ADMINISTRATIVE REPORT

Date: February 2, 2001
Author/Local: Guy Gusdal/871-6461

RTS No. 1658

CC File No. 2613-15

CS&B: February 15, 2001

TO:	Standing Committee on City Services and Budgets
FROM:	Chief License Inspector
SUBJECT:	1 West Cordova - Sunview Villa Ltd. Restaurant-Class 2

RECOMMENDATION

A. THAT Council advise the Liquor Control and Licensing Branch it does not support the application by Sunview Villa Ltd., to replace the existing 120-seat with 24-seat patio Restaurant-Class 1 with karaoke with a Restaurant-Class 2 at Gastown’s Best Steak & Rib Villa, 1 West Cordova Street.

or

CONSIDERATION

B. THAT Council defer a decision on the application by Sunview Villa Ltd., to replace the existing 120-seat with 24-seat patio Restaurant-Class 1 with karaoke with a Restaurant-Class 2 at Gastown’s Best Steak & Rib Villa, 1 West Cordova Street, pending the completion of a public meeting and a report back on the results of the meeting.

GENERAL MANAGER’S COMMENTS

The General Manager of Community Services RECOMMENDS approval of A and submits B for CONSIDERATION.

COUNCIL POLICY

On November 6, 1990, Council approved the following recommendations of the Vancouver Liquor Licensing Commission for the Downtown Eastside and Gastown areas:

A. THAT no new liquor licenses or amendments to existing licenses to increase seating capacity or extend hours of sale (except Restaurant-Class 1 ‘B’ license) be permitted in the Downtown Eastside or Gastown areas.

B. THAT no new liquor retail outlets, such as beer and wine stores, be permitted in the Downtown Eastside or Gastown areas.

On April 22, Council reviewed and evaluated the impact of Council’s policy and recommended:

THAT the report on the study of the operation of licensed premises in the Downtown Eastside be received for information.

PURPOSE

Sunview Villa Ltd., doing business as Gastown’s Best Steak and Rib Villa, is requesting a Council resolution endorsing the application to replace the existing 120-seat with 24-seat patio Restaurant-Class 1 with karaoke with a Restaurant-Class 2 at 1 West Cordova Street.

BACKGROUND

Gastown’s Best Steak and Rib Villa currently holds Restaurant-Class 1 with karaoke and Dining Lounge/Room business licenses. A restaurant (formerly the Meat Market) has been at this location for many years.

The applicant proposes to provide a unique facility that would cater to the Filipino community by serving Filipino food and playing music popular in the Phillippines for dancing. They also hope to attract tourists along with the crews from cruise ships while they are docked in Vancouver.

The present hours of operation are 11:00 a.m. to 12:00 midnight seven days a week. The applicant has requested hours of operation from 11:00 a.m. to 2:00 a.m.

Area Surrounding Subject Premises

The subject premises are located in the HA-2 Historic Gastown zoning district and the surrounding neighbourhood is a mixture of retail, office, restaurant, cabaret, hotel lounge/pub and residential uses. There are a number of low income housing units within a 1000 foot radius.

There are Class ‘A’ Pubs, (1684 seats), eight Class ‘C’ Cabarets (1689 seats), one Class ‘A’ Lounge ( 45 seats) and approximately 15 liquor licensed restaurants within the survey area (Appendix).

Restaurant-Class 2 Regulations and Policies

A Class ‘B-2' Restaurant is entitled to serve all types of liquor when accompanied with a full course meal. All types of entertainment are permitted except games and exotic dancers. Permitted hours of liquor service are limited to a maximum of 14 hours of continuous service between 9:00 a.m. and 2:00 a.m., seven days a week. Liquor Control and Licensing Branch policy requires that entertainment and dancing cease at 12:00 midnight every night of the week. The City of Vancouver License By-law does not regulate hours of operation for restaurants and defers to the authority of the Liquor Control and Licensing Branch when a liquor license is issued. However, it should be noted that this premise lies within the Business Premises Regulation of Hours By-law area and, therefore, must be closed between 2:00 a.m. and 6:00 a.m.

DISCUSSION

Policy Issues

Staff does not support the application to change the use to a Restaurant-Class 2 as the request is contrary to the existing Council moratorium policy for Gastown. The applicants have not provided any significant reason why Council should lift the moratorium policy in favour of their application. In fact, one of the reasons given in support of the application is the competition from a number of other entertainment establishments surrounding their business. This is a perfect illustration of why, in 1990, Council implemented the moratorium. That is, the over concentration of entertainment establishments in the area and the impacts they have on the residential community. As evidenced by the responses to the neighbourhood notification, the negative impacts associated with this concentration appear to be supported.
Staff is concerned that approval would set a precedent for other applications to challenge Council moratorium policy for the Gastown area.
Restaurant-Class 2 Hours of Operation Policy

The applicant is requesting a 2:00 a.m. closing seven days a week. Liquor Control and Licensing Branch policy limits closing time of the B-2 liquor license classification to 12:00 midnight. Staff supports the 12:00 midnight closing for Restaurant-Class 2, particularly when these establishments are in or adjacent to residential areas. Staff might consider supporting a 1:00 a.m. closing in an area where residential use is limited or not permitted, and the construction of the building is such that all sounds can be wholly contained within.

Potential Impacts

A Restaurant-Class 2 operates similarly to a Restaurant-Class 1 with respect to food and liquor service. The significant change when converting to a Restaurant-Class 2 centres on the entertainment endorsement. The focus is on live music and dancing, which changes the style to one more closely resembling a cabaret. Community impacts related to noise, disturbances and increased alcohol service normally are increased. The 12:00 midnight closing could facilitate “bar-hopping” in the area at closing time, which increases late night street activities.

Benefits of the Proposal

Staff does not dispute that there may be a need to support the Filipino market, nor the size of this market. However, staff reaffirms that another area of the city would be better suited for this proposed venture.

RESULTS OF NOTIFICATION

A neighbourhood notification was conducted and 827 notices were delivered in the notification area (refer to the Appendix). The results of the notification showed that nine respondents were against the proposal and no responses in favour were received.

Since staff does not support the application, it was determined that it would not be necessary to conduct a public meeting. Staff wished to save the applicant the added cost of the processing fees for this stage of the application process.

Responses from the area residents indicate that they feel the noise levels within Gastown are already intolerable, and that they would not want to have anything approved in the area that could potentially add to the noise. Therefore, staff strongly supports the continuance of the existing moratorium policy.

COMMENTS

The Police Department does not support the application. They are continually dealing with people in the Downtown Eastside and Gastown areas who are under the influence of alcohol. Requests have been made to alter City policy and the department does not endorse any of them. If police supported this application, it would definitely set a precedent for other licensed premises wishing to amend their liquor licenses.

The Planning Department has reviewed the application and noted that the site is located in the HA-2 (Gastown Historic Area).

The building on this site is listed as a “B” building on the Vancouver Heritage Register and is also a Provincially Designated Heritage Building.

The main floor of the existing building is currently approved as a Restaurant-Class 1, with a time-limited approval (DE404836) for karaoke entertainment associated with Restaurant-Class 1 (expiring on March 28, 2001, unless extended by the Director of Planning).

On June 19, 1997, City Council approved new policies for the Theatre Row Entertainment District and other areas related to Cabarets and Restaurant-Class 2 establishments. These policies are included in the Council-adopted Cabaret and Restaurant Guidelines and state, in part, that for the Downtown Eastside and Gastown area, new liquor licenses for Cabaret or Restaurant-Class 2 will not be permitted.

This policy, in effect, places a moratorium on any new Restaurant-Class 2 establishments in these areas, and on December 20, 2000, the Gastown Historic Area Planning Committee discussed this proposal and concluded that it did not support the change to a Restaurant-Class 2 and that, further, the Committee supports the continuation of the moratorium.

In keeping with Council policy regarding establishments of this type within this area of the City, the Planning Department does not support this proposal.

The Vancouver/Richmond Health Board is concerned over the increase in noise.

The Social Planning Department does not support this application as the moratorium is there to protect the local community.

The Housing Centre does not support this application because it is contrary to Council’s moratorium policy. It could also lead to increased noise and disruption to residential neighbours due to the music.

The Gastown Community Safety Society would support the change from karaoke to live entertainment but not the change in hours.

CONCLUSION

Staff recommends that the existing moratorium for the Gastown area be reaffirmed and this application not be endorsed by Council. It is anticipated that a number of similar applications would be filed by other establishments if this application is endorsed.

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(c) 1998 City of Vancouver