Dolores Street and 7th Ave 05-03-16

8/17/2019 Dolores Street and 7th Ave 05-03-16

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CITY OF CARMEL-BY-THE-SEA

AGENDA BILL

TO: Honorable Mayor and Members of the City CouncilChip Rerig, City Administrator

FROM: Marc Wiener, Interim Community Planning and Building Director

AB 1126

May 3 2016Public Hearing

SUBJECT: Consideration of Use Permit UP 16-100) and Coastal Development Permit applications forthe addition of a second-level mezzanine floor area) to an existing commercial building andfor a temporary 6 month) amendment to an existing Use Permit UP 12-20) to allow for afood store/restaurant use t the subject location. The project s ite is located at the southeastcorner of Dolores Street and 7th Ave in the Service Commercial SC) Zoning District.

MOUNT OF EXPENDITURE N/A

MOUNT BUDGETED N/A

APPROPRIATION REQUIRED N/A

RECOMMENDATION

1) Approve the temporary 6-month) amendment to Use Perm it UP 12-20) subject to the attachedfindings and conditions.2) Continue the Use Permit UP 16-1 00) application request to construct a second-level mezzanine.

SUMM RY

BACKGROUND

The project site is a 16,000-square foot property located at the southeast corner of Dolores Street andSeventh Avenue. The site is developed with two commercial buildings that are a combined 4,671 squarefeet in size. The site also includes a parking lot that accommodates up to 30 veh icles when parked byvalet service . On August 6 2013, the City Council approved a Use Permit UP 12-20) application allow ingthe building to operate as a venue for special events Community Center) with an allowance for off-siteparking in order to meet the parking demand.


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The applicant has determined that the demand for the originally intended use of the site as a communitycenter is low, and is therefore requesting a change of use on non-event days. The proposed new use is

referred to by the applicant as a fresh market and is character istic of both a food store and restaurant.The applicant is requesting a temporary amendment to the primary Use Permit (UP 12-20 ) to allow forsuch use ; specifically, the suspension of Special Condition #5 which currently lim its retail events to amaximum of one week. The applicant has provided a letter, included as Attachment 4 which explainsthe proposed business model.

PROJECT DESCRIPTION

The applicant is requesting a food store/restaurant that would offer: specialty food products, pre-preparedfoods and sandwiches, baked items, confections, coffee, drinks, wine, and other incidental specialtymerchandise. The applicant has indicated that the food and merchandise would be supplied by loca lCarmel businesses and merchants. All prepared food and drinks will be sold in disposable containers,and will be for consumption on or off-site as desired. As indicated in the applicant 's letter, the marketinventory , displays, shelving, and other related items would be moved to the basement when eventsoccur .

The proposal includes tables and seats located in both the interior and exterior of the main building for

use by customers . The smaller building would be used as commun ity room , which is consistent with theoriginal approved use of a community center. The applicant has submitted plans (Attachment 5) depictingthe proposed interior display and seating layout. The plans depict 73 interior seats and 45 exterior seats.In addition, the plans include a proposal to install a 575 -square foot second-level mezzanine on the northside of the main building.

ZONING CONSIDERATIONS

Municipal Code Section 17.68 .03 0 classifies the current use of the site as a Community Center, which isdefined as any public, private , commercial , r nonprofit facility established to provide social , educational ,recreational , r cultural programs , meetings , r lectures , r similar activ ities The proposed freshmarket use is not specifically defined in the City's Zoning Code, but in staff 's opinion is characteristic ofeither a Specialty Food Store or Specialty Restaurant (See Definitions Attachment 3). Staff notes thateither classifica tion of the proposed use t the site is inconsistent with the allowed uses for this zoningdistrict as set for in the City 's Zoning Code . If the use is defined as a Specialty Food Store, it would notbe allowed to have on-site seating and is inconsistent with the requirement that food sold be pr imar ily forhome preparation and consumption. If the use is defined as a Specialty Restaurant, it would not be

permitted in the Service Commercial (SC) Zoning District.

The Planning Commission conceptually reviewed this proposal at its February 10 2016 meeting , andwas supportive of the general concept, but acknowledged that a zoning amendm ent would be necessary.In addition , a Planning Commission Restaurant Subcommittee was appointed in October 2015 to studythe City's restaurant and food store code definitions and consider possible amendments. A publicworkshop to study the issue was held on January 26 2016 and was attended by several local re staurant


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Staff recommends that the City Council issue a temporary amendment to the existing Use Permit (UP12-20) in order to allow the appl icant to establish the proposed fresh market business. A 6-month

suspension o Special Condition #5 is recommended along with an author ization for the fresh marketuse, which would allow the Restaurant Subcommittee to study the proposed use and would provide usefu linformation for the potential Zoning Code amendments. As ident ified in the cond itions of approva l theapplicant would be required to suspend the fresh market use once the 6-month time period is up, whichincludes the removal o tables, seating, and associated retail shelves .

MEZZANINE

The site is currently developed with two commercial buildings that are a combined 4,671 square feet insize and are well below the allowed floor area o 15,200 square feet for a property o th is size (irrespectiveo parking constraints). The applicant is proposing a 575-square foot second-level mezzanine on thenorth side o the space, which would increase the floor area to 5,246 square feet. The addition ocommercial floor area requires the issuance of a conditional use permit and coastal development permit(CMC 17.14 .050.D) . The floorplan submitted by the applicant indicates that the mezzanine would beused for seating associated with the fresh market use, however , it could also be used for special eventsas allowed through the primary Use Permit (UP 12-20) . The applicant intends to purchase water creditsfrom Malpaso Water Company for the proposed mezzanine addition , subject to City Council approval.

The City's Zoning Code requires approval o a Commercial Design Rev iew application for alterations tothe exterior of a building , such as storefront remodels and site mod ifications . Staff notes that while theproposed mezzanine is not on the exterior o the building, there are several large windows on the north(primary) elevation that would make it visible from the public way . While a Design Re view applicationmay not be required for the mezzanine, a conditional use permit and coastal de velop ment permit arerequired, which provides the City Council with discretion over this request. The applicant has providedan elevation drawing (Attachment 5) o the north elevation that includes a profile of the mezzanine. Instaff 's opinion , the elevation drawing does not adequately depict how the mezzanine will impact the northelevation. Staff recommend s that the proposal for the mezzan ine be continued to allow for additionalstaff analysis. Staff has requested that the applicant submit a colored three-dimensiona l rendering o thenorth elevation and mezzanine to assist with the analysis. However, draft find ings and conditions areincluded, should the City Council decide to approve this request upon first review.

PARKING REQUIREMENTS

CMC 17.38 .020 (Table A) states that one parking space is required per 600 square feet o commercial

floor area. In addition to the parking requirements provided in Table A, CMC 17.38 .020 also states that:Table A establishes the minimum amount of parking required for most land uses and land use districts.he Planning Commission shall review proposed projects for their anticipated parking demand and m y

require additional parking through use permit conditions if substantial evidence supports the need forproviding parking beyond the minimum standard.

The subject buildings on the property are 4 671 square feet in size and would increase to 5 246 square


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APPROVED / ? ~

c /2 - L - _ Date e 6 'Chip Rerig City A8ministrator


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ttachment

CITY OF CARMEL -BY-THE-SEA

DEPARTMENT OF COMMUNITY PLANNING AND BUILDING

UP 16-100CPines 7 LLCSE Cor. Dolores & ythBlock: 91, Lots: 2 4 6 & 8

CONSIDERATION

FINDINGS FOR PPROV L

Consideration of Use Permit (UP 16-100) and Coastal Development Permit applications for theaddition of a second-level mezzanine (floor area) to an existing commercial building and for atemporary (6 month) amendment to an existing Use Permit (UP 12-20) to allow for a foodstore/restaurant use at the subject location . The project site is located at the southeast corner ofDolores Street and 7th Ave in the Service Commercial (SC) Zoning District.

FINDINGS OF FACT

1. The project site is 16 ,000 -square foot property located at the southeast corner of Dolores andSeventh Avenues, in the Service Commercial (SC) Zoning District. The site is developed withtwo commercial buildings that are a combined 4,671 square feet in size, and a commercialparking lot that accommodates 30 vehicles when parked by a valet service .

2 . On August 6, 2013 , the City Council approved a Use Permit (UP 12-20) application for thesubject property (APN : 010-145-020), allowing the building to operate as a venue (community

center) for special events with off-site parking. A second Use Permit (UP 14-19) for live musicwas approved by the City Council on January 6 , 2015, and a third Use Permit (UP 15-282) forgeneral commercial parking at the site was approved by the City Council on September 1 2015.

3 . On March 8 2016, C Pines 7 LLC, submitted a Use Permit (UP 16 -100)application requesting atemporary suspension of Special Condition #5, in order to allow retail events to occur for aperiod longer than one week . The applicant specifically requested authorization to temporarilyestablish a fresh market use that includes the sale of specialty food products, pre-preparedfoods and sandwiches, baked items , confections , coffee, drinks, wine, and other incidentalspecialty merchandise for both on and off-site consumption.

4. The March 8 2016 Use Permit (UP 16-1 00) application includes a proposal to construct apermanent 575-square foot mezzanine on the north side interior of the building . The addition ofcommercial floor area requires the issuance of a conditional use permit and coastaldevelopment permit (CMC 17 .14 .050.0). With the addition of the mezzanine the floor area of


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UP 16-100 (C Pines 7 , LLC)May 3 2016Findings for ApprovalPage 2

TEMPORARY USE SPECIAL FINDINGS FOR DECISION:

1. The proposed temporary fresh market use at the site is inconsistent with the allowed usesfor this zoning district as set for in the City's Zoning Code .

2 . On October 20, 2015, the Planning Commission appointed a subcommittee to study theCity 's restaurant and food store regulations and consider possible amendments to theZoning Code.

3 . Granting this temporary (6 month) Use Permit and allowing the establishment of the freshmarket use will provide useful information to the Restaurant Subcommittee for its study ofpotential Zoning Code amendments.

MEZZ NINE FINDINGS FOR INCREASE IN COMMERCIAL FLOOR AREA CMC 17.64.100) :

1. That the proposed development has been found consistent with Chapter 17.30 CMC relatedto the demolition of structures.

2 . That the proposed development has been found consistent with Chapter 17 .30 CMC relatedto the demolition of structures.

3 . That the proposed development has been found consistent with CMC 17 .50 .040, Effects ofAllocation, related to water consumption.

4 . That parking will be provided to serve all new development on the site consistent with theprovisions of Chapter 17.38 CMC, Off-Street Parking Requirements.

5 . That all existing nonconformities on the property have been identified, that the proposalwould not increase, expand or create any nonconformities, and that the proposal has beenfound consistent with Chapter 17 .36 CMC , Nonconforming Uses and Buildings.

6. That the approximate square foot areas devoted to residential s pace , commercial space,landscaping and parking have been designated for guidance in reviewing any design plansthat may be necessary and that such areas have been found consistent with Chapter 17 . 4CMC, Commercial Zoning Districts .


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Attachment 2

CITY OF CARMEL-BY-THE-SEA

DEPARTMENT OF COMMUNITY PLANNING AND BUILDING

CONDITIONS OF APPROVAL

UP 16-100 (Use Permit Amendment)UP 12-20 (Original Use Permit)CPines 7 LLCSE Cor . Dolores & 7 hBlock: 91 , Lots: 2, 4 6 & 8

CONSIDERATION:

Consideration of Use Permit (UP 16-100) and Coastal Development Permit applications for theaddition of a second-level mezzanine (floor area) to an existing commercial building and for atemporary (6 month) amendment to an existing Use Permit (UP 12-20) to allow for a foodstore /restaurant use at the subject location. The project site is located t the southeast cornerof Dolores Street and 7th Ave in the Service Commercial (SC) Zoning District.

UP 16 100: AUTHORIZATION AND CONDITIONS:

Temporary Use

1. This Use Permit (UP 16-100) authorizes a 6-month suspension of Special Condition #5 andallows retail event to last longer than one week. During the 6-month time period the site ispermitted to operate a fresh market business that offe rs: specialty food products, pre

prepared foods and sandwiches, baked items, confections, coffee, drinks, wine, and otherincidenta l specialty merchandise . All prepared food and drinks will be sold in disposablecontainers, and will be for consumption on or off-site as des ired. The site is permitted 75interior and 45 exterior seats as depicted on the May 3 2016 approved plan set.

2 . This use is permitted for a time period not to exceed 6 month . The 6-month allowance shallbe initiated on the first day that the fresh market use is imp lemented. The applicant shallnotify the City of when the use is implemented. The use shall cease after 6 months, atwhich time the applicant shall remove all tables, seating, and reta il display shelves unlessotherwise permitted by the City Council.

Permanent Mezzanine

3. This Use Permit (UP 16-1 00) authorizes the construction of a permanent 575-square footsecond-level mezzanine on the north side interior of the building as depicted on the May 3


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UP 16-100 /UP 12-20 (C Pines 7, LLC)May 3 2016Conditions of ApprovalP age 2

site parking identified in the IS/NO shall be committed for the full life of the use . Anychange to the terms of this condition shall be cause for the amendment and/or possiblerevocation of the Use Permit.

2. The applicant shall obtain a business license and certificate of occupancy for thebuilding . Maximum occupancy shall not exceed the standards in the State UniformBuilding and Fire Codes. The maximum occupancy identified in the staff report ( 194) isa maximum and may be reduced by the Building Official as needed to meet safetystandards depending on the floor plan and layout.

3. If the Event Center project is not implemented the pre-committed water will return to theUnallocated Reserve category. Any water not needed for the Event Center project

shall be reallocated into the Unallocated Reserve category .

4 . Hours of operation shall be limited from 8 :00 a .m. to 10 :00 p.m . seven days per week .Live music is not permitted without a permit. Recorded or reproduced music shall notexceed 55 db-A as measured at the property line (CMC 9 .16.040) . Complaints of

excessive noise, lighting and other nuisances from the property shallbe

cause for reviewof the permit.

5. Retail events lasting longer than one week are prohibited.

6. Business proprietors renting the space for a special event shall submit an In-And About business license application to the City prior to the event.

7. The applicant shall make a schedule of events available to the City upon request andshall be posted on-line . The City reserves the right to determine whether the scheduledevent s are consistent with the permitted use of the property and consistent with thezoning code.

8. The applicant shall work with the Carmel Police Department to provide trafficcoordinators for specia l events . Only trained and qualified law enforcement personnelshall be used for directing traffic . Any law enforcement or specially trained personnel notemployed y the City of Carmel shall receive approval by the Carmel Police Department

prior to directing any vehi cle traffic on Carmel City streets.9 . If the use creates a significant parking and traffic impact to the surrounding

neighborhood , as determined by the City, the Use Permit shall be reviewed by the CityCouncil to address the impact. Amendments may include, but are not limited to ,reducing the building occupancy, reducing number of allowed events or amending theparking plan


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UP 16-100/UP 12-20 C Pines 7 , LLC)May 3 2016Conditions of ApprovalPage

11. This use permit shall become void and no further force or effect if the use is not initiatedwithin six months and/or upon termination or discontinuance of the use for any period oftime exceeding six months.

12. Violations of the terms of this use permit or other ordinances of the City may constitutegrounds for revocation of this use permit and the associated business license by thePlanning Commission.

13 . All modifications made to the exterior of the building, includ ing but not limited to paint,

window treatments, awnings, paving and landscaping, shall first require written approvalby the Department of Community Planning and Building and/or the PlanningCommission. All changes shall be minor in nature and shall maintain the architecturallanguage and integrity of the building. No notice-attracting features, such as banners,balloons, streamers , lights, additional signs, or flags shall be installed without writtenapproval from the City.

14 . Adequate facilities shall be provided on the site for the closed storage of trash andgarbage generated by the use . The on-site storage shall be designed so that the areacan be cleaned and the refuse removed without creating a public nuisance and withoutbeing placed on the sidewalks or other public ways . If the method of cooking used willgenerate hot ashes, a storage facility and disposal method shall first be approved by theFire Department.

15 . At least one restroom for each sex shall be avai labl e for use within, or convenientlyadjacent to, the specific business premises and on the same property on which the useis located. This restroom shall comply with all provisions of the State Uniform Building

and Plumbing Codes as to the required size, location and accessibility stand ards, andshall be available for use by both the employees and patrons of the business.

16. A summary sheet of basic Use Permit requirements allowed days, allowed hours,special mitigations) shall be posted on the premises or shall be available uponrequest by any enforcement officer of the City .

17. The applicant agrees, at its sole expense, to defend, indemnify , and hold harmless theCity, its public officials, officers , employees, and assigns, from any liability; and shallreimburse the City for any expense incurred, resulting from, or in connection with anyproject approvals. This includes any appeal, claim, suit, or other legal proceeding, toattack, set aside, void, or annul any project approval. The City shall promptly notify theapplicant of any legal proceeding, and shall cooperate fully in the defense. The Citymay, at its sole discretion, participate in any such legal action, but participation shall notrelieve the applicant of any obligation under this condition. Should any party bring any


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Attachment 3

M 17 68 050

Food Store-Specialty. Retail food markets with no seating on th e site that provide a specialized andlimited range of food items sold primarily for home preparation and consumption. Examples includesuch uses as:

• Bakeries;

• Candy nuts and confectionery stores;

• eat or produce markets;

• Vitamins and health food stores;

• Cheese stores and delicatessens.

Restaurants Specialty. Restaurants providing a limited range of food products for immediateconsumption on the site. These restaurants provide seating but are not required to provide table serviceor menus. Specialty restaurants provide as a primary use two or fewer of the following lines of foods:pastries and doughnuts frozen desserts candy and nuts juices and coffee and tea.


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Attachment 4

Currently the property at 7th & Dolores operates with an approved Use Permit for events in the existingbuildings with off-site valet parking, and is classified as an event center/community center. The City

subsequently approved two other Use Permits , one to allow live music at events, and one for a valet

service parking lot for general use parking. The owner of the Carmel Event Center has determined thatthe demand for use of the facility for typical events on weekdays, weekday evenings, and some

weekends is low. As such, the buildings are generally not in use during the week and on many

weekends . In order to add vitality to the downtown area and events that better serve the needs of the

community, the owner is requesting a temporary amendment to the Event Center Use Permit conditions

to allow a recurring event use on weekday and some weekends. The amendment request is not

intended to change or void the other existing use permit s

The applicant is proposing a temporary recurring event that, although listed as a retail type use in

17.14.030 Schedule 11-B is not one of the uses specified as to be limited by the Council in the original

hearing discussion and decision . The purpose of the application for an amendment is to clarify the

condition to the existing Use Permit to eliminate the seven day restriction for any retail event and to

temporarily allow a fresh market business as a recurring event. The clarification to the condition will

change and apply the seven day restriction to those bus inesses originally specified by the original CityCouncil decision . The allowance for the fresh market business will be for a period of six months, while

the City considers changes to the municipal code. It is the applicant's intent to operate as a recurringevent a fresh market business on dates between other scheduled events. The market would offer

specialty food products, pre-prepared foods and sandwiches, baked items, confections, coffee, drinks,

wine, and other incidental spec ialty merchandise. The applicant is propo s ing to include the sale of food

and mer chandise supplied by local Carmel-by-the-Sea merchants . Most prepared food and drinks wil l

be sold in disposable containers, and will be for consumption on or off-site as desir e d by thecustomer. Seating would be available to customers that wish to consume purchased items and/or to rest

and socialize. A 575 sq ft. seco nd story mezzanine is also being proposed, which wi ll increase the floorarea within the allowed floor area allowance for the site. The mezzanine will be constructed in a

manner in which its lines are aligned with the building's exterior walls and beam s, so as to decreasevisibility from the exterior of the building . The applicant requests that a conditional use permit and

coastal development pe rmit be considered and added for the mezzanine addition as may be applicable

in 17.14 .050(D) . The smaller event center building will also be furnished as a co mmunity room for useas a general public resting and social area, in conjunction with the outdoor patio areas. The plan for thecommunity room and the presence of outdoor seating in association with the buildings is intended to

promote and encourage pedestrian and social interactions, and to mirror the objectives expre sse d in

CMC 17 .14 170 for outdoor areas in commercial use s The proposed market will be in place and open


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Attachment 4

The applicant s requesting the assistance o Planning staff to schedule this amendment request or the

May City Council hearing


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Dolores Street and 7th Ave 05-03-16

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