Santa Barbara, P.O. Box 7000. Newport Beach, CA 92658 -7000 BOB MCDONEL Chief of Police October 15, 2002 TO: Bill Cunningham, Staff Planner FROM: CSO Susan Seviane SUBJECT: Overstreets at the Wine Merchant At your request, our office has examined the project review request for Overstreets at the Wine Merchant retail location located at 3400 Via Lido, Newport Beach. The applicant is requesting to upgrade the existing Use Permit to: 1) expand the ABC license to full alcoholic beverage on sale (Type 47), 2) allow daily live entertainment, and 3) expand the hours of operation from I 1 pm to 12 midnight on Fridays and Saturdays. A light gourmet menu will be provided (i.e. chicken breast entrees, muscles, cheese, cracker, etc.). Mrs. Overstreet provided the following details concerning the planned operations. While the main feature is a wine bar, they want to encourage business and maximize customer satisfaction by adding full alcoholic beverage service. For the same reasons, they are seeking to add daily live entertainment (maximum of three musicians), offering "soft jazz and contemporary music." Mrs. Overstreets added that charity organizations and businesses have requested to host small events at the location. No new construction (interior or exterior) is planned. The occupancy limit of 29 will remain the same. The changes in operational characteristics proposed by the applicant are significant. The existing location does not have a kitchen (there is a "hot plate" and small refrigerator, etc.). The proposal to provide full alcoholic beverage service could arguably make the business more like a bar /cocktail lounge and less like a restaurant that provides alcoholic beverages in conjunction with food service. The addition 'of live entertainment with expanded hours is consistent with cabaret/nightclub operational characteristics. Based on our experiences with similar business models, such enhanced uses can create a situation where we can likely anticipate an increase in police related activities linked to the proposed business operation. While we have no serious concerns with the current operation, we believe there is a greater policy /land use issue involved in the approval process for intensifying the alcohol usage in this area of the community. As a result, it is difficult for the Police Department to endorse the proposed intensified use permit modification, especially considering the existing concentration of ABC licenses in the area. Accordingly, we believe the decision more appropriately should be left to the Planning Commission and/or City Council based on the said impacts. If the modification is approved, we recommend- in addition to those conditions currently in place- developing conditions to address the issues as listed below. The proposed changes will also require modifications to the ABC license. Upon application to the Office of the Chief (949) 644 -3701 / Administration (949) 644 -3654 / Patrol- Traffic (949) 644 -3742 1 Detectives (949) 644 -3790 5A Department of Alcohol Beverage Control, our department will recommend conditions as necessary to maintain the health, safety and welfare of the community. For police services information refer to the attached report by Crime Analyst Paul Salenko. Signs and Displays: Mrs. Overstreet stated the signs for the location will be "elegant and understated" and designed to comply with city conditions as to sign type, size and location. Hours of Operation: According to Mrs. Overstreet, the operating hours will be between 10:00 A.M. to 11:00 P.M. Friday and Saturday 10:00 A.M. to 12:00 Midnight for both the retail and on -sale operations. Preventive Design: The Police Department has no recommendations. Securitv: The Police Department has no additional recommendations. Emplovee Training: Require all owners, managers and employees serving and /or selling alcoholic beverages to undergo and successfully complete a certified training program in responsible methods and skills for serving and selling alcoholic beverages. Additional Comments: None CSO Susan Seviane Vice and Intelligence Unit City of Newport Beach Police Department Memorandum October 8, 2002 TO: Bill Cunningham, Staff Planner FROM: Paul Salenko, Crime Analyst SUBJECT: Alcohol Related Statistics At your request, our office has reviewed police services data for the Overstreet`s Wine Merchant and Wine Bar at 3400 Via Lido. This area encompasses our reporting district (RD) number 15 as well as part of Census Tract 635. This report reflects City of Newport Beach data for calendar year 2001, which is the most current data available. Calls for Service Information City wide there were 55,291 calls for police services during this time, of which 5,658 were in RD 15. At "call for service" is, any contact of the police department by a citizen which results in the dispatching of a unit or causes the contacted employee to take some sort of action, such as criminal investigations, alarm responses, traffic accidents, parking problems, and animal control calls, etc. Crime Information There were 6,955 crimes reported to the Newport Beach Police Department during this period. Of this total, 2,852 were Part One Crimes. Part One crimes are the eight most serious crimes (Homicide, forcible Rape, Robbery, Aggravated Assault, Burglary, Larceny - theft, Auto Theft and Arson) as defined by the FBI in the Uniform Crime Reports. The remaining 4,103 were Part Two crimes. The Part One crime rate for the entire city during this same period was 3,770.24 per 100,000 people. The national Part One crime rate was 4,124.0 per 100,000 people. Crimes RD 15 Newport Beach California* National* Part 1 367 2,852 1,266,714 11,605,751 Part 2 912 4,103 N/A N/A Part 1Crime Rate 12,981.96 3,770.24 3,739.7 4,124.0 The number of active ABC licenses in this RD is 70 ** This reporting district had a total of 1,279 reported crimes as compared to a City wide reporting district average of 211 reported crimes. This reporting district is 1,068 crimes or 506.86% above the City wide reporting district average. This location is within an area where the number of crimes is at least 75% higher than the average of all reporting districts in the City as outlined in the City Council "K -7" policy. 5(' Arrest Information There were 137 DUI arrests and 476 Plain Drunk arrests in this area during this same period as compared to 1,769 for the entire city. This RD amounts to 34.81 % of the DUI /Drunk arrests made in the entire City. According to a recent national study by the Department of Justice, more than 36% of adult offenders convicted of crimes in 1996 had been drinking at the time of their arrest. Arrests RD 15 Newport Beach (DUI /Drunk) 613 1,769 All Arrests 892 3,629 California* National* N/A N/A 1,408,904 9,123,428 Additional Information The Alcoholic Beverage Outlets ordnance states that the Planning Commission shall consider the crime rate in the adjacent reporting districts. The two adjacent reporting districts you requested are RD 16 and RD 13. Crimes RD 16 RD 13 Part 1 178 101 Part 2 424 161 Crime Rate 6,747.54 5,528.19 Arrests (DUI/Drunk) 221 58 All Arrests 354 114 Calls For Service 3,564 2,132 Number of active ABC licenses 5 ** 5 ** Note: It is important to remember that when dealing with small numbers any change greatly affects any percentage changes. The population figure used for the Crime Rate was 75,645. *These numbers are from the 2000 Uniform Crime Reports, which is the most recent edition. * *The number of active ABC licenses is the total of all types of licenses known to the police department as of the date of this document. If you are in need of any further assistance, please contact me at (949) 644 -3791. Paul Salenko Crime Analysis Unit 5-1 I EXHIBIT 7 PROJECT PLANS 5� < � a �a j xg it .. Jill < � i )i j i I qa - t xp r ,a ## • p I °i� ' p �oY Issi.o <c I Ts E s �Yl A .$ L w F 111 N1, LA s � gg ��jae �7 4U Y�j#1 illy pa l l m y o &93 $ Y a w m IRAQ iE 1 $ � Q Q Q � I \�• u • n4 W Yit ` � � \\ � ti Fit ME �1 a X std �a Ax i )i j i I qa - t xp r ,a ## • p I °i� ' p �oY Issi.o <c I Ts E s �Yl A .$ L w F 111 N1, LA s � gg ��jae �7 4U Y�j#1 illy pa l l m y o &93 $ Y a w m IRAQ iE 1 $ � Q Q Q � I \�• u • n4 W Yit ` � � \\ � ti Fit ME �1 61 it 1 !11! 11] fit lilt ki 311 61 AM y. 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