DEPARTMENT OF COMMUNITY DEVELOPMENT (David DeGrazia, Planning Manager, CHPP) (Adrian Gallo, Associate Planner)

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1 ( PLANNING COMMISSION PUBLIC HEARING JUNE 18, 2015 SUBJECT: INITIATED BY: REQUEST TO ALLOW THE SALE, SERVICE AND CONSUMPTION OF FULL ALCOHOL AS ACCESSORY TO FOOD SERVICE AT A NEW ROOFTOP RESTAURANT WITH OUTDOOR DINING LOCATED AT 8715 MELROSE AVENUE (CATCH) DEPARTMENT OF COMMUNITY DEVELOPMENT (David DeGrazia, Planning Manager, CHPP) (Adrian Gallo, Associate Planner) STATEMENT ON THE SUBJECT The applicant requests approval of a minor conditional use permit to allow general (full) alcohol sales incidental to food service at a new rooftop restaurant located at 8715 Melrose Avenue. The proposal includes alcohol service throughout the restaurant from 6:00 p.m. to 2:00 a.m. Monday through Friday and 8:00 a.m. to 2:00 a.m. on the weekends and observed City Holidays. RECOMMENDATION Staff recommends the Commission hold a public hearing, consider all pertinent testimony, and approve the reque~t. subject to the conditions in Draft Resolution PC : 1) Draft Resolution No. PC : "A RESOLUTION OF THE PLANNING COMMISSION OF THE CITY OF WEST HOLLYWOOD, CONDITIONALLY APPROVING A MINOR CONDITIONAL USE PERMIT TO ALLOW THE SALES, SERVICE, AND CONSUMPTION OF FULL ALCOHOL IN CONJUNCTION WITH A NEW ROOFTOP RESTAURANT WITH OUTDOOR DINING (CATCH), LOCATED AT 8715 MELROSE AVENUE, WEST HOLLYWOOD, CALIFORNIA." (EXHIBIT A) BACKGROUND Application Information The request for the sale of full alcohol for on-site consumption at a restaurant requires a minor conditional use permit (MCUP). The Community Development Director shall review and approve an MCUP application, or may refer the application to the Commission for a decision, as indicated in Section B (review authority over minor conditional use permits) of the West Hollywood Municipal Code. The Director has referred the application to the Commission for a decision. Page 1 of 9 ITEM 10.B.

2 A. Applicant: Catch LA Operating Company, LLC 8. Property Owner: JJM Real Estate Investments LLC C. Zoning & General Plan: CN2 (Commercial Neighborhood 2) D. Environmental Status: Categorically Exempt per CEQA Section (Existing Facilities) & b.3 (Common Sense) E. Date of Application: February 10, 2015 F. Deemed Complete: April 24, 2015 G. Public Notices: The public hearing was noticed in accordance with the WHMC Site History On August 20, 2012, the City Council approved the construction of an approximately 23,045-square-foot, three-story retail and wholesale design showroom structure, with two levels of underground parking containing 70 spaces (known as the Melrose & San Vicente Project). The project also contained a 9,677-square-foot rooftop terrace designated as a wholesale design showroom for outdoor furnishings. The approval did not include any condition requiring Planning Commission/ City Council approval of a change of use to the roof..1,.. \... I rs_v I. 7!!,;._.,,._.I On March 10, 2014 staff approved Development Permit , Administrative Permit , and Minor Parking Use Permit for a change of use that converted 9,496 square feet of wholesale design showroom into restaurant space located on the roof terrace level and portion of the second level. To satisfy the parking requirements for the project, the applicant is utilizing on- and off-site parking. Page 2 of 9

3 Aerial View of Subject Site Site and Area Conditions The subject property is located on the northwest corner of Melrose Avenue and San Vicente Boulevard. The commercial building, currently under construction, is approved for retail, restaurant, and wholesale design showroom uses. The restaurant space is located on the roof terrace level with ancillary kitchen facilities on the second level and is not located within 500 feet of any church facility or school. North South East 1) Immediately north of the subject site is the 70-foot-tall West : Hollywood Library and Parking Garage. The West Hollywood ' Park, including the West Hollywood Auditorium, swimming pool,. and other ancillary facilities are located further north, and is the ~los~! park_: 2) Across Melrose Avenue are commercial properties zoned CN2 which consist of mostly design- and furnishings- related retail ' establishments. 2a)Further south are residential properties zoned R1-B which include mostly single-family or low density residential developments. The nearest residential properties are located _ alor1g R_ang~ly Ayenu~- 3) Across San Vicente Boulevard is the Pacific Design Center and commercial developments along Melrose Avenue. West 4) Commercial _properties zoned CN2 which consist of mostly i design- and furnishings- related retail establishments. Page 3 of 9

4 California Environmental Quality Act (CEQA) The proposed project has been determined not to have a significant effect on the environment and is categorically exempt from the provisions of CEQA pursuant to Section (Existing Facilities) of the CEQA Guidelines, which exempt the operation of an existing structure involving negligible or no expansion of the use beyond existing conditions. Further under Section (b )(3), this application is only to add alcohol sales and will not change the physical environment beyond what is already approved and under construction. Public Comment At the time the staff report was published, staff had received one written comment from the public in opposition to the use of the roof terrace level as a restaurant space, instead of the approved design showroom use. (EXHIBIT D) The owners of the building had originally designed the space to be the Aga John Flagship showroom. In light of the extended timeline of the project, Aga John signed a lease in the Pacific Design Center and the building owners decided to change the use from showroom to restaurant space. Staff also received eleven written letters from the public in support of the proposed project. ANALYSIS Project Proposal Catch Melrose is a rooftop restaurant atop the Melrose & San Vicente project, a three-story commercial building. The restaurant dining area on the roof contains a combination of rooftop canopy and permanent enclosure systems which will cover a majority of the rooftop, typically during inclement weather. The restaurant entitlements were approved on March 10, 2014 and the current proposal is only for full alcohol service within the previously approved restaurant space. The applicant requests operational hours from 6:00 p.m. to 2:00 a.m. Monday through Friday, and 8:00 a.m. to 2:00 a.m. on weekends and observed City Holidays. No live entertainment is permitted, except as authorized in restaurants under the WHMC or through a Special Event Permit. The project plans are attached to this report as EXHIBIT F. The approved 9,496-square-foot restaurant includes the following two components: Roof Terrace Level (3'd Floor) Access to the roof will occur from an elevator entry at the street level on Melrose Avenue. The restaurant occupies 8,119 sq. ft. of space on the roof terrace level and includes seating for approximately 278 patrons (including bar/ counter). Second Level (2nd Floor) The back of house (prep kitchen, storage areas) for the restaurant occupies 1,377 sq. ft. on the second floor. Page 4 of 9

5 The addition of alcohol to the restaurant does not require additional parking and Catch meets all of the parking requirements. Business Description from applicant Catch Melrose will be a neighborhood-friendly restaurant located atop a new commercial building. Catch is a contemporary American seafood restaurant that features current renditions of classic seafood preparations. The restaurant serves sharable dishes that marry simple yet elegant seafood with excellent service and an energetic, interactive atmosphere. The restaurant's menu is included as Exhibit B. Catch has a successful history at its NY location in the Meatpacking District and is an active participant in its local business and residential community. Catch's management team also operates other restaurants in NYC and abroad. Alcohol Service Incidental to Restaurant Food Service The applicant applied for a Type 47 ABC License (On Sale General - Eating Place - Restaurant) with the Department of Alcoholic Beverage Control, but the application is on hold, pending action by the City of West Hollywood. According to ABC, there are six other establishments within 500 feet of the subject site that sell alcohol for on-site consumption. Five of these establishments are full-service restaurants where alcohol is accessory to meal service, the other license is to a nightclub (Type 48). The following table and corresponding map detail these establishments: Hours of Alcohol Service per Business Address Type of License MCUP/CUP ( 48) On-Sale General 1- Vignette Lounge 8623 Melrose Ave. Eating Place (Not regulated by CUP) ( 41) On-Sale Beer Zinque 8684 Melrose Ave. and Wine for Eating Place > :00 am to 1 :30 am daily i (47) On-Sale General Red Seven at I 8687 Melrose Ave. Eating Place Monday - Friday the PDC (77) Event Permit 11 :00 am - 3:00 pm I > r--~ Caterer Permit (47) On-Sale General 1 Eating Place 1' I C- e-cconi's 8764 Melrose Ave. ( 77 ) Event Permit 7:00 am to 1 :30 am daily ~ (58) Catere.r Per!!lJ!_J L' Sur Restaurant 1_612 Robertson ( 47 ~ On-Sale Generalj 8:00 am to 1:30 am daily ----' Eating Place (47) On-Sale General I , Tortilla Republic 616 Robertso_n_~~E-a~ti-ng_P_1a_ce ~l (77) Event Permit, 6:_0_0 _a_m_t_o _2 :0.o a_m d_a_i1_y_~ Page 5 of 9

6 Establishments selling alcohol for on-site consumption. Hours of Operation & Alcohol Service The table below indicates the hours requested by the applicant and those recommended by staff for the sale, service, and consumption of alcohol within the restaurant. Requested by Applicant Recommended by Staff 6:00 p.m. to 2:00 a.m. 6:00 p.m. to 1:30 a.m. Monday - Friday; Monday - Friday; Sale & Service of Alcohol 8:00 a.m. to 2:00 a.m. 8:00 a.m. to 1 :30 a.m. Saturday, Sunday, and Saturday, Sunday, and observed City Holidays observed City Holidays 6:00 p.m. to 2:00 a.m. Consumption of Alcohol Monday - Friday; 8:00 a.m. to 2:00 a.m. Identical to request Saturday, Sunday, and observed City Holidays The proposed hours of operation are consistent with similar restaurants in the area. Staff is recommending a reduction in the hours for the sale and service of alcohol to ensure that patrons have enough time to finish their drinks and leave the premises by closing time. Code Compliance The multi-tenant commercial building is currently under construction. There are no open code compliance cases against the property. The Code Compliance Division has indicated there is no cause for concern regarding the proposed restaurant with adequate conditions that address potential noise impacts and the operational standards for the establishment. Page 6 of 9

7 Sheriffs Office and Public Safety Division Staff contacted the Los Angeles County Sheriff's Department and the Public Safety Division regarding any criminal activity or concerns associated with the property and the immediate area. Neither office had any objections to the proposal to include alcohol incidental to the restaurant's meal service. Noise Management Catch has proposed to incorporate, and the restaurant approval includes noise management conditions. With the request for alcohol and the possibility of increased noise, the applicant has provided an acoustical review performed by an acoustic consultant to determine whether additional soundproofing and noise management measures are necessary to address any potential noise impacts associated with the use of the rooftop (EXHIBIT C). The acoustical report found that use of the rooftop by the restaurant's patrons would not be plainly audible at the nearest residential properties along Rangely Avenue with incorporation of noise management measures into the project design. When the recommended mitigation measures are implemented, the noise levels generated by the operation of the restaurant will conform to the City's Noise Ordinance. The Noise Ordinance limits noise from commercial establishments adjacent to residential properties between 10:00 pm and 8:00 am. The following mitigation measures from the sound study have been included as conditions of approval in the minor conditional use permit and agreed upon by the applicant: Condition 5.1 requires the height of the glass barrier along the south and east edge of the roof be 7 ft. in height as measured from the finish floor of the Roof Terrace Level. Condition 5.2 requires the glass barrier exhibit a surface mass of at least 2 pounds per square foot, and must be solid without holes or gaps. Condition 6.18 requires audio speakers to be directed towards the dining room interior to minimize the possibility of sound being audible beyond the property line. Condition 6.26 restricts the use of any live music to amplified instruments only (i.e. No acoustic drums, brass or reed instruments, or vocal soloists) and the volume levels adjusted to levels equal to ambient background music. Condition 6.27 requires the restaurant operator to monitor the noise levels during all special events by patrolling the neighborhood and conducting sound checks to ensure that the activity is not audible. In addition to the mitigation measures recommended in the Sound Study, the applicant designed the rooftop with features such as perimeter landscaping, sound absorbing materials and rooftop canopies and enclosures so as to prevent any sound, light or other impacts onto the surrounding community. Page 7 of 9

8 Staff is also recommending a number of conditions to address any potential noise impacts from the establishment, including, but not limited to the following: Condition 6.15 limits the music in the outdoor dining areas to background/ambient music levels. Condition 6.15 requires the applicant to install a volume limiter, allowing master control of all volume from a single location. Condition 6.16 requires an initial sound demonstration to be approved by the Community Development Director to determine whether the music and sound from operations are plainly audible at the nearest residences. Staff Recommendation Catch is a fine dining seafood restaurant to be located within the West Hollywood Design District and is adjacent to the Robertson and Santa Monica Boulevard restaurant and entertainment district. As with all other fine dining establishments, the ability of patrons to enjoy alcoholic beverages with their meals is an intrinsic component of the dining and entertainment experience. This area of the Design District has a number of fine food restaurants, as well as high-end retail and showroom commercial locations that create a vibrant district of daytime and nighttime uses that has become an increasingly popular pedestrian district for local residents and businesses. The operation of the restaurant will enhance the dining options and activate the area for local business people, shoppers, visitors and residents. With this request, the applicant seeks to provide incidental alcohol service that is an essential component of any high-end dining establishments and consistent with the service available in other similar restaurants in the vicinty. In addition, the alcohol service at this restaurant will not be detrimental to the character of the immediate area and will have a positive impact on the economic welfare of the community by attracting patrons to the area. By requesting ancillary alcohol service, the establishment is subject to various standard conditions that are placed on restaurants in addition to the noise conditions previously addressed. These include, but are not limited to: Restrictions regarding the service of alcohol only as ancillary to food. (Condition 7.19) Requirement that at least 50% of the gross quarterly sales be comprised of food and non-alcoholic beverages and related conditions requiring documentation thereof. (Condition 7.4 and 7.14) Prohibiting dancing within the establishment. (Condition 6.13) Prohibiting a cover charge for entry to the premises. (Condition 7.12) Compliance with the West Hollywood Smoking Ordinance for restaurants. (Condition 6.3) Limiting the number of special events on the roof terrace level to four events per year. (Condition 6.20) Page 8 of 9

9 By conditionally granting this request, the sale and service of alcohol for on-site consumption will be on par with other restaurant establishments elsewhere in the community. Additionally, any concerns regarding sound transfer to properties to the south would be effectively addressed via the noise management conditions incorporated into the resolution. Through appropriate conditioning that addresses the rooftop dining, hours of operation, noise, and other operational concerns, all the required findings for the project can be satisfied in the affirmative. The application is further conditioned such that, if operations of the restaurant result in significant off-site noise or other public nuisance, the Commission may modify the conditions of this permit in order to reduce or eliminate adverse impacts, in accordance with the WHMC. SUMMARY The applicant, Catch restaurant, requests to serve a full range of alcoholic beverages, incidental to the restaurant's meal service. The requested hours of operation for the restaurant are from 6:00 p.m. to 2:00 a.m. Monday through Friday and 8:00 a.m. to 2:00 a.m. on the weekends and observed City Holidays. Staff finds that the proposed use will not have significant impacts to adjacent businesses or residents. The project is conditioned so that measures will be taken to minimize the impact to the area residents. The restaurant operators recognize how important it is to work closely with the local residents and businesses to ensure the restaurant is a positive asset and does not negatively impact the community. The restaurant will complement similar uses along this portion of the West Hollywood Design District that include a number of other neighborhood-serving commercial uses and enhance the economic development of the area. Therefore, staff recommends that the Commission conditionally approve the request, subject to the findings and conditions set forth in Draft Resolution PC EXHIBITS A. Draft Resolution No. PC (MCUP ) B. Restaurant Menu C. Acoustical Review D. Correspondence from Residents E. Radius Map F. Project Plans Page 9 of 9

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