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Planning Commission Report

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Planning Commission Meeting: August 19, 2015

Agenda Item: 9-A

To: Planning Commission

From: Amanda Schachter, City Planning Division Manager

Subject: Conditional Use Permit (14CUP-010) to allow the conversion of the existing restaurant use adjacent to the Third Street Promenade to retail use.

Address: 1444 Third Street Promenade Applicant: Marina Case (Third Street Promenade Corporation)

Recommended Action

It is recommended that the Planning Commission: 1. Approve application 14CUP-010 2. Adopt the Statement of Official Action contained in Attachment B

Executive Summary

The applicant and property owner, Marina Case (Third Street Promenade Corporation), requests approval of a Conditional Use Permit (CUP) to allow conversion of the existing restaurant to retail use at the subject property. The existing full-service restaurant, Johnnie’s New York Pizzeria, occupies the entire two-story building with a basement consisting of 6,406 total square feet. The existing restaurant has 168 dining seats comprised of booth, table and counter arrangements. The applicant seeks to convert the entire building, specifically the 2,365 SF ground floor restaurant space is proposed to become general retail, while the second floor and basement would convert to other permitted uses as allowed by Code and therefore not subject to this CUP application. The 216 SF outdoor dining area along the Third Street Promenade would also be removed. The building was constructed as a restaurant in 1991 and has operated as a restaurant since that time. Johnnie’s Pizzeria has occupied the subject tenant space since 2005, and currently operates with an on sale beer and wine alcohol license (Type 41). Pursuant to Santa Monica Municipal Code (SMMC) Section 9.04.08.15.085(a), a CUP is required for the conversion of any portion of a food use in existence as of January 24, 2006 to any other new or expanded use located on the ground floor level adjacent to the Third Street Promenade. The following issues should be considered by the Planning Commission in its review of the proposed project and are addressed in this report:

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Whether allowing the conversion of the existing restaurant space would be appropriate in preserving the unique mixture of restaurants, retail, and entertainment on the Third Street Promenade and maintain the vitality and diversity of the Promenade and the Bayside District.

Whether the strict application of the provisions of the zoning code would, due to unique site conditions or special circumstances, result in practical difficulties or unnecessary hardships, not including economic hardships or economic difficulties, for the business or property owner.

Project / Site Information The following table provides a brief summary of the project location. Additional information regarding the project’s compliance with applicable municipal regulations and the General Plan is available in Attachment A. Project and Site Information Table

The subject property is located along the Third Street Promenade between Broadway and Santa Monica Boulevard in the BSC-1 (Bayside Commercial) zoning district. The surrounding area includes a variety of commercial uses, including general retail, food uses and second floor general offices along the Third Street Promenade to the north and south of the project site.

Zoning District: BSC1, Bayside Commercial District

Site Location Map

Land Use Element Designation:

Downtown Core / Bayside Specific Plan

Parcel Area (SF): 3,450 SF Parcel Dimensions: 23’ x 150’ Existing On-Site Improvements (Year Built):

2-story commercial building with basement level (1991)

Rent Control Status/Remaining tenants on-site:

Exempt-Commercial/ Restaurant (Johnnie’s New York Pizzeria)

Adjacent Zoning Districts and Land Uses:

North – (BSC-1) Bayside Commercial

District; Variety of commercial uses along the Third Street Promenade East – (BSC-1), Bayside Commercial

District; Variety of commercial uses along the Third Street Promenade South – (BSC-1) Bayside Commercial

District; Variety of commercial uses along the Third Street Promenade, Santa Monica Place Mall West – (BSC-2), Bayside Commercial

District; Variety of commercial uses

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Environmental Analysis The project is categorically exempt from the provisions of CEQA, pursuant to Section 15303 (Class 3), Conversion of Small Structures, in that the project involves minor interior alteration of an existing building with no increase in floor area and a change of use of less than 10,000 square feet. Background

The existing building was constructed for a single restaurant use in 1991 by the owners and operators of Mario’s Restaurant, and has operated as a restaurant since the building was constructed. Mario’s Restaurant occupied the entire building and operated at the site until 2005 when the owner determined the operation was no longer sustainable. The owner entered into a long-term lease with Johnnie’s New York Pizzeria that currently occupies the entire building. According to the applicant, Johnnie’s Pizzeria’s lease expires this year, and the restaurant has advised the property owner that they do not intend to renew the lease. There have been two Conditional Use Permits approved that allowed the conversion of ground floor restaurant space to retail on the Promenade since 2006. Both restaurant conversions were located on the same 1400 block of the Promenade as the subject site:

On April 21, 2010, the Planning Commission approved Conditional Use Permit 10-002 to allow partial conversion of the existing Broadway Deli restaurant to general retail use at 1453 Third Street Promenade. The reduced restaurant space would become the current Steak ‘n Shake restaurant (2,977 SF). This conversion resulted in a reduction of 5,909 SF of ground floor restaurant space.

On May 15, 2013, the Planning Commission approved Conditional Use Permit 13-002 to allow partial conversion of the existing Yankee Doodle’s restaurant to general retail use at 1410 Third Street Promenade. This reduced restaurant space is currently under construction with improvements for the future Bruxie restaurant (1,275 SF). This conversion resulted in a reduction of 6,225 SF of ground floor restaurant space.

Relevant Site Permit History Conditional Use Permit 89-008 – July 1989 Conditional Use Permit 89-008 authorized an alcohol permit in conjunction with the construction of a two-story restaurant/bar/nightclub and basement with 420 seats. However, the bar and nightclub use within the basement level did not materialize and is not a part of the restaurant’s current operation. Relevant Ordinance History In November 2001, Ordinance No. 2030 established a moratorium on the development, conversion, consolidation, or expansion of commercial uses due to the substantial loss of restaurant uses on the Promenade. The ordinance was adopted to allow the City time

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to study how to ensure the best possible mix of restaurants, retail, and entertainment uses. Thereafter, Council established a Promenade Uses Task Force to study relevant issues, seek input from the community, and provide recommendations to the City Council regarding the appropriate mix of uses for the Promenade. In 2004, the Task Force reported 59 food uses existing within the Bayside District as of February 2003, and reported 31 food uses existing within the three blocks of the Promenade a year later in 2004. Based on the task force’s recommendations, in February 2006, the Santa Monica Municipal Code (SMMC) was amended (Ordinance No. 2175) to allow, through a Conditional Use Permit, the conversion of any portion of a food use to any other new or expanded commercial use located on the ground floor level adjacent to the Third Street Promenade. In July 2006, further modifications to the ordinance (Ordinance No. 2198) included requiring a conditional use permit only on food uses that were in existence as of January 24, 2006, additional criteria where a Conditional Use Permit would not be required, and establishing an additional hardship finding (SMMC 9.04.08.15.085).

Existing Restaurant Use The subject tenant space is located within a two-story building, with basement, constructed in 1991 specifically for restaurant use (6,406 SF total). The building consists of 2,365 SF of ground floor area, 2,380 SF of second floor area, 1,661 SF of basement space, and 216 SF of outdoor dining with approximately 21 feet of linear building frontage along the Third Street Promenade. The existing floor plan layout is designed for a single tenant where the second floor and basement areas are accessible by a centralized elevator and stairs towards the front and rear of the ground floor space. The existing restaurant currently leases the entire building and uses the second floor for additional dining and office space, and the basement for storage. Existing ground floor and outdoor dining area plans are provided below for reference:

Space Intentionally Blank

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Existing Second, Ground Floor, Basement Plans (6,406 SF total)

Existing Outdoor Dining Plan

2nd

Floor: 2,380 SF

Basement: 1,661 SF

Ground Floor: 2,365 SF

216 SF of Sidewalk Dining Area (Shaded)

31 Outdoor Seats (Total)

21’

Seating Area: 1,020 SF Seats: 77

No Seating

Total Seating Area: 906 SF Total Seats: 60

Elevator Stairs

Secondary

Stairs

Entry

Rear Alley Promenade

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Proposed Conversion The applicant proposes to convert the ground floor restaurant use to retail space consisting of 2,365 SF. Although not subject to this application, the second floor and basement areas would also be converted. The applicant states difficulty in operating a restaurant in the subject space based on the existing building layout and design. Specifically, the two-story building, including the basement, is developed on a narrow 23 foot wide lot (23’ x 150’, 3,450 SF). The building is approximately 21’ in width and includes a primary entrance accessed from the Promenade. The applicant states that much of the difficultly in operating the space as a restaurant is due to the inefficiency of the long, narrow space on the ground floor, providing service on multiple levels, and inclusion of the basement and second floor levels in any lease that detracts prospective restaurants from leasing because the lease space is too large. The following findings are required for the proposed conversion, pursuant to SMMC 9.04.08.15.085(a)(1) and 9.04.08.15.085(a)(2):

1. The proposed use would preserve the unique mixture of restaurants, retail, and entertainment on the Third Street Promenade and maintain the vitality and diversity of the Promenade and the Bayside District.

2. The strict application of the provisions of this section would, due to unique site conditions and special circumstances, result in practical difficulties or unnecessary hardships, not including economic hardships or economic difficulties, for the business or property owner.

Project Analysis According to the City’s Economic Development department, there has been considerable and ongoing expansion of restaurant uses generally throughout the Downtown area surrounding the Promenade. Activity is increasing within and surrounding the Promenade toward Second and Fourth Streets as new shops and restaurants open. There are approximately 64 restaurants/food serving establishments solely within the Bayside District (29 directly on the Promenade), indicating a slight increase in the number of restaurants from the 59 establishments in the district reported in 2003. Further, the number of restaurants on the Promenade have remained generally stable from the 31 establishments reported on the Promenade as of 2004. Including establishments in the Santa Monica Place, Ocean Avenue, and the remainder of the Downtown Core, there are more than 100 restaurants/food serving establishments in the Downtown area. While the applicant states that restaurants (Johnnie’s and Mario’s) that have utilized the subject building have not prospered, the majority of the restaurants located on the Promenade are generally stable. In evaluating both restaurant and retail uses for this particular site, staff believes that limiting the space to restaurant use could result in continued inefficient use of the building since a lease including all three levels would be required, compared to a potentially more productive, remodeled building with a new retail operator. A retail use would be more adaptable to the narrow confines of the

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subject space compared to a restaurant use. Although maintaining restaurant uses and outdoor dining activity is important in balancing the mix of uses, in this particular case, the opportunity of gaining viable retail commercial space at this site on the Promenade would be preferable compared to the risk of having continued inefficient use of the building or vacancy due to the building’s physical limitations. Physical Limitations to Existing Building Conditions According to the applicant, the building’s configuration has limited the success of Johnnie’s Pizzeria, the previous Mario’s Restaurant, and has made attracting new restaurant operators difficult. The space is undesirable by prospective restaurant tenants due to its challenging configuration consisting of a narrow width, existing stair and elevator locations, and its multi-level configuration that would require all levels to be included in any restaurant lease. Specifically, the building’s existing elevator and stair configuration located within the tenant space precludes leasing the second floor or basement areas separate from the ground floor tenant space. As mentioned, the existing floor plan layout is designed for a single tenant where the second floor and basement areas are accessible by centralized elevator and stairs located toward the front and rear of the ground floor space, with public restrooms located only on the second floor. Even if tenant improvements relocated the stairs and elevators to achieve separate access and thus independent lease spaces, challenges would still remain. Based on accessibility standards, providing a separate access to the second floor and basement levels from the ground floor restaurant space would result in a new front entry provided directly from the Promenade. A primary entrance from the rear alley would be difficult due to accessibility requirements, and for safety reasons, the Promenade would be the more accessible alternative compared to the rear alley that is primarily used for vehicular access. Accordingly, the stairs and elevator would need to be relocated closer towards the front of the building, and adding a separate entry/lobby could impact the façade’s pedestrian-orientation due to a reduction of the overall glazing and visibility into the ground floor space. Also, the path to this separate ground floor lobby entrance could further reduce the size of the limited outdoor dining area in front of the building, and additional restrooms would be needed on the ground floor resulting in less kitchen and dining area. Additionally, the basement, in a separate lease from the ground floor, would be undesirable space as standalone retail or office. If the basement were to be included in a ground floor restaurant lease, the amount of basement area (1,661 SF) would be excessive storage space, given the size of the first floor restaurant area. Further, the concern regarding space provided on multiple levels would remain. Staff believes the site’s existing building conditions including its narrow width and street frontage, existing stair and elevator locations, and its multi-level configuration that would require all levels to be included in any restaurant lease, present operational challenges that are unique site conditions resulting in special circumstances. For this reason, staff believes a change of use from restaurant to retail is appropriate.

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Restaurant Uses on the Third Street Promenade Restaurant uses and particularly outdoor dining on the Third Street Promenade contribute significantly to the success of the Promenade and support existing retail and entertainment uses in the area. Currently, there are 29 restaurants/food serving establishments spread throughout the Promenade, considering the Food Court at 1315 3rd Street Promenade as a single establishment. Including the future Lemonade restaurant at 311 Arizona Ave currently under construction, there will be 30 restaurants. Establishments consist of 15 full-service restaurants and 14 limited-service restaurants as defined in the updated Zoning Ordinance. Twenty-four (24) of the total establishments on the Promenade include outdoor dining areas. Specifically, the 1400 block of the Promenade, where Johnnie’s Pizzeria is located, currently includes 9 food serving uses, consisting of 3 full-service restaurants and 6 limited-service restaurant establishments as shown in the chart below.

Full Service Restaurants

Outdoor Dining

Limited Service / Take Out

Restaurants

Outdoor Dining

Le Pain Quotidien 75 SF Yogurtland -

Johnnie’s Pizzeria 216 SF Caffe Bellagio 150 SF

Café’ Crepe 330 SF Wetzels Pretzels -

Steak ‘n Shake 552 SF

Pinkberry 150 SF

Bruxie (former Yankee Doodle tenant space

conversion)

448 SF

Total 621 SF 1,300 SF

Prior CUP 10-002 (Broadway Deli) & 13-002 (Yankee Doodle’s) Conversions Since January 2006, the subject 1400 block of the Promenade has experienced the following changes: the addition of Caffe Bellagio (1400 3rd Street Promenade), the conversion/reduction of Broadway Deli to Steak ‘n Shake, and the conversion/reduction of Yankee Doodles to the forthcoming Bruxie restaurant.

These two prior restaurant conversions were based on the findings that the proposed conversions retained a restaurant use while introducing a new general retail use, thereby preserving a mixture of uses that contribute to the vitality of the Third Street Promenade. Although the amount of interior restaurant space may have decreased, the proposed conversions resulted in an increase in outdoor dining areas for the block. Based on these conversions, the removal of the Johnnie’s outdoor dining area, and the addition of Caffe Bellagio (150 SF), the amount of outdoor dining area has increased on the block by approximately 17% since the conversion CUP requirement was established in 2006. Specifically, the Broadway Deli conversion resulted in the Steak n’ Shake restaurant consisting of 3,525 SF, including 552 SF of outdoor dining area (40 outdoor seats, 91 seats overall). The Yankee Doodles conversion to the forthcoming Bruxie restaurant will result in a 1,479 SF restaurant, including 448 SF of outdoor dining area. In both cases, there was an increase in the amount of outdoor dining as Steak ‘n Shake

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resulted in an increase of 252 SF of outdoor dining greater than Broadway Deli, and Yankee Doodle’s conversion resulted in an increase of 29 SF. While preserving outdoor dining is important in providing activity along the sidewalks to further encourage pedestrian walkability of the Promenade’s corridor, the reduction of the Johnnie’s Pizzeria outdoor dining would not significantly impact the sidewalk activity since the amount of outdoor dining area within the block (and Promenade) has been stable in recent years, and the site is not located on a street corner, which can give more prominence to an establishment. Particularly, the southern portion of the block is anchored by Café Crepe and Steak n’ Shake restaurants that provide outdoor dining activity at the street corner which is vital to the vibrancy of the Promenade. Pinkberry also provides outdoor seating area in proximity to the street corner.

Parking Requirements The project site is located within the Downtown Parking Assessment District which includes six public parking structures in the area. Therefore, the provision of on-site parking is not required.

LUCE Conformance Land Use and Circulation Element Policy D7.1 seeks to encourage a broad mix of uses that creates a dynamic activity in both the daytime and evening hours in efforts to achieve Goal D7 which seeks to create a balance mix of uses in the Downtown that reinforces its role as the greatest concentration of activity in the city. There has been considerable and ongoing expansion of restaurant uses generally throughout the Downtown area surrounding the Promenade. Restaurants and outdoor dining on the Promenade have remained stable since the CUP requirement for restaurant conversion was established in 2006, and activity is increasing within and surrounding the Promenade toward Second and Fourth Streets as new shops and restaurants open. Therefore the conversion of a single restaurant will not negatively impact the balance between restaurant and retail uses in the district and Downtown area. Furthermore, Goal D1 seeks to maintain the Downtown’s competitive advantage as a premier local and regional shopping, dining, and entertainment destination, and support its evolution in order to respond to challenging market conditions. The proposed conversion is consistent with the intent of the LUCE which is to ensure the appropriate mix and of restaurants, retail and entertainment on the Third Street Promenade in efforts to encourage a vibrant and active streetscape. The conversion could improve the viability of the subject tenant space that is currently inefficiently utilized, as retail would be more adaptable to the existing building constraints that present challenges to restaurant operators. Obtaining a viable retail tenant would contribute to the success of the Promenade, consistent with the goals and policies established in the Land Use and Circulation Element for the Downtown area. Community Outreach Downtown Santa Monica, Inc. (DTSM) is supportive of the proposed Conditional Use Permit request to convert the existing ground floor restaurant use to retail space. DTSM

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maintains its imperative to retain restaurant spaces and outdoor dining on the Promenade, however states that the subject building presents unique operational challenges for restaurant operations due to the building’s narrow layout and site conditions. Accordingly, DTSM is open to retail options at this location. Alternative Actions:

In addition to the recommended action, the Planning Commission could consider the following with respect to the project: A1. Continue the project for specific reasons, consistent with applicable deadlines

and with agreement from the applicant; A2. Articulate revised findings and/or conditions to Approve OR Deny, with or without

prejudice, the subject application.

Conclusion The project involves the ground floor conversion of an existing restaurant (Johnnie’s NY Pizzeria restaurant) to general retail adjacent to the Third Street Promenade. Specifically, the applicant requests to convert the entire ground floor restaurant space consisting of 2,365 SF to general retail. The outdoor dining area consisting of 216 SF along the Third Street Promenade would also be removed. Staff believes the site’s existing building conditions including its narrow width and street frontage, existing stair and elevator locations, and its multi-level configuration present operational challenges that are unique site conditions that result in special circumstances to this particular property that warrant a change of use from restaurant to retail. Furthermore, there has been considerable and ongoing expansion of restaurant uses generally throughout the Downtown area surrounding the Promenade. Restaurants and outdoor dining on the Promenade have remained stable since the CUP requirement for restaurant conversion was established in 2006, and activity is increasing within and surrounding the Promenade toward Second and Fourth Streets as new shops and restaurants open. Therefore staff believes the conversion of a single restaurant will not negatively impact the balance between restaurant and retail uses in the district. Prepared by: Steve Mizokami, Associate Planner Bradley J. Misner, AICP, Principal Planner

Attachments A. General Plan and Municipal Code Compliance Worksheet B. Draft Statement of Official Action C. Public Notification D. Applicant Findings in Support of Conversion

E. Project Plans

11 Attachment A General Plan & Municipal Code Compliance Worksheet

ATTACHMENT A GENERAL PLAN AND MUNICIPAL CODE COMPLIANCE WORKSHEET

Project Location and Permit Processing Time Limits

Project Address: 1444 Third Street Promenade

Application Filing Date: July 15, 2014

CEQA Deadline: August 15, 2014

PSA Deadline: October 14, 2014

Total Process Review Time (Days):

398 days

General Plan and Municipal Code Compliance Worksheet

CATEGORY

LAND USE ELEMENT

MUNICIPAL CODE

PROJECT

Permitted Use

Retail / Commercial

Conversion of any portion of a food use in existence as of January 24, 2006 to any other new or expanded use located on the ground floor level adjacent to the Third Street Promenade requires a Conditional Use Permit.

[SMMC 9.04.08.15.040]

Conditional Use Permit requested for full conversion of an existing food use to retail use on the ground floor level adjacent to Third Street Promenade

12 Attachment B Draft Statement of Official Action

ATTACHMENT B DRAFT STATEMENT OF OFFICIAL ACTION

City of Santa Monica City Planning Division

PLANNING COMMISSION STATEMENT OF OFFICIAL ACTION

PROJECT INFORMATION CASE NUMBER: Conditional Use Permit 14-010 LOCATION: 1444 Third Street Promenade APPLICANT: Marina Case (Third Street Promenade Corporation) PROPERTY OWNER: Third Street Promenade Corporation CASE PLANNER: Steve Mizokami, Associate Planner REQUEST: The applicant requests approval of a Conditional Use

Permit to allow the conversion of an existing restaurant, in existence as of January 24, 2006 and located on the ground floor level adjacent to the Third Street Promenade, to general retail use. Specifically, the applicant is requesting to fully convert the 2,365 square feet of ground floor restaurant space (Johnnie’s NY Pizzeria) to general retail use.

CEQA STATUS: The project is categorically exempt from the provisions of

CEQA, pursuant to Section 15301 (Class 1), Existing Facilities, in that the project involves improvements to an existing tenant space within a commercial building to allow conversion of a portion of a food service use to general retail.

Attachment B Draft Statement of Official Action

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PLANNING COMMISSION ACTION

August 19, 2015 Determination Date

X

Approved based on the following findings and subject to the conditions below.

Denied.

Other:

EFFECTIVE DATES OF ACTIONS IF NOT APPEALED:

September 3, 2015

EXPIRATION DATE OF ANY PERMITS GRANTED:

None

LENGTH OF ANY POSSIBLE EXTENSION OF EXPIRATION DATES*:

None

* Any request for an extension of the expiration date must be received in the City Planning Division prior to expiration of this permit.

Each and all of the findings and determinations are based on the competent and substantial evidence, both oral and written, contained in the entire record relating to the Project. All summaries of information contained herein or in the findings are based on the substantial evidence in the record. The absence of any particular fact from any such summary is not an indication that a particular finding is not based in part on that fact. FINDINGS: CONDITIONAL USE PERMIT FINDINGS 1. The proposed use is one conditionally permitted within the subject district and

complies with all of the applicable provisions of the "City of Santa Monica Comprehensive Land Use and Zoning Ordinance", in that Santa Monica Municipal Code Section 9.04.08.15.085(a) requires the approval of a Conditional Use Permit to allow the conversion of any portion of a food use in existence as of January 24, 2006 to any other new or expanded use located on the ground floor level adjacent to the Third Street Promenade. The subject building and restaurant use was established in 1991, and the proposal to convert the entire 2,365 SF ground floor restaurant to general retail space requires CUP approval.

2. The proposed conversion would not impair the integrity and character of the

district in which it is to be established or located, in that the proposed conversion would not negatively affect the existing mix of restaurant, retail, and entertainment uses that currently contribute to the vitality of the Promenade. There has been considerable and ongoing expansion of restaurant uses generally throughout the Downtown area surrounding the Promenade. Restaurants and outdoor dining on the Promenade have remained stable since the CUP requirement for restaurant conversion was established in 2006, and activity is increasing within and surrounding the Promenade toward Second and


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Fourth Streets as new shops and restaurants open. There are approximately 64 restaurants/food serving establishments solely within the Bayside District (29 directly on the Promenade), indicating a slight increase in the number of restaurants from the 59 establishments in the district reported in 2003. Including establishments in the Santa Monica Place, Ocean Avenue, and the remainder of the Downtown Core, there are more than 100 restaurants/food serving establishments in the Downtown area. Therefore the conversion of a single restaurant will not negatively impact the balance between restaurant and retail uses in the district.

3. The subject parcel is physically suitable for the type of land use being proposed,

in that the property is currently developed with a two-story building and basement. Although the building has been occupied as a restaurant since 1991, the proposed retail use would be more adaptable to the subject space based on existing building constraints consisting of a narrow tenant space width of 21 feet, and its multi-level configuration limited by existing stair and elevator locations that preclude the second and basement levels from being utilized by separate land uses.

4. The proposed use is compatible with any of the land uses presently on the

subject parcel if the present land uses are to remain, in that there are presently no uses other than the existing restaurant, and no current uses would remain as a result of the proposed conversion.

5. The proposed use would be compatible with existing and permissible land uses

within the district and the general area in which the proposed use is to be located, in that commercial retail uses exist and are permitted in the underlying BSC-1 zoning district and the Downtown Core. The proposed retail use is consistent with and complimentary to other commercial uses on the Promenade and Downtown area.

6. There are adequate provisions for water, sanitation, and public utilities and

services to ensure that the proposed use would not be detrimental to public health and safety, in that the site is currently developed with an existing commercial building located in an urbanized area adequately served by existing infrastructure, and it is anticipated that the proposed retail use would use less water than the current restaurant use.

7. Public access to the proposed use will be adequate, in that the project site is

located on Third Street Promenade that provides adequate pedestrian access, and vehicular access to nearby public parking structures in the area along Second and Fourth Streets is available. Furthermore, the subject site is located within the Transit Mall area with dedicated lanes for the Big Blue Bus and widened sidewalks for adequate pedestrian access.

8. The physical location or placement of the use on the site is compatible with and


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relates harmoniously to the surrounding neighborhood, in that the proposed retail use will be located within an existing commercial building currently developed on the site, adjacent to the Promenade that consists of other compatible retail and restaurant commercial uses.

9. The proposed use is consistent with the goals, objectives, and policies of the

Land Use and Circulation Element, in that LUCE Policy D7.1 seeks to encourage a broad mix of uses that creates a dynamic activity in both the daytime and evening hours in efforts to achieve Goal D7 which seeks to create a balance mix of uses in the Downtown that reinforces its role as the greatest concentration of activity in the city. There has been considerable and ongoing expansion of restaurant uses generally throughout the Downtown area surrounding the Promenade. Restaurants and outdoor dining on the Promenade have remained stable since the CUP requirement for restaurant conversion was established in 2006, and activity is increasing within and surrounding the Promenade toward Second and Fourth Streets as new shops and restaurants open. Therefore the conversion of a single restaurant will not negatively impact the balance between restaurant and retail uses in the district and Downtown area.

Furthermore, Goal D1 seeks to maintain the Downtown’s competitive advantage as a premier local and regional shopping, dining, and entertainment destination, and support its evolution in order to respond to challenging market conditions. The proposed conversion is consistent with the intent of the LUCE which is to ensure the appropriate mix and of restaurants, retail and entertainment on the Third Street Promenade in efforts to encourage a vibrant and active streetscape. The conversion would improve the viability of the subject tenant space that is currently inefficiently utilized, as retail would be more adaptable to the existing building constraints that present challenges to restaurant operators. Obtaining a viable retail tenant would contribute to the success of the Promenade, consistent with the goals and policies established in the Land Use and Circulation Element for the Downtown area.

10. The proposed use would not be detrimental to the public interest, health, safety,

convenience, or general welfare, in that the proposed retail use is consistent with the Zoning Ordinance and the Land Use and Circulation Element, and this particular conversion would not negatively affect the mix of restaurants, retail, and entertainment uses on the Promenade.

11. The proposed use conforms precisely to the applicable performance standards

contained in Subchapter 9.04.12 and special conditions outlined in Subchapter 9.04.14 of the City of Santa Monica Comprehensive Land Use and Zoning Ordinance, in that no performance standard permit is required.

12. The proposed use will not result in an over concentration of such uses in the

immediate vicinity, in that the proposed retail use will be located in an existing commercial area and will serve patrons visiting the Promenade. Furthermore,


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there has been considerable and ongoing expansion of restaurant uses generally throughout the Downtown area surrounding the Promenade, and the amount of outdoor dining area on the Promenade has been stable, and therefore the conversion of the space to retail use would not negatively impact the diversity of uses in the district.

ADDITIONAL CONDITIONAL USE PERMIT FINDINGS FOR CONVERSION 13. Pursuant to SMMC 9.04.08.15.085(a)(1), the proposed use would preserve the

unique mixture of restaurants, retail, and entertainment on the Third Street Promenade and maintain the vitality and diversity of the Promenade and the Bayside District in that even with the proposed conversion that would allow retail use at the subject site, activity is increasing within and surrounding the Promenade toward Second and Fourth Streets as new shops and restaurants open. There has been considerable and ongoing expansion of restaurant uses generally throughout the Downtown area surrounding the Promenade. Restaurants and outdoor dining on the Promenade have remained stable since the CUP requirement for restaurant conversion was established in 2006. There are approximately 64 restaurants/food serving establishments solely within the Bayside District (29 directly on the Promenade), indicating a slight increase in the number of restaurants from the 59 establishments in the district reported in 2003. Including establishments in the Santa Monica Place, Ocean Avenue, and the remainder of the Downtown Core, there are more than 100 restaurants/food serving establishments in the Downtown area. Therefore the conversion of a single restaurant will not negatively impact the balance between restaurant and retail uses in the district, thereby preserving the unique mixture of commercial uses on the Promenade.

14. Pursuant to SMMC 9.04.08.15.085(a)(2), the strict application of the provisions of this Section would, due to unique site conditions or special circumstances, result in practical difficulties or unnecessary hardships, not including economic hardships or economic difficulties, for the business or property owner in that both site and existing building conditions result in constraints on the space to be effective for restaurant use. Specifically, the subject parcel has a substandard lot width of 23 feet, and the existing building is 21’-3” in width which is unique compared to properties on the Promenade that have greater widths. The two-story, multi-level building with basement was constructed for a single tenant, with interior stairs and elevator connecting all three levels. This existing building condition precludes the second floor and basement levels from being leased separately to other tenants. The building is unique primarily due to its challenging configuration consisting of a narrow width, existing stair and elevator locations, and its multi-level configuration that requires a single operator to lease all three levels. Restaurant operators find difficulty in operating the space as a restaurant due to the inefficiency of the long, narrow space on the ground floor and providing service on multiple levels, and the inclusion of the basement and second floor levels in any lease detracts prospective restaurants from leasing the


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space. Therefore, the existing site and building constraints present practical difficulties for the property owner in achieving viable use of the building or obtaining a restaurant operator that can successfully utilize the space.

CONDITIONS OF APPROVAL: PLANNING AND COMMUNITY DEVELOPMENT Project Specific Condition 1. This Conditional Use Permit shall supersede the previously approved Conditional

Use Permit 89CUP-008. Administrative 2. The Planning Commission’s approval, conditions of approval, or denial of this

application may be appealed to the City Council if the appeal is filed with the Zoning Administrator within fourteen consecutive days following the date of the Planning Commission’s determination in the manner provided in Part 9.04.20.24, Sections 9.04.20.24.010 through 9.04.20.24.040. An appeal of the approval, conditions of approval, or denial of a subdivision map must be filed with the City Clerk within ten consecutive days following the date of Planning Commission determination in the manner provided in Part 9.20.14, Section 9.20.14.070. Any appeal must be made in the form required by the Zoning Administrator. The approval of this permit shall expire if the rights granted are not exercised within 18 months from the permit’s effective date. Exercise of rights shall mean issuance of a building permit to commence construction.

3. Within ten days of City Planning Division transmittal of the Statement of Official

Action, project applicant shall sign and return a copy of the Statement of Official Action prepared by the City Planning Division, agreeing to the conditions of approval and acknowledging that failure to comply with such conditions shall constitute grounds for potential revocation of the permit approval. By signing same, applicant shall not thereby waive any legal rights applicant may possess regarding said conditions. The signed Statement shall be returned to the City Planning Division. Failure to comply with this condition shall constitute grounds for potential permit revocation.

4. Within thirty (30) days after final approval of the project, a sign shall be posted on

site stating the date and nature of the approval. The sign shall be posted in accordance with the Zoning Administrator guidelines and shall remain in place until a building permit is issued for the project. The sign shall be removed promptly when a building permit is issued for the project or upon expiration of the Design Compatibility Permit.


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5. Prior to issuance of a final inspection, the applicant shall post a notice at the restaurant entry stating that the site is regulated by a Conditional Use Permit and the Statement of Official Action, which includes the establishment’s conditions of approval, is available upon request. This notice shall remain posted at all times the establishment is in operation.

6. In the event permittee violates or fails to comply with any conditions of approval

of this permit, no further permits, licenses, approvals or certificates of occupancy shall be issued until such violation has been fully remedied.

7. Applicant is advised that projects in the California Coastal Zone may need

approval of the California Coastal Commission prior to issuance of any building permits by the City of Santa Monica. Applicant is responsible for obtaining any such permits.

Conformance with Approved Plans 8. This approval is for those plans dated 8/10/15, a copy of which shall be

maintained in the files of the City Planning Division. Project development shall be consistent with such plans, except as otherwise specified in these conditions of approval.

9. Minor amendments to the plans shall be subject to approval by the Director of

Planning. A significant change in the approved concept shall be subject to Planning Commission Review. Construction shall be in conformance with the plans submitted or as modified by the Planning Commission, Architectural Review Board or Director of Planning.

10. Project plans shall be subject to complete Code Compliance review when the

building plans are submitted for plan check and shall comply with all applicable provisions of Article IX of the Municipal Code and all other pertinent ordinances and General Plan policies of the City of Santa Monica prior to building permit issuance.

Project Operations 12. The operation shall at all times be conducted in a manner not detrimental to

surrounding properties or residents by reason of lights, noise, activities, parking or other actions.

13. The project shall at all times comply with the provisions of the Noise Ordinance (SMMC Chapter 4.12).


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Final Design 14. Plans for final design, landscaping, screening, trash enclosures, and signage

shall be subject to review and approval by the Architectural Review Board. 15. The Architectural Review Board, in its review, shall pay particular attention to the

project's pedestrian orientation and amenities; scale and articulation of design elements; exterior colors, textures and materials; window treatment; glazing; and landscaping.

16. Refuse areas, storage areas and mechanical equipment shall be screened in

accordance with SMMC Section 9.04.10.02.130, 140, and 150. Refuse areas shall be of a size adequate to meet on-site need, including recycling. The Architectural Review Board in its review shall pay particular attention to the screening of such areas and equipment. Any rooftop mechanical equipment shall be minimized in height and area, and shall be located in such a way as to minimize noise and visual impacts to surrounding properties. Unless otherwise approved by the Architectural Review Board, rooftop mechanical equipment shall be located at least five feet from the edge of the roof. Except for solar hot water heaters, no residential water heaters shall be located on the roof.

17. Prior to consideration of the project by the Architectural Review Board, the

applicant shall review disabled access requirements with the Building and Safety Division and make any necessary changes in the project design to achieve compliance with such requirements. The Architectural Review Board, in its review, shall pay particular attention to the aesthetic, landscaping, and setback impacts of any ramps or other features necessitated by accessibility requirements.

18. As appropriate, the Architectural Review Board shall require the use of anti-

graffiti materials on surfaces likely to attract graffiti.

Construction Plan Requirements 19. Final building plans submitted for approval of a building permit shall include on

the plans a list of all permanent mechanical equipment to be placed indoors which may be heard outdoors.

Construction Period 20. Developer shall prepare a notice, subject to the review by the Director of

Planning and Community Development, that lists all construction mitigation requirements, permitted hours of construction, and identifies a contact person at City Hall as well as the developer who will respond to complaints related to the proposed construction. The notice shall be mailed to property owners and


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residents within a 200-foot radius from the subject site at least five (5) days prior to the start of construction.

21. A sign shall be posted on the property in a manner consistent with the public

hearing sign requirements which shall identify the address and phone number of the owner and/or applicant for the purposes of responding to questions and complaints during the construction period. Said sign shall also indicate the hours of permissible construction work.

22. A copy of these conditions shall be posted in an easily visible and accessible

location at all times during construction at the project site. The pages shall be laminated or otherwise protected to ensure durability of the copy.

Standard Conditions 23. Final approval of any mechanical equipment installation will require a noise test

in compliance with SMMC Section 4.12.040. Equipment for the test shall be provided by the owner or contractor and the test shall be conducted by the owner or contractor. A copy of the noise test results on mechanical equipment shall be submitted to the Community Noise Officer for review to ensure that noise levels do not exceed maximum allowable levels for the applicable noise zone.

24. Construction period signage shall be subject to the approval of the Architectural

Review Board. 25. The property owner shall insure any graffiti on the site is promptly removed

through compliance with the City’s graffiti removal program. Environmental Mitigation 26. To mitigate solid waste impacts, prior to issuance of a Certificate of Occupancy,

project owner shall submit a recycling plan to the Department of Public Works for its approval. The recycling plan shall include:

1) List of materials such as white paper, computer paper, metal cans, and

glass to be recycled; 2) Location of recycling bins; 3) Designated recycling coordinator; 4) Nature and extent of internal and external pick-up service; 5) Pick-up schedule; and 6) Plan to inform tenants/ occupants of service.

27. Ultra-low flow plumbing fixtures are required on all new development and

remodeling where plumbing is to be added, including dual flush toilets, 1.0 gallon urinals and low flow shower heads.


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Construction Period Mitigation 28. A construction period mitigation plan shall be prepared by the applicant for

approval by the Department of Public Works prior to issuance of a building permit. The approved mitigation plan shall be posted on the site for the duration of the project construction and shall be produced upon request. As applicable, this plan shall:

1) Specify the names, addresses, telephone numbers and business license

numbers of all contractors and subcontractors as well as the developer and architect;

2) Describe how demolition of any existing structures is to be accomplished; 3) Indicate where any cranes are to be located for erection/construction; 4) Describe how much of the public street, alleyway, or sidewalk is proposed

to be used in conjunction with construction; 5) Set forth the extent and nature of any pile-driving operations; 6) Describe the length and number of any tiebacks which must extend under

the property of other persons; 7) Specify the nature and extent of any dewatering and its effect on any

adjacent buildings; 8) Describe anticipated construction-related truck routes, number of truck

trips, hours of hauling and parking location; 9) Specify the nature and extent of any helicopter hauling; 10) State whether any construction activity beyond normally permitted hours is

proposed; 11) Describe any proposed construction noise mitigation measures, including

measures to limit the duration of idling construction trucks; 12) Describe construction-period security measures including any fencing,

lighting, and security personnel; 13) Provide a drainage plan; 14) Provide a construction-period parking plan which shall minimize use of

public streets for parking; 15) List a designated on-site construction manager; 16) Provide a construction materials recycling plan which seeks to maximize

the reuse/recycling of construction waste; 17) Provide a plan regarding use of recycled and low-environmental-impact

materials in building construction; and 18) Provide a construction period water runoff control plan.

29. The applicant authorizes reasonable City inspection of the property to ensure

compliance with the conditions of approval imposed by the City in approving this project and will bear the reasonable cost of these inspections as established by Santa Monica Municipal Code Section 2.72.010 and Resolution No. 9905 (CCS) or any successor legislation thereto. These inspections shall be no more intrusive than necessary to ensure compliance with conditions of approval.


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VOTE Ayes: Nays: Abstain: Absent: NOTICE If this is a final decision not subject to further appeal under the City of Santa Monica Comprehensive Land Use and Zoning Ordinance, the time within which judicial review of this decision must be sought is governed by Code of Civil Procedure Section 1094.6, which provision has been adopted by the City pursuant to Municipal Code Section 1.16.010. I hereby certify that this Statement of Official Action accurately reflects the final determination of the Planning Commission of the City of Santa Monica. _____________________________ _____________________________ Richard McKinnon, Chairperson Date Acknowledgement by Permit Holder

I hereby agree to the above conditions of approval and acknowledge that failure to comply with such conditions shall constitute grounds for potential revocation of the permit approval.

Print Name and Title Date

Applicant’s Signature

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ATTACHMENT C PUBLIC NOTIFICATION INFORMATION

Pursuant to Municipal Code Section 9.04.20.20.080 and in accordance with the posting requirements set forth by the Zoning Administrator, prior to application filing the applicant posted a sign on the property regarding the subject application. At least 8 weeks prior to the public hearing date, the applicant submitted a photograph to verify the site posting and to demonstrate that the sign provides the following information: Project case number, brief project description, name and telephone number of applicant, site address, date, time and location of public hearing, and the City Planning Division phone number. It is the applicant's responsibility to update the hearing date if it is changed after posting. In addition, pursuant to Municipal Code Section 9.04.20.22.050, notice of the public hearing was mailed to all owners and residential and commercial tenants of property located within a 500 foot radius of the project and published in the Santa Monica Daily Press at least ten consecutive calendar days prior to the hearing. On June 25, 2015, the applicant was notified of the subject hearing date. The applicant provided the following information regarding attempts to contact area property owners, residents, and recognized neighborhood associations: Adjacent Neighbors No contact information provided Community Meetings No contact information provided Other: The applicant notified and discussed the subject request with

Downtown Santa Monica, Inc.

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NOTICE OF A PUBLIC HEARING BEFORE THE SANTA MONICA PLANNING COMMISSION

SUBJECT: Conditional Use Permit 14-010

1444 Third Street Promenade APPLICANT: Marina Case (Third Street Promenade Corporation) PROPERTY OWNER: Third Street Promenade Corporation

A public hearing will be held by the Planning Commission to consider the following request: The applicant requests approval of a Conditional Use Permit (14CUP-010) to allow the conversion of an existing restaurant (Johnnie’s NY Pizzeria) to retail use at the subject property. The existing full-service restaurant occupies the entire two-story building with basement, consisting of 8,378 total square feet. The applicant requests to convert the entire ground floor restaurant space consisting of 2,996 SF to general retail. The outdoor dining area consisting of 216 SF along the Third Street Promenade would be removed. Pursuant to Santa Monica Municipal Code (SMMC) Section 9.04.08.15.085(a), a Conditional Use Permit is required for the conversion of any portion of a food use in existence as of January 24, 2006 to any other new or expanded use located on the ground floor level adjacent to the Third Street Promenade. The entire building has been occupied by restaurant use since constructed in 1991.

DATE/TIME: WEDNESDAY, August 19, 2015 AT 7:00 PM

LOCATION: City Council Chambers, Santa Monica City Hall, Second Floor

1685 Main Street, Santa Monica, California HOW TO COMMENT The City of Santa Monica encourages public comment. You may comment at the Planning Commission public hearing, or by writing a letter. Written information will be given to the Planning Commission at the meeting. Address your letters to: Steve Mizokami, Associate Planner Re: 14CUP-010 City Planning Division 1685 Main Street, Room 212 Santa Monica, CA 90401 MORE INFORMATION If you want more information about this project or wish to review the project file, please contact Steve Mizokami at (310) 458-8341, or by e-mail at [email protected].

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The Zoning Ordinance is available at the Planning Counter during business hours and on the City’s web site at www.smgov.net.

The meeting facility is wheelchair accessible. For disability-related accommodations, please contact (310) 458-8341 or (310) 458-8696 TTY at least 72 hours in advance. All written materials are available in alternate format upon request. Santa Monica “Big Blue” Bus Lines #2, #3, Rapid 3, #7 and #9 service the City Hall and Civic Center. “Big Blue” Bus Lines #2 and #8 now run on Ocean Avenue instead of Main Street due to Colorado Esplanade construction.

Pursuant to California Government Code Section 65009(b), if this matter is subsequently challenged in Court, the challenge may be limited to only those issues raised at the public hearing described in this notice, or in written correspondence delivered to the City of Santa Monica at, or prior to, the public hearing.

ESPAÑOL Esto es una noticia de una audiencia pública para revisar applicaciónes proponiendo desarrollo en Santa Monica. Si deseas más información, favor de llamar a Carmen Gutierrez en la División de Planificación al número (310) 458-8341.

APPROVED AS TO FORM:

___________________________ Amanda Schachter Planning Manager

http://www.smgov.net/

planning commission report - smgov.net

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