31A - CUP - 601 E SANTA ANA BLVD

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CUP No. 2015 -19 January 25, 2016 Page 2 Project Descrintion Knife& Glass is requesting approval of a CUP to allow a Type 41 Alcoholic Beverage Control (ABC) license for the on- premise consumption of beer and wine to patrons at the restaurant. Pursuant to Section 41 -2007 of the SAMC, eating establishments wishing to sell alcohol to diners require approval of a CUP; however, the use of the property as an eating establishment is permitted by right. The tenant is currently undergoing tenant improvements to establish a new restaurant at the subject property. The restaurant will occupy several shipping container structures containing cooking facilities, restrooms, and alcohol service areas. An outdoor area for patrons will contain 42 seats, with another seven located at the food and alcohol countertop. The site complies with the State Department of Alcoholic Beverage Control standards for separating alcohol service areas from other portions of the property and public. Overall alcohol storage and display areas will consist of less than five percent of the floor area, which is consistent with the standards contained in the SAMC (Exhibits 4 and 5). The proposed hours of operation for the restaurant are from 8:00 a.m. to 11:00 p.m. Sunday to Thursday and 8:00 a.m. to 12:00 a.m. /midnight on Friday and Saturday. Project Background Knife & Glass restaurant will occupy the outdoor dining area and shipping container portion of a recently completed mixed -use infill development known as The Roost, which was completed in 2014. The development also contains two commercial tenants, a duplex, and a residential unit in the rear. The first of its kind in Orange County, the restaurant will operate from three recycled shipping containers with the intent of establishing a neighborhood -scale cafe with a rotating menu. To minimize any impacts to the residential uses abutting the property, the seating areas will be oriented toward Santa Ana Boulevard. Project Analysis Conditional use permit requests are governed by Section 41 -638 of the SAMC; Section 41 -2007 requires a CUP for establishments in the Transit Zoning Code (SD -84) selling alcohol for on -site or off -site consumption. Staff has prepared the following analysis, which in turn forms the basis for the recommendation contained in this report. In analyzing these conditional use permit requests, staff believes that the following findings of fact warrant approval of the CUP. The on- premise sale of alcoholic beverages to customers is intended to provide a service ancillary to the primary restaurant use. This will thereby benefit the community by providing a restaurant with an additional and complementary food - related amenity, The granting of the CUP will allow the restaurant to compete with other restaurants that also offer a selection of alcoholic 31A-4