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Conditional Use Permit No, 2016-34 November 28, 2016 Page 2 Prolect Description Santa Ana River Brewing Company is requesting approval of a CUP to allow the operation of a microbrewery with an ancillary tasting room and limited direct sales of bottles to consumers. The business will occupy an existing 2,016 -square -foot industrial tenant space, which is located at the rear building of the lot and approximately 460 feet from Warner Avenue. Proposed tenant improvements to the space by the applicant include the installation of brewing equipment, a warehouse area, walk in cooler, and a tasting area that will seat a maximum of 10 individuals and will occupy less than 20 percent or 360 square feet of the gross floor area; the remaining area will be utilized for the production and storage of alcoholic beverages. In addition, the tenant space has been designed to comply with the State's Department of Alcoholic Beverage Control (ABC) regulations and standards for microbreweries (Exhibits 4 and S). The proposed hours of operation open to the public for beer tasting will be Monday through Friday from 3:00 p.m. to 9:00 p.m., and Saturday and Sunday from 12:00 p.m. to 9:00 p.m. Beer production will vary based on demand but three brew days a week are expected and brewing hours of operation will be from 7:00 a.m. to 2:00 p.m. The microbrewing Industry has grown significantly during recent years in California, to particular in the cities of Los Angeles, San Francisco and San Diego. This new trend is primarily devoted to a change in consumer behavior to provide unique blends of brews and a change from conventional brews. In the last few years, the City itself has experienced this cultural change and has approved four rnicrobreweries. Business Name Address Zoning 1. The Good' Beer Company 307 West Fourth Street SD-84/Urban Center (UC) 2. Network Brewery U 1824 East Carnegie Avenue Light Industrial (M1) 3. Cismontane Brewing Batch Plan 1409 East Warner Avenue, Units C & D Light Industrial (M1) 4. Deans Brothers Brewing Co. 9006 South Hathaway Street, Unit E Light Industrial (.M1) SARBC submitted an application for a CUP to the Planning Division in September wishing to join this list of breweries in the City. SARBC is a relatively new craft beer brewer in Orange County. The company currently does not have a commercial established location for brewing but has been home brewing for a couple of years and has over seven years of experience in the brewing industry. The company is seeking to open its first microbrewery establishment in Santa Ana. The company 31 C-4