ADMINISTRATIVE REPORT

Date: May 28, 1998

Author/Local: Guy Gusdal/6461

CC File No. 2614-10

TO:	Vancouver Liquor Licensing Commission
FROM:	Chief License Inspector
SUBJECT:	646 Seymour Street - Class ‘C’ Cabaret Howard Murray Investments Ltd.

CONSIDERATION

A.THAT City Council endorse the request from Howard Murray Investments Ltd., for a Class ‘C’ Cabaret with 225 seats at 646 Seymour Street, having considered the opinion of residents and business operators of the community as determined by neighbourhood notification;

FURTHER THAT this proposal be subject to the following conditions:

i.The development permit for this use be restricted to a renewable four-month time limit.

ii.Before the issuance of the business license the applicant sign a "good neighbour" agreement with the City.

iii.A legal agreement with the City for the relocation or closure of Club Elite, 99 Powell Street (225 seats) to the satisfaction of the Director of Legal Services, the Chief License Inspector and the Director of Central Area Planning.

iv.A letter of undertaking, signed by the property owner and the applicant, submitted in conjunction with the development permit application and to form part of the development permit, ensuring that adequate soundproofing measures are implemented in the building to the satisfaction of the Director of Planning and the Director of Environmental Health.

OR

B.THAT City Council advise the Liquor Control and Licensing Branch it does not support the application by Howard Murray Investments Ltd., for a Class ‘C’ Cabaret at 646 Seymour Street.

GENERAL MANAGER’S COMMENTS

The General Manager of Community Services submits the choice of A or B for CONSIDERATION.

COUNCIL POLICY

Council policy requires that new liquor license applications and amendments to existing licenses be subject to a referendum if the premises are located in close proximity to residential accommodation.

PURPOSE

Howard Murray Investments Ltd., is requesting a Council resolution endorsing its application for a Class ‘C’ Cabaret liquor license (225 seats) at 646 Seymour Street, in consideration of the closure of the existing Club Elite Cabaret (225 seats) at 99 Powell Street.

BACKGROUND

On January 7, 1993, Council approved the Terms of Reference for a task force to consider ways to minimize the impacts of liquor licensed establishments on existing and future residential uses, with a focus on Downtown South. Council subsequently approved a number of recommendations which would assist in the relocation of existing cabarets from the residential areas of Downtown South to Granville Street.

Although this application is for a relocation from Gastown to the Central Business District, it is felt the same issues apply, and that this meets Council’s intent of trying to move cabarets from residential areas.

Mr. R.J. Erdman, HOST Consulting Ltd., who is acting on behalf of the applicant, advises that Mr. Murray Kryski, who is the sole shareholder and director of Howard Murray Investments Ltd., proposes to purchase the existing cabaret license for the Club Elite, 99 Powell Street and transfer it to 646 Seymour Street. Upon completion of the transaction, Club Elite will be closed, subject to the endorsement of an application for a Class ‘D’ Neighbourhood Pub at 99 Powell Street.

The proposed location at 646 Seymour Street is on the ground level of the Bay Parkade, which is part of the recent reconstruction on this block. Three hundred parking spaces will be available at the Bay Parkade, shared with The Bay retail store.

The applicant proposes to operate an upscale modern venue which will appeal to patrons over the age of 25. The hours of operation will be Monday to Saturday 7:00 p.m.. to 2:00 a.m. and Sunday 7:00 p.m. to 12:00 midnight. The original application was for 350 seats, but this has subsequently been reduced to 225.

In July 1997, the applicant, under the name of KMANN Investments, applied for a Class ‘C’ Cabaret license at 620 Seymour Street. Council at its meeting in January 20, 1998, did not endorse this request at that time. The subject premises are located in the DD (Downtown District) and the surrounding area is a mixture of retail, office and restaurant uses. Also included in the survey area is the BCIT Downtown Campus, Holy Rosary Cathedral, the Salvation Army Central Residence and approximately nine residential hotels. The closest owner-occupied apartments are approximately two blocks to the north (Appendix A).

Also within the survey area is seven Class ‘A’ Pubs (1,228 seats), ten Class ‘A’ Lounges (1,461 seats), one Class ‘C’ Cabaret (199 seats) and approximately 34 licensed restaurants. There is a government liquor store at 555 West Hastings Street.

DISCUSSION

This is the second application to relocate cabaret seats, the first being from Richards Street to Granville Street, which Council endorsed on May, 12, 1998.

This application will provide a means to relocate a longtime problem cabaret in the Gastown area to a less obtrusive area in the Central Business District. The primary root of the problems for the cabaret at its 99 Powell Street location is the proximity to surrounding residences and poor management practices of the owners. Many of the long-term residential units were occupied after the cabaret had been in operation for many years. Most neighbourhood complaints about the club were noise and public nuisance related. Had the cabaret been well managed, the number of complaints and the impact on the surrounding community could have been reduced. However, the age of the building, lack of sound separation and the length of time the cabaret has been in existence are also significant factors in the amount of noise complaints generated and the City’s ability to find and take effective long-term solutions. The popular music in today’s cabarets is "base" intensive and, therefore, travels quite easily through most typical types of wall construction, particularly older buildings such as this. Because the cabaret is an existing use, the City has no legal avenues to require the property owner or cabaret owner to retrofit the building to alleviate the sound transference issues of music and noise to the adjacent residential units.

The City will be able to secure acoustical improvements in both the proposed neighbourhood pub and cabaret through the development permit process and the legal agreement concerning the cabaret’s closure or transference from its existing location.

A Letter of Intent to Purchase has been signed by both Mr. Murray Kryski and Mr.Da Silva of Club Elite and the formal purchase agreement is being drawn up. A Letter of Commitment to close Club Elite will be presented to the Commission. This agreement would require consultation with the City’s Legal Services, the Chief License Inspector, the Liquor Control and Licensing Branch and the applicants.

COMMENTS

The Police Department is opposed to the application and is of the opinion that the 350 seats originally requested are too many as there are already enough cabarets in the Downtown area.

The Planning Department’s review of the application notes that a cabaret is listed as a "conditional" approval use in the Downtown Official Development Plan (DD ODP). In accordance with Section 2 Retail Continuity of the DD ODP, Seymour Street would require continuous ground floor retail, retail-commercial and services uses. Any proposal to change the use from retail and parking to provide a cabaret will require a development application.

The Director of Central Area Planning supports the relocation of a maximum of 225 seats only.

The Environmental Health Division of the Vancouver/Richmond Health Board has no objection, subject to an acoustical study being completed and the applicant’s implementation of the recommendations.

The Social Planning Department supports the relocation of a maximum of 225 seats only.

The Housing Centre has no comments on the application.

CONCLUSION

Staff are generally in support of this application, subject to a time-limited development permit, approval of the Class ‘D’ Neighbourhood Pub at 99 Powell Street and a legal agreement for the relocation/closure of the Club Elite. The Police Department is opposed to any new large cabarets, given its limited late night resources and, therefore, this application is put forward for Council’s consideration.

The results of the neighbourhood notification process will be provided to the Commission at its meeting.

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(c) 1998 City of Vancouver