This project was reviewed pursuant to the guidelines of the California Environmental Quality Act (CEQA) and determined to be Categorically Exempt pursuant to Section 15301(a), Class 1: “Existing Facilities” of the California Environmental Quality Act Guidelines.

Recommendation
RESOLUTION OF THE PLANNING COMMISSION OF THE CITY OF LA HABRA APPROVING CONDITIONAL USE PERMIT 20-11 FOR AN ON-SALE BEER AND WINE FOR A BONA FIDE PUBLIC EATING PLACE (ABC TYPE 41) LICENSE IN CONJUNCTION WITH A RESTAURANT AT 1456 SOUTH HARBOR BOULEVARD, MAKING THE APPROPRIATE FINDINGS, AS PER THE APPROVED PLANS AND SUBJECT TO CONDITIONS.

The subject property is improved with a 27,062 square foot commercial building (The Row on Harbor) that was renovated in 2019. The building is located near the middle of the property with parking areas accessed via Harbor Boulevard and via Ladera Terrace. The center is improved with 14 suites, 11 of which have been leased. The current list of approved tenants within the center include:

Akafuji, Bodhi Leaf Coffee Traders, Eggbred, Feu Vietnamese Noodle House, Harbor Mexican Café, California Pita Grill, Beauteous Nails, Hog & Hen, Orot Kitchen, Club Pilates and AKT Dance.

At this time the Applicant is requesting on-sale beer and wine sales in conjunction with the restaurant, Feu Vietnamese Noodle House. The restaurant CUP for Feu was approved on August 1, 2019. The restaurant began operation on February 17, 2020. The subject suite is 1,368 square feet in area and is located next to Eggbred near the northerly end of the center. The subject suite has access to an outdoor patio located along the front facing onto Harbor Boulevard.  The restaurant serves Vietnamese noodles and other Vietnamese dishes and operates Monday to Sunday from 9:00 a.m. to 12:00 a.m. and has 4-5 employees per shift.
Analysis
The proposed project is before the Planning Commission pursuant to La Habra Municipal Code (LHMC) Section 18.06.040.A. which requires the approval of a Conditional Use Permit for all alcohol related uses. In order to grant the Conditional Use Permit for this request, the following findings must be made:

The proposed alcohol service (beer and wine) is an ancillary use to the restaurant. The sale and consumption of alcoholic beverages will take place within the suite and within a secured outdoor seating area. The requested license type is very common and is linked to the operation of a bona fide public eating place that requires alcohol sales in conjunction with meals. The project includes conditions that have been placed on other similar projects within the City, to ensure that the operational nature of the restaurant and alcohol sales will not change. The project's conditions of approval include limiting alcoholic beverages not to exceed 50 percent of the total food sales, as well as requiring employees to enroll in certified training programs approved by ABC for the responsible sales of alcoholic beverages. The Applicant will also be required to comply with the licensing requirements from the Department of Alcoholic Beverage Control (ABC) that oversees all alcohol related businesses. 

The subject property is located within Census Tract 16.01 which allows for a total of 9 on-sale licenses before a level of “Undue Concentration” is reached as determined by ABC. The Census Tract boundary extends into the City of Fullerton and the City of Brea. There are currently 4 active on-sale licenses within the City, all located within the subject center (Akafuji, Eggbred, Harbor Mexican Cafe & Hog and Hen) and another 10 active licenses outside the City Limits. The pending CUP will make it the 5th on-sale license within the City and the 15th overall on-sale license within the Census Tract. The Census Tract has reached Undue Concentration. In situations of Undue Concentration pursuant to Section 23958.4(b)(1) of the California Business and Professions Code, the Applicant will be required to provide ABC with data to support a Finding of Public Convenience and Necessity (PCN) before the Type 41 (on-sale beer and wine) license can be issued.

The General Plan land use designation for the property is Neighborhood Commercial which is characterized by commercial uses that serve the daily or frequent commercial needs of the residents in the immediate vicinity. The proposal to sell alcohol in conjunction with a restaurant is consistent and typical of the land use designation. The request is also very common within other commercial centers located within the City Limits.

Code Compliance
The request to add alcohol sales and service does not impact the parking demand for the suite. Parking for the center has been addressed via an updated parking study dated April 5, 2020, approved by the Planning Commission on April 27, 2020. The parking study found that at full occupancy of the center, the highest forecasted parking demands can be accommodated on-site without the need for any off-site parking areas.

Related Cases

The Applicant's proposal has been reviewed pursuant to the requirements of the City's National Pollutant Discharge Elimination System (NPDES) Municipal Permit, the Local Implementation Plan (LIP), and the Model Water Quality Management Plan (WQMP), Section 7.2. Since no disturbance of soil will occur, this project is exempted by the Water Quality Ordinance from the preparation of a WQMP.

The property is designated Neighborhood Commercial which is characterized by commercial uses that serve the daily or frequent commercial needs of the residents in the immediate vicinity. The restaurant and the proposed alcohol service provides residents and businesses with a variety of eateries grouped together in a convenient location. 

The project implements Policies LU 2.2 Places to Shop, LU 2.3 Places to Work, LU 3.2 Uses to Meet Daily Needs, LU 11.1 Diversity of Uses, P 1.2 Off-Street Parking, and P 1.3 Off-Street Parking Alternatives of the General Plan 2035.