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Staff Report 200 S. Anaheim Blvd. Suite 162 Anaheim, CA 92805 Tel: (714) 765-5139 Fax: (714) 765-5280 www.anaheim.net ITEM NO. 1 PLANNING COMMISSION REPORT City of Anaheim PLANNING & BUILDING DEPARTMENT DATE: JANUARY 3, 2024 SUBJECT: DEVELOPMENT APPLICATION NO. 2023-00019 LOCATION: 412 and 440 South Anaheim Boulevard and 235 East Center Street APPLICANT/PROPERTY OWNER: The applicant and owner is Shaheen Sadeghi of LAB Holding/Farmers Park LLC, who is represented by Chris Bennett of LAB Holding/Farmers Park LLC. REQUEST: The applicant requests approval to amend a conditional use permit and a new determination of Public Convenience or Necessity to permit an outdoor bar and patio for on-site sales and consumption of alcoholic beverages within an outdoor marketplace. The request also includes an off-site parking agreement for 35 parking spaces located at 235 East Center Street. AUTHORITY: Section 18.10.030 (Uses) of Chapter 18.10 (Industrial Zone), Section 18.42.120 (Shared Parking Permits) of Chapter 18.42 (Parking and Loading), Section 18.60.190 (Amendment of Permit Approval) of Chapter 18.60 (Procedures), and Section 18.60.220 (Determination of Public Convenience or Necessity) of Chapter 18.60 (Procedures) of the Anaheim Municipal Code (the “Code”). RECOMMENDATION: Staff recommends that the Planning Commission determine that a Class 1 – Existing Facilities Categorical Exemption under the California Environmental Quality Act (CEQA) (Public Resources Code, Sections 21000-21189.57) as set forth in Sections 15301 and 15300.2, of the State CEQA Guidelines (California Code of Regulations, Title 14, Chapter 3, Sections 15000-15387) is the appropriate environmental documentation for this request; and, approve Development Application No. 2023-00019. BACKGROUND: The project site is approximately one acre and is developed with an outdoor marketplace known as Farmer’s Park. The project site is in the Industrial (I) Zone and is designated for Mixed-Use High land uses in the General Plan. The property is also located in the South Anaheim Boulevard Corridor (SABC) Overlay Zone in the Neighborhood Commercial District. The property is surrounded by a restaurant and brewery to the north, multiple-family residential uses to the east, the Packing House to the south, and multiple-family and commercial uses to west across Anaheim Boulevard. There are two existing restaurants, with the sale and on-site consumption of alcoholic beverages within Farmer’s Park. DEVELOPMENT APPLICATION NO. 2023-00019 January 3, 2024 Page 2 of 5 PROPOSAL: The applicant proposes to permit a new 280 square foot bar within a secured outdoor patio for the on-site sales and consumption of alcoholic beverages (Type 48 On-Sale General - Public Premise Department of Alcoholic Beverage Control (“ABC”) License). The site would have access from existing driveways from Anaheim Boulevard to the west and Claudina Street to the east. The outdoor bar would be a refurbished and repurposed Spartan trailer. The outdoor bar would be installed on a graded decomposed granite pad that would be secured with a steel and rope fence. There would be only one entry and exit point on the east side of the outdoor patio area. The outdoor bar would operate seven days a week from 11:00 a.m. to 10:00 p.m., which is consistent with the hours of operations for all outdoor uses at Farmer’s Park and the Packing House. Entry to the outdoor bar area would be limited to individuals over 21 years of age only. The outdoor patio would provide outdoor seating for patrons of the bar. There are no proposed improvements or changes to the operation of the Packing House or remainder of Farmer’s Park. Site Plan The applicant proposes to amend the conditional use permit that permitted two restaurants within Farmer’s Park. The existing conditional use permit was approved in 2010 to permit an outdoor marketplace and amended in 2011 to permit two restaurants with outdoor dining and the sale of alcoholic beverages for on-site consumption and outdoor entertainment. The proposed amendment would increase the number of ABC licenses from two to three within Farmer's Park. The applicant is also proposing to provide off-site parking for the Spartan bar at a City-owned parking structure at 235 East Center Street. This location is within walking distance of Farmer’s Park and is also served by the Anaheim Transportation Network’s FRAN micro-transit service with stops at the parking structure and at Farmer’s Park. FINDINGS AND ANALYSIS: DEVELOPMENT APPLICATION NO. 2023-00019 January 3, 2024 Page 3 of 5 Conditional Use Permit: Before the Planning Commission may approve a conditional use permit, it must make specific findings of fact. Each required finding and the corresponding analysis is presented below: 1) That the proposed use is properly one for which a conditional use permit is authorized by this code; The Code permits Alcoholic Beverage Sales – On-Sale in the Industrial Zone subject to approval of a conditional use permit to ensure compatibility with the surrounding area and uses, and to ensure that the use would not be detrimental to the general health and safety of the community. 2) That the proposed use will not adversely affect the adjoining land uses, or the growth and development of the area in which it is proposed to be located; The proposed outdoor bar and patio would not adversely impact the existing commercial uses as the proposed use would be compatible and complementary with other commercial uses at Farmer’s Park and Packing House. The proposed uses hours of operation would be consistent with the other uses at Farmer’s Park. In addition, the proposed use would not adversely affect the adjoining land uses or the growth and development of the area as it would be consistent with the land use patterns in the vicinity and the neighborhood serving land uses. 3) That the size and shape of the site proposed for the use is adequate to allow the full development of the proposed use, in a manner not detrimental to either the particular area or health and safety; The project was designed to allow for the full development of the proposed use on-site without conflicting with any existing adjacent use. The proposed use would not be detrimental to the area or the general health and safety of the community because the proposed bar and patio has been designed to maintain all operations on-site and provide adequate parking without affecting the surrounding land uses. The hours of operation would limit the bar to 10 p.m., seven days a week, and would be complementary with all outdoor operations at Farmer’s Park and Packing House. The Anaheim Police Department does not oppose this request and recommended conditions of approval that limit the hours of operation, requiring LEAD (Licensee Education on Alcohol and Drugs Program) training for managers and employees, and prohibiting any advertising or signage directed to the exterior. Minimal improvements are proposed within Farmer’s Park to install the Spartan trailer outdoor patio enclosure. 4) That the traffic generated by the proposed use will not impose an undue burden upon the streets and highways designed and improved to carry the traffic in the area; The proposed project did not exceed thresholds that would require a Trip Generation Analysis or Vehicle Miles Traveled (VMT) analysis. A parking study was approved in September 2011 for the expansion of Famer’s Park. The parking study determined that a total of 212 parking spaces would be needed to accommodate all the existing uses. The required parking spaces are provided in a combination of on-site spaces and off-site parking agreements. The new outdoor bar would require an additional 35 spaces, that DEVELOPMENT APPLICATION NO. 2023-00019 January 3, 2024 Page 4 of 5 would be located at 235 East Center Street and secured through an off-site parking agreement. In addition, fire truck and emergency service access would remain and not be altered, and sanitation service was deemed adequate by the Public Works Streets - Operations Division. Based on the above data, the traffic generated by the proposed uses would not impose an undue burden on streets and highways in the area. 5) That the granting of the conditional use permit under the conditions imposed, if any, will not be detrimental to the health and safety of the citizens of the City of Anaheim. The proposed project would not be detrimental to the health and safety of the citizens of the City of Anaheim as it has been designed to limit the hours of operations, required LEAD training for the managers and employees, and additional parking spaces would be provided at an off-site. Conditions of approval have been included to ensure the outdoor bar will be properly operated and maintained, and compatible with the area and adjacent land uses. Public Convenience or Necessity (PCN): State law limits the issuance of new alcohol sales licenses when a license is requested in a police-reporting district with a crime rate above the City average or when there is an overconcentration in the number of ABC licenses within a census tract. A determination of public convenience or necessity is required for this application because this property is located within a census tract that has an overconcentration in the number of ABC licenses. State law also states that such restrictions can be waived if the local jurisdiction can make a determination that the proposed business would serve "public convenience or necessity." The subject property is located in Census Tract Number 873.02, which has a population of 6,021 people. This population allows for seven on-sale ABC licenses, and there are presently 29 licenses in the tract. The property is within Police Reporting District 1625, which is 140% above the City average for crime. A total of 393 crimes were reported in 2022 with a quarter mile radius from the subject property. The top three offenses were theft, motor vehicle theft, and vandalism. The Police Department does not believe the sale of alcoholic beverages in conjunction with the subject outdoor bar and patio would negatively influence the type of crime occurring in this area subject to their recommended conditions of approval. The draft resolution includes a condition from the Police Department requiring the applicant to submit a detailed security and operations plan to include details such as closed-circuit television security cameras, alarms systems, lighting, any security personnel that will be provided, and a detailed description of how the business operator will address loitering around the store. Security measures shall be reviewed and modified between the business operator, Police Department, and Planning and Building Department on an as needed basis. These conditions are intended to ensure that the business would not negatively affect the surrounding neighborhood. The applicant’s PCN Justification states that the Packing House and Farmer’s Park is designed to provide a wide range of food and beverage sales, which would include alcohol sales. The proposed use would provide an alternative option for patrons to sit outdoors. Based on staff’s review of the application, including the applicant’s justification and statement of operations, and the recommended conditions of approval, staff supports the request for the determination of public convenience or necessity. Parking: The Code requires 35 parking spaces for the proposed outdoor bar. Based on the existing improvements, the additional parking required cannot be achieved on-site. Farmer’s Park and DEVELOPMENT APPLICATION NO. 2023-00019 January 3, 2024 Page 5 of 5 Packing House already have existing lease agreements in place for off-site parking spaces throughout the City’s parking structure in the downtown area. To provide the Code required parking spaces, a condition of approval is included in the draft resolution that would require an off-site parking agreement between the applicant and City for spaces at the parking structure located at 235 East Center Street. Upon securing the additional parking spaces, the proposed land use would be Code compliant. Environmental Impact Analysis: The project qualifies for a Class 1 - Existing Facilities Categorical Exemption under the California Environmental Quality Act (CEQA) (Public Resources Code, Sections 21000-21189.57) as set forth in Sections 15301 and 15300.2 of the State CEQA Guidelines (California Code of Regulations, Title 14, Chapter 3, Sections 15000-15387). The Class 1 Exemption consists of the permitted and licensing of private structures involving negligible expansion of use. There are no proposed improvements or changes to the operation of the Packing House or remainder of Farmer’s Park. The project includes the installation of a Spartan trailer to be repurposed into an outdoor bar within a private patio area within an outdoor marketplace. Pursuant to Section 15300.2 (c) and Section 15301 of Title 14 of the California Code of Regulations there are no unusual circumstances in respect to the project for which staff would anticipate a significant effect on the environment and, therefore, the proposed project would be categorically exempt from the provisions of CEQA. CONCLUSION: The project has been designed to provide an outdoor bar area with adequate parking and the proposed improvements to would be complementary to the adjacent uses. Conditions of approval have been included to ensure compatibility with the existing uses in Farmer’s Park and the surrounding uses. Based on the analysis included in this report and the findings contained in the draft resolution, staff supports the request and recommends approval of the application. Prepared by, Submitted by, Jose Barriga Scott Koehm Associate Planner Principal Planner Attachments: 1. Draft Conditional Use Permit and Determination of Public Convenience or Necessity Resolution 2. Letter of Request and Justification Letter 3. Project Plans 4. Police Department Memo 5. Planning Commission Resolution No. PC2011-074 6. Parking Study 7. Aerial and Vicinity Maps