Planning Commission Report

Planning Commission Report To: From: Subject: Planning Commission Planning Commission Meeting: June 16, 2010 Amanda Schachter, City Planning Division Manager Agenda Item: 8-B Conditional Use Permit (10CUP008) to allow the on-site sale and consumption of alcohol in a new full-service restaurant Address: 395 Santa Monica Place, #305 Applicant: La Sandia Santa Monica, LLC Recommended Action It is recommended that the Planning Commission take the following actions subject to findings and conditions contained in Attachment B: 1. Approve application 10CUP008 2. Adopt the Statement of Official Action Executive Summary La Sandia, a new full-service Mexican restaurant, is requesting approval of a Conditional Use Permit (CUP) to allow the sale and consumption of alcoholic beverages (beer, wine and distilled spirits) within the restaurant s lease space located on the third level of Santa Monica Place. The restaurant occupies 1 of 6 full-service restaurant spaces programmed in the remodeled project and features indoor and outdoor seating arrangements. The proposed restaurant occupies a total of 5,673 square feet with 193 seats (148 interior seats + 45 outdoor seats). The Conditional Use Permit would allow the restaurant to offer alcoholic beverages to dining patrons and allow consumption in both indoor and outdoor dining areas. The proposed hours of operation provide for lunch and dinner service. Pursuant to Santa Monica Municipal Code (SMMC) Section 9.04.10.18.020, a CUP is required for the on-site sale and dispensation of alcoholic beverages. The following issues should be considered by the Planning Commission in its review of the proposed project and are addressed in this report: The compatibility with the surrounding area of the proposed on-site sale and consumption of alcohol associated with operating a full-service restaurant in the C3C, Downtown Overlay District The effectiveness of the proposed conditions of approval in mitigating any alcohol-related adverse impacts on the area 1

The consistency of the proposed alcohol service with the Land Use Element of the General Plan and the C3C, Downtown Overlay District Background The following dates and actions provide a summary of the alcohol outlet related approvals: February 18, 2009: The Planning Commission granted approval of a Conditional Use Permit to allow the on-site sale and consumption of beer and wine (Type 41) within the Santa Monica Place, 3 rd Level Food Court Vendors October 21, 2009: The Planning Commission granted approval of CUP 09-007 to allow the on-site sale and consumption of beer, wine, and distilled spirits (Type 47) within Xino Restaurant + Lounge February 17, 2010: The Planning Commission granted approval of CUP 09-009 for Nordstrom s Blue Stove Restaurant (Type 41) and CUP 09-010 for Ozumo Restaurant (Type 47) March 17, 2010: The Planning Commission granted approval of CUP 10-003 to allow the on-site sale and consumption of beer and wine (Type 41) within Pizza Antica restaurant 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 Zoning District: Land Use Element Designation: Parcel Area (SF): Parcel Dimensions: Existing On-Site Improvements (Year Built): Rent Control Status/Remaining tenants on-site: C3C, Downtown Overlay Downtown 209,855 SF Irregular parcel shape, See project plans Shopping Mall (1980) Exempt, Commercial Property 395 Santa Monica Place, #305 2

Adjacent Zoning Districts and Land Uses: North - BSC, Bayside Commercial Third Street Promenade East - C3C, Downtown Overlay Retail, Office, Community Center South - C3, Downtown Commercial Sears Department Store West - C3, Downtown Commercial Office, Fast Food, Motel, Retail Originally constructed in 1980, the remodeled mall will introduce an open-air design to allow a spatial connection with the Third Street Promenade. The subject restaurant tenant is located on the third level, with its outdoor patio overlooking the mall s plaza. The proposed restaurant will benefit the overall remodel project by providing a unique dining option to local residents, tourists, and visitors. Environmental Analysis 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 shopping center to allow a full-service restaurant with the on-site sale and consumption of alcoholic beverages on the premises. Project Analysis La Sandia is requesting a Conditional Use Permit to allow alcohol sales and consumption in conjunction with its restaurant operations. La Sandia restaurants are operated by the Modern Mexican Restaurant Group. The Modern Mexican restaurants are currently operating in Denver, New York City, Washington D.C. as well as Mexico and Dubai with menu s driven by Chef Richard Sandoval. La Sandia and sister restaurant Zengo, would be the first California restaurant locations for the Modern Mexican Restaurant Group. La Sandia s tenant space is prominently situated on the third floor overlooking the center court. The CUP would allow the restaurant alcohol service in both indoor and outdoor dining areas to patrons intending to purchase food menu items with proper identification. As depicted on the floor plans (Attachment D), a hostess will greet patrons and seat guests in the interior and outdoor dining areas. The following tables provide a spatial summary of the floor plan: 3

Dining Area Kitchen/Support Total SF Square Footage 3,800 1,873 5,673 Indoor Outdoor Total # of Seats No. of Seats, Outdoors 148 45 193 La Sandia Floor Plan 395 Santa Monica Place, #305 Proposed Project Operation / Hours of Alcohol Service The applicant requests operating hours from 10:00 AM to 2:00 AM, daily. Staff has proposed Condition No. 3 to limit the latest hour for serving alcoholic beverages for the restaurant s outdoor patio to 11:30 PM, with complete closure of the patio by 12:00am, or no later than the closing of the associated food service of the establishment, whichever is first, with complete closure of the patio at midnight. The latest hour for serving alcoholic beverages within the restaurant interior is 1:30 PM, or no later than the closing of the associated food service of the establishment, whichever is first. All patrons are to vacate the premises by 2:00 AM. Staff recommends these proposed hours of alcohol service which are consistent with the hours approved for other Santa Monica Place restaurant tenant CUPs. The applicant has subsequently agreed to these hours. 4

As stated in Condition No. 22, the establishment is required to serve food to patrons during all hours the establishment is open for customers. Staff reviewed the project s proposed hours and operations for consistency with requirements for other similar establishments in the area that have outdoor dining areas and evaluated the potential noise impacts that the restaurant may impose. The proposed hours of restaurant alcohol service and closure is identical to the hours established for other Santa Monica Place restaurants (Xino, Ozumo, and Pizza Antica) and recommended for Zengo and are consistent with the Third Street Promenade Outdoor Dining Standards and Transit Mall Outdoor Dining Standards in that the latest hour for serving alcoholic beverages in the outdoor patio is 11:30 PM. The project is also conditioned (Condition No. 31) to comply with the provisions of the Noise Ordinance (SMMC Chapter 4.12). Given the similar operating hours as restaurants in the Santa Monica Place, Third Street Promenade, Transit Mall Corridor, and tenant s placement in the center portion of the mall, staff does not suggest imposing further conditions on the hours of operation on the outdoor dining area. Parking Analysis The current tabulation for the restaurant parking is in compliance with the permissible floor area allocated to dining, support, and separate bar area shown in Attachment D. Specifically, Level 3 of Santa Monica Place accommodates up to 28,888 SF of fullservice dining area (@1 space per 75 SF). As of this date, the following CUP approvals and subject application depict the following tabulation: RESTAURANT CASE No. REVIEW STATUS DINING SF Xino Restaurant 09CUP007 PC Approved 10/21/09 4,589 SF Nordstrom Blue Stove 09CUP009 PC Approved 2/17/10 1,477 SF Ozumo Restaurant 09CUP010 PC Approved 2/17/10 4,045 SF Pizza Antica 10CUP003 PC Approved 4,556 SF Sonoma Wine Bar & Grill 10CUP001 PC Review Pending 5,049 SF Zengo 10CUP009 PC Review Pending 4,736 SF La Sandia 10CUP008 PC Review Pending 3,800 SF TOTAL 28,252 SF < 28,888 SF Neighborhood Compatibility Santa Monica s Downtown functions as the City s center of commerce, retail, dining, transit, and entertainment. The area serves as a destination for local residents, regional visitors, and tourists from abroad. The goals and objectives in both the current Land Use Element and draft framework for the pending Land Use Element, call for pedestrian oriented uses and designs that activate and support the greatest concentration of activity for the City. Specifically, the vision includes a revitalized Santa Monica Place to transform and compliment the Civic Center and future terminus station of the light rail system. Completion of the remodel, anticipated light rail station, and Civic Auditorium renovations will attract visitors and catalyze the district s shopping and dining opportunities. 5

Alcohol service within the Downtown is typically paired with full-service restaurant uses. Additionally, outdoor seating is encouraged for restaurants to provide for outdoor seating to activate exterior spaces. The following table identifies the location and license type of other alcohol serving outlets within 500 feet of the subject site: Establishment Address License Type The Lobster 1602 Ocean Avenue Type 41, On-sale beer & wine eating place Georgian Hotel 1415 Ocean Avenue Type 70, On-sale general restricted services I Cugini 1501 Ocean Avenue Type 47, On-sale general eating place Ivy At The Shore 1535 Ocean Avenue Type 47, On-sale general eating place Il Fornaio 1551 Ocean Avenue, #105 Type 47, On-sale general eating place Chloe 1449 Second Street Type 47, On-sale general eating place Buca De Beppo 1442 Second Street Type 47, On-sale general eating place Johnnies Pizzeria 1444 Third Street Prom. Type 41, On-sale beer & wine eating place Café Crepe 1460 Third Street Prom. Type 47, On-sale general eating place Broadway Deli 1457 Third Street Prom. Type 21, Off-sale general grocery Type 47, On-sale general eating place Harvelle s 1432 Fourth Street Type 48, On-sale general public premises West 4th & Jane 1432 Fourth Street, #A Type 41, On-sale beer & wine eating place Benihana 1447 Fourth Street Type 47, On-sale general eating place Border Grill 1445 Fourth Street Type 47, On-sale general eating place Holiday Inn 120 Colorado Avenue Type 47, On-sale general eating place Ma kai 101 Broadway Type 47, On-sale general eating place Frank s Liquor 115 Broadway Type 21, Off-sale general The Yard 119 Broadway Type 41, On-sale beer & wine eating place Fifth Amendment Alehouse 129 Broadway Type 41, On-sale beer & wine eating place Buddha s Belly 201 Broadway Type 41, On-sale beer & wine eating place Copa D Oro 217 Broadway Type 48, On-sale general public premises Santa Monica Place Food Court Vendors Xino Restaurant + Lounge 395 Santa Monica Place, Food Court 395 Santa Monica Place, #308 Type 41, On-sale beer & wine eating place Type 47, On-sale general eating place Nordstrom Blue Stove 220 Broadway Type 41, On-sale beer & wine eating place Ozumo Restaurant Pizza Antica 395 Santa Monica Place, #323 395 Santa Monica Place, #302 Type 47, On-sale beer & wine eating place Type 41, On-sale beer & wine eating place The six full-service restaurants (excluding Nordstrom Blue Stove) and Santa Monica Place food court are collectively located on the third floor of a shopping center and regularly patrolled by mall security during all hours of operation. The Macerich Company, shopping center owner/operator, has provided a Restaurant Operating Guideline (Attachment D) that details the following: 6

Wayfinding, Path-of-travel, and Lighting City-owned Parking Structures 7 & 8 24 Hour Security Program Tracking Alcoholic Beverage Sales Refuse Disposal Condition No. 4 ensures that the subject restaurant will operate consistent with such guidelines. The restaurant group currently operates two Northern California restaurants with no reports of violation with the State s Alcohol Beverage Control. The proposed restaurant is within a controlled commercial environment and is not anticipated to result in alcohol-related problems. Conformance with Land Use Element Land Use Element Objective 1.3 states that land uses should reinforce Downtown as the focus of the City, supporting the greatest concentration of activity. The revitalization of the Santa Monica Place is an integral component to enhance activity within the Downtown. The alcohol CUP allows the restaurant to offer beverages that are comparable to those served in neighboring restaurants in the general vicinity. Policy 1.3.1 states to make downtown a primary location for commercial use, with priority given to comparison retail uses including uses that serve out-of-town visitors, and uses that encourage street activity after normal business hours. The proposed restaurant provides a dining option to visitors in that it is located within the shopping mall, in close proximity to various hotel accommodations, the City s Transit Corridor, and the proposed light rail station. Police Department & Community Cultural Services Department The Santa Monica Police Department & Community Cultural Services Department have been contacted regarding this proposal. The Police Department and Community Cultural Service Department did not express any comments or objections to the proposal or recommended hours of operation. 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 proposal of on-site sale and consumption of alcoholic beverages for a full-service restaurant located in the Santa Monica Place. The proposal 7

to allow the sale of alcoholic beverages is complimentary to the restaurant dining use and compatible with the surrounding neighborhood context and consistent with the Land Use Element of the General Plan. With conditions limiting the hours of operation, the proposed alcohol sales and service at the restaurant is not anticipated to create any negative impacts to the surrounding area. Prepared by: Grace Cho, Associate Planner Paul Foley, Principal Planner Attachments A. General Plan and Municipal Code Compliance Worksheet B. Draft Statement of Official Action C. Public Notification & Comment Material D. Project Floor plans, Restaurant Operating Guidelines, Parking Tabulation Z:\CityPlanning\Share\PC\STRPT\2010\10CUP008 (395 Santa Monica Place, 305 -La Sandia.doc 8

ATTACHMENT A GENERAL PLAN AND MUNICIPAL CODE COMPLIANCE WORKSHEET Project Location and Permit Processing Time Limits Project Address: 395 Santa Monica Place, #306 Application Deemed March 18, 2010 Complete: CEQA Deadline: April 30, 2010 PSA Deadline: June 16, 2010 Total Process Review 90 days Time (Days): General Plan and Municipal Code Compliance Worksheet CATEGORY LAND USE ELEMENT MUNICIPAL CODE PROJECT Permitted Use N/A Alcohol outlets with Type 47 alcohol license requires a Conditional Use Permit. [SMMC 9.04.10.18.020] Conditional Use Permit requested for restaurant with Type 47 liquor license for Bona Fide Public Eating Place 9 Attachment A General Plan & Municipal Code Compliance Worksheet

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 10-008 LOCATION: 395 Santa Monica Place, #305 APPLICANT: PROPERTY OWNER: CASE PLANNER: REQUEST: CEQA STATUS: La Sandia Santa Monica, LLC Macerich Santa Monica, LLC Grace Cho, Associate Planner The applicant requests approval of a Conditional Use Permit (10CUP008) to allow the on-site sale and consumption of beer, wine and distilled spirits (Type 47) in conjunction with a restaurant (La Sandia). 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 shopping center restaurant tenant the on-site sale and consumption of alcohol on the premises. PLANNING COMMISSION ACTION June 16, 2010 Determination Date Approved based on the following findings and subject to the conditions below. Denied. Other: 10 Attachment B Draft Statement of Official Action

EFFECTIVE DATES OF ACTIONS IF NOT APPEALED: EXPIRATION DATE OF ANY PERMITS GRANTED: LENGTH OF ANY POSSIBLE EXTENSION OF EXPIRATION DATES*: 6 months * 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 alcohol licenses in conjunction with eating and drinking establishments are conditionally permitted in the C3C (Downtown Overlay) district of the Zoning Ordinance. More specifically, requests for new alcohol licenses or substantial changes in the mode or character of the existing licenses require Conditional Use Permit approval consistent with SMMC Section 9.04.10.18.020. 2. The proposed use would not impair the integrity and character of the district in which it is to be established or located, in that the primary use as a restaurant is encouraged in the Land Use Element. The alcohol service will be ancillary to the food service function of the restaurant operations. Alcohol-related problems are not generally associated with full-service restaurants, and conditions of approval have been included to mitigate potential impacts associate with alcohol sales and consumption. 3. The subject parcel is physically suitable for the type of land use being proposed, in that the parcel is approximately 4.81 acres and developed with a shopping mall structure. Vehicular and pedestrian activity is available to the site, and is adequately served by multiple mall entrances and existing parking structures. The addition of alcohol service does not require any additional construction and will be an ancillary component of the restaurant use. 11 Attachment B Draft Statement of Official Action

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 the site serves as a regional shopping center that provides for a variety of retail and dining opportunities within the structure. The issuance of an alcohol license and service area within the restaurant is consistent and compatible with typical restaurant operations existing in the immediate area. Alcohol-related problems are not generally associated with full-service restaurants, but Conditions of Approval further ensure that the use operates in a harmonious manner with the other land uses. 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 the alcohol service is conditionally permitted by the Zoning Ordinance and is proposed in a restaurant located in an open air shopping center. As conditioned, the hours of alcohol service are no more intense than typical restaurant uses within the immediate Downtown Overlay district and neighboring Bayside Commercial and Residential Visitor Commercial Districts. The Conditions of Approval will ensure that the use operates in a harmonious manner with the adjacent land uses and will not create any alcohol-related problems in the area in that the alcohol service for La Sandia is consistent with the outdoor service hours specified in the Third Street Promenade and Transit Mall Outdoor Dining Standards. 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 that the alcohol service is conditionally permitted by the Zoning Ordinance and is proposed within a restaurant tenant space in the Santa Monica Place Mall. 7. Public access to the proposed use will be adequate, in that vehicular access to the public parking structures are available from Colorado Avenue, 2 nd Street, 4 th Street, and Broadway. The Santa Monica Place Mall provides for many pedestrian points of entry on all facades, including anchor tenant entrances. The restaurant s closest main entry is located on the mall s north entrance on Broadway. 8. The physical location or placement of the use on the site is compatible with and relates harmoniously to the surrounding neighborhood, in that the restaurant will be located in the Santa Monica Place, adjacent to the Third Street Promenade. The proposed alcohol service will be in conjunction with restaurant operations with limited areas of sales and consumption. The alcohol service for La Sandia s proposed restaurant operations and outdoor patio are consistent with the outdoor service hours specified in the outdoor dining standards for both the Third Street Promenade and Transit Mall areas of the Bayside Commercial District. Lastly, the Land Use Element of the General Plan specifically supports uses that provide the greatest concentration of activity within the Downtown, such as restaurant 12 Attachment B Draft Statement of Official Action

services and outdoor dining. 9. The proposed use is consistent with the goals, objectives, and policies of the General Plan, in that Land Use Element Objective 1.3 states to reinforce Downtown as the focus of the City, uses should support the greatest concentration of activity. The Santa Monica Place remodel project focuses on an effort to identify the open-air mall with a variety of retail and dining options. The proposed conditional use permit for alcohol service would allow the restaurant patrons to have beverage options, similar to other food serving establishments within the downtown area and establishes a complementary component to the Santa Monica Place s restaurant operations that will attract patrons to the area. 10. The proposed use would not be detrimental to the public interest, health, safety, convenience, or general welfare, in that the proposed use is consistent with the Zoning Ordinance and the Land Use Element of the General Plan, and alcohol specific conditions have been added to mitigate any potential adverse impacts 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 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 alcohol license will be for a restaurant located in the Santa Monica Place serving local residents and visitors. The general vicinity is frequented by large numbers of local residents, shoppers, visitors, and tourists. This type of outlet has not contributed significantly to alcohol related problems in the area, and it is anticipated that the incorporation of various conditions of approval will minimize impacts and intrusions into any adjacent residential neighborhoods. ALCOHOL OUTLET FINDINGS 1. The proposed use will not adversely affect the welfare of neighborhood residents in a significant manner in that the use will be located within a controlled environment, away from any major residential uses. The latest hour for serving alcoholic beverages in the outdoor patio is 11:30 PM, or no later than the closing of the associated food service of the establishment, whichever is first. All alcoholic beverages and patrons shall vacate the outdoor dining area no later than 12:00 midnight daily. Interior restaurant operations may continue with last call for alcohol at 1:30 AM with restaurant closure at 2:00 AM. 2. The proposed use will not contribute to an undue concentration of alcohol outlets in the area in that a restaurant located in a shopping center is not typically considered to contribute to objectionable problems associated with alcohol outlets. The restaurant is located in the downtown portion of Santa Monica and is 13 Attachment B Draft Statement of Official Action

frequented by large numbers of local residents, office workers, shoppers, visitors, and tourists. Furthermore, this type of outlet has not contributed significantly to alcohol related problems in the area. 3. The proposed use will not detrimentally affect nearby neighborhoods considering the distance of the alcohol outlet to residential buildings, churches, schools, hospitals, playgrounds, parks, and other existing alcohol outlets in that the restaurant is located in a controlled environment and the conditions for approval, such as the hours of operation and compliance with the provisions of the Noise Ordinance, will minimize the potential affect on the residential units in the vicinity. The Police Department and Community Cultural Services Department have reviewed the project and have not indicated any objections to the proposal. 4. The proposed use is compatible with existing and potential uses within the general area in that the restaurant is a tenant of the Santa Monica Place located in the City s Downtown Overlay district. The restaurant operation in conjunction with an alcohol license is compatible with other restaurant uses with alcohol service in the immediate area. The latest hour for serving alcoholic beverages in the outdoor patio is 11:30 PM, or no later than the closing of the associated food service of the establishment, whichever is first. All alcoholic beverages and patrons shall vacate the outdoor patio no later than 12:00 midnight daily. Interior restaurant operations may continue with last call for alcohol at 1:30 AM with restaurant closure at 2:00 AM. 5. Traffic and parking congestion will not result from the proposed use in that parking for the use is available in public Parking Structures No. 7 and 8. 6. The public health, safety, and general welfare are protected in that the proposed use is consistent with the Zoning Ordinance and the Land Use Element of the General Plan, and alcohol specific conditions have been added to mitigate any potential adverse impacts. A restaurant with limited alcohol sales is compatible with the surrounding regional shopping center and Downtown development. 7. No harm to adjacent properties will result in that in that the conditions of approval will ensure that the establishment operates in a manner which protects adjacent neighbors. 8. The proposed use is consistent with the objectives of the General Plan in that the Land Use Element of the General Plan designates the area as part of the City s Downtown. Specifically, Land Use Element Objective 1.3 states to reinforce Downtown as the focus of the City, uses should support the greatest concentration of activity. The proposed conditional use permit for alcohol service would allow the restaurant patrons to have beverage options, similar to other food serving establishments within the downtown, and establishes a complementary component to Santa Monica Place restaurant operations that will attract patrons to the area. 14 Attachment B Draft Statement of Official Action

CONDITIONS OF APPROVAL: PLANNING AND COMMUNITY DEVELOPMENT Project Specific Conditions 1. Seating arrangements for sit-down patrons shall not exceed 148 seats in the interior dining area. Seating arrangements for sit-down patrons shall not exceed 45 seats on the outdoor patio; restaurant seating shall not exceed 193 seats. 2. The permitted hours of restaurant operations shall be 10:00 AM through 2:00 AM, daily, with complete closure and all employees vacated from the building by 3:00 AM. No "after hours" operations shall be permitted. 3. The latest hour for serving alcoholic beverages in the outdoor patio is 11:30 PM, or no later than the closing of the associated food service of the establishment, whichever is first. All alcoholic beverages and patrons shall vacate the outdoor patio no later than 12:00 midnight daily. The latest hour for serving alcoholic beverages for the restaurant interior is 1:30 PM, or no later than the closing of the associated food service of the establishment, whichever is first. All patrons must vacate the restaurant premises by 2:00 AM. 4. The restaurant shall operate in a manner consistent with Macerich s Restaurant Operating Guidelines. The restaurant shall not conduct any outdoor cleaning of the property with pressurized or mechanical equipment during the hours of 11:00 PM and 6:00 AM. Recycling deposits located on the exterior of the mall shall not occur during the hours of 11:00 PM and 6:00 AM. Administrative 5. 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 Certificate of Occupancy. 6. 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 15 Attachment B Draft Statement of Official Action

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. 7. Prior to issuance of a Certificate of Occupancy, the applicant shall post a notice at the building 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. 8. Within thirty (30) days from date of the approval of the Statement of Official Action, the applicant shall provide a copy of the approved Statement of Official Action for this project to the local office of the State Alcoholic Beverage Control department. 9. Prior to issuance of a Certificate of Occupancy, or a business license, or commencement of alcohol service as applicable, the operator shall submit a plan for approval by the Director of Planning regarding employee alcohol awareness training programs and policies. The plan shall outline a mandatory alcohol awareness training program for all employees having contact with the public and shall state management's policies addressing alcohol consumption and inebriation. The program shall require all employees having contact with the public to complete a California Department of Alcoholic Beverage Control (ABC) sponsored alcohol awareness training program within 90 days of the effective date of this approval. In the case of new employees, the employee shall attend the alcohol awareness training within 90 days of hiring. In the event the ABC no longer sponsors an alcohol awareness training program, all employees having contact with the public shall complete an alternative program approved by the Director of Planning and Community Development. The operator shall provide the City with an annual report regarding compliance with this condition. This project shall be subject to any future City-wide alcohol awareness training program condition affecting similar establishments. 10. Prior to issuance of a Certificate of Occupancy, or a business license, or commencement of alcohol service as applicable, the operator shall also submit a plan describing the establishment's designated driver program, which shall be offered by the operator to the establishment's patrons. The plan shall specify how the operator will inform patrons of the program, such as offering on the menu a free non-alcoholic drink for every party of two or more ordering alcoholic beverages. 11. 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. 16 Attachment B Draft Statement of Official Action

12. 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 13. This approval is for those plans stamped November 6, 2009, 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. 14. Minor amendments to the plans shall be subject to approval by the Director of Planning. An increase of more than 10% of the square footage, and increase of seating, or a significant change in the approved concept shall be subject to Planning Commission Review. Construction shall be in substantial conformance with the plans submitted or as modified by the Planning Commission, Architectural Review Board, or Director of Planning. No expansion in number of seats, intensity of operation, or outdoor areas shall occur without prior approval from the City of Santa Monica and State ABC. 15. 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. 16. 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. Project Operations 17. No alcoholic beverage shall be sold for consumption beyond the premises. 18. Except for special events, alcohol shall not be served in any disposable container such as disposable plastic or paper cups. 19. No more than 35% of total gross revenues per year of the restaurant shall be from alcohol sales. The mall operator shall maintain records of gross revenue sources which shall be submitted annually to the City of Santa Monica City Planning Division at the beginning of the calendar year and also available to the City of Santa Monica and the State ABC upon request. 17 Attachment B Draft Statement of Official Action

20. The primary use of the restaurant premises shall be for meal service to patrons. Alcohol shall not be served to persons except those intending to purchase meals. 21. The establishment shall maintain a kitchen or food-serving area in which a variety of food is prepared and cooked on the premises. 22. The establishment shall serve food to patrons during all hours the establishment is open for customers. 23. Any minimum purchase requirement may be satisfied by the purchase of beverages or food. 24. The primary use of the outdoor dining area shall be for dining patrons. 25. No dancing or live entertainment beyond that allowed in the restaurant definition contained in the Zoning Ordinance shall be permitted on the premises. 26. No cover charge or minimum drink purchase requirement can be applied to patrons. 27. No video or other amusement games shall be permitted on the premises. 28. The owner shall prohibit loitering in the dining areas and shall control noisy patrons leaving the restaurant area. 29. Window or other signage visible from the public right-of-way that advertises beer or alcohol shall not be permitted. 30. Applicant is on notice that all temporary signage is subject to the restrictions of the City sign ordinance. 31. The project shall at all times comply with the provisions of the Noise Ordinance (SMMC Chapter 4.12). POLICE 32. Prior to issuance of a Certificate of Occupancy, or a business license, or commencement of alcohol service as applicable, a security plan shall be submitted to the Chief of Police for review and approval. The plan shall address both physical and operational security issues. 33. 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) 18 Attachment B Draft Statement of Official Action

or any successor legislation thereto. These inspections shall be no more intrusive than necessary to ensure compliance with conditions of approval. 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. Hank Koning, 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 19 Attachment B Draft Statement of Official Action

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, the applicant was notified by email and telephone 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 NA Community Meetings NA Other: NA 20 Attachment C Public Notification Information

NOTICE OF A PUBLIC HEARING BEFORE THE SANTA MONICA PLANNING COMMISSION SUBJECT: Conditional Use Permit 10-008 395 Santa Monica Place, #305 APPLICANT: La Sandia Santa Monica, LLC PROPERTY OWNER: Macerich Santa Monica, LLC A public hearing will be held by the Planning Commission to consider the following request: The applicant requests approval of a Conditional Use Permit (10CUP008) to allow the on-site sale and consumption of beer, wine, and distilled spirits (Type 47) in conjunction with a full-service restaurant in Santa Monica Place. The proposed restaurant, La Sandia, occupies 5,673 square feet and consists of 148 interior seats and 45 exterior patio seats. DATE/TIME: LOCATION: WEDNESDAY, June 16, 2010 AT 7:00 PM City Council Chambers, Second Floor, Santa Monica City Hall 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: Grace Cho, Associate Planner Re: 10CUP008 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 Grace Cho at (310) 458-8341, or by e-mail at grace.cho@smgov.net. The Zoning Ordinance is available at the Planning Counter during business hours and on the City s web site at www.santa-monica.org. 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 numbered 1, 2, 3, 5, 7, 8, 9, and 10 serve City Hall. 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 21

Attachment D Restaurant Operating Guidelines, Parking Tabulation and Project Floor Plans 22