A DJUSTMENTS. B. CEQA Determination: Categorically exempt pursuant to Section of the CEQA Guidelines ( Existing Facilities ).

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1 Z O N I N G A DJUSTMENTS B O A R D S t a f f R e p o r t FOR BOARD ACTION APRIL 24, Allston Way Use Permit # to increase alcoholic beverage service, due to an increase of 24 additional seats in an existing restaurant (Cancun Restaurant); (C-2, N. Dahl/J. Levine) I. Application Basics A. Zoning Permits Required: Use Permit to increase alcoholic beverage service, due to an increase in seating, under Berkeley Municipal Code (BMC) Section 23E B. CEQA Determination: Categorically exempt pursuant to Section of the CEQA Guidelines ( Existing Facilities ). C. Parties Involved: Applicant Alfonso Dominguez, 831 Broadway, Oakland, CA Property Owner Jorge Saldana, 100 Castilian Way, San Mateo, CA Milvia Street, Berkeley, CA Tel: TDD: Fax: zab@ci.berkeley.ca.us

2 2134 ALLSTON WAY ZONING ADJUSTMENTS BOARD Page 2 of 9 April 24, 2008 Figure 1: Vicinity Map Cancun Site

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4 2134 ALLSTON WAY ZONING ADJUSTMENTS BOARD Page 4 of 9 April 24, 2008 Table 1: Land Use Information Location Existing Use Zoning District General Plan Designation Subject Property Full-Service Restaurant and office upstairs C-2 Central Commercial Surrounding North UC Berkeley Bancroft C-2 Central Commercial Properties Library South and East David Brower Center Mixed Use project with offices, conference center, and C-2 Central Commercial commercial (4-story building under construction) Oxford Plaza Housing (97- unit affordable housing building under construction) C-2 Central Commercial West Gaia Arts Building C-2 Central Commercial Table 2: Special Characteristics Characteristic Applies Explanation to Project? Alcohol Sales/Service Y The restaurant currently serves beer and wine with food, and this type of alcoholic beverage service will continue. The increase in alcoholic beverage service is occurring as a result of the increase in seating. See discussion on Alcohol below. Historic Resources Y The building is a City Landmark building. However, the project does not propose any exterior or structural modifications. Seismic Hazards Y The site is located in a state mapped liquefaction zone due to the historic location of Strawberry Creek. However, the project does not propose Soil/Groundwater Contamination Y any structural modifications. The site is located in an Environmental Management Area because it is in a commercial district. However, the project does not propose structural modifications or excavation. Un-Reinforced Masonry Y The building is listed in the un-reinforced masonry building inventory. However, the project does not propose structural modifications. The project proposes to demolish an existing wall, which according to the applicant, was built in the early 1990s and is not a load-bearing wall.

5 ZONING ADJUSTMENTS BOARD 2134 ALLSTON WAY April 24, 2008 Page 5 of 9 Table 3: Project Chronology Date February 25, 2008 March 20, 2008 April 10, 2008 April 24, 2008 April 19, 2008 Action Application submitted Application deemed complete Public hearing notices mailed/posted ZAB hearing PSA deadline Table 4: Development Standards The building is existing and there are no proposed changes to the development standards. Standard Existing Permitted/ BMC Sections 23E Required Lot Area (sq. ft.) 3,610 N/A Gross Floor Area (sq. ft.) 5,209 N/A Building Height Building Setbacks (ft.) Floor Area Ratio Dwelling Units 0 N/A Average (ft.) Maximum (ft.) Stories 2 5 Front 0 0 Rear 0 0 Left Side 0 0 Right Side 0 0 Lot Coverage (%) 77% 100% Usable Open Space (sq. ft.) Parking Automobile 0 0 Bicycle 0 0

6 2134 ALLSTON WAY ZONING ADJUSTMENTS BOARD Page 6 of 9 April 24, 2008 II. Project Setting A. Neighborhood/Area Description: The project site is located in Downtown Berkeley, less than one block west of the University of California (UC), Berkeley campus, and one block south of the Downtown Berkeley BART station. Development in the surrounding area is characterized by mixed-use commercial, office, and residential buildings, in addition to a performance arts building, a movie theater, and several buildings associated with UC Berkeley. B. Site Conditions: The project site is completely developed by the existing two-story building, which includes the Cancun Restaurant on the first floor, and offices on the second floor. An electronic learning company (Allen Interactions) is an occupant of the second-floor office space. The ground-floor entrance to the Cancun Restaurant is located off of Allston Way. The proposed seating expansion will occur in the western portion of the ground-floor area that is currently used for dry storage. III. Project Description The proposed project is to expand the dining area of the Cancun Restaurant by demolishing a wall and adding 24 additional seats in an existing dry storage area (see Attachment 2, Project Plans). The restaurant currently provides 38 seats, and according to the Applicant Statement (Attachment 3), has a maximum occupant load of 44 occupants (B occupancy type). With the 24 additional seats as proposed, the restaurant would provide a total of 62 seats, and the occupancy type would change to a maximum occupant load of 64 occupants (A-2 occupancy type), under 2007 California Building Code Section 303. The project does not involve exterior or structural modifications. According to the applicant, the wall that would be demolished was constructed in the early 1990s and is not a load-bearing wall. The restaurant currently serves beer and wine with food and is open Sunday through Thursday, 10 a.m. to 10 p.m., and Friday and Saturday, 10:30 a.m. to 10 p.m. The type of alcoholic beverage service and operating hours would not change with the proposed project. The proposed project, however, proposes an increase in seating which is considered an increase in alcoholic beverage service under BMC Section 23E C, and thus requires a Use Permit. IV. Community Discussion A. Neighbor/Community Concerns: The applicant displayed a pre-application sign for this project at the project site prior to submittal to the City. Public hearing notices were mailed to owners and occupants within 300 feet of the site on 4/10/2008 (see Attachment 5). Staff had not received

7 ZONING ADJUSTMENTS BOARD 2134 ALLSTON WAY April 24, 2008 Page 7 of 9 any correspondence from neighbors or the community at the time this report was written. B. Committee Review: The project does not propose exterior modifications. Therefore, review by the Landmarks Preservation Committee (LPC) is not required for this application. V. Issues and Analysis A. Key Issues: 1. Alcohol: BMC Section 23E states that increases in alcoholic beverage uses or sales include increasing the floor area devoted to alcoholic beverages of any establishment that sells or serves alcoholic beverages. The proposed seating expansion in the restaurant is considered an increase in alcoholic beverage uses or sales, requiring a Use Permit. BMC Section 23E B.2 provides that an increase in alcohol sales shall not be approved if there is an establishment that is in the same category of alcoholic beverage sales or service within a one thousand (1,000) foot radius of the project site, unless findings of public convenience or necessity are made. An exception is provided for food service establishments that limit alcohol service to incidental service of beer and/or wine. The existing restaurant meets this exception, as the restaurant serves beer and wine with food, and is therefore not subject to the findings of public convenience or necessity. Staff also forwarded the project to the Berkeley Police Department for review and comment. Berkeley Chief of Police Douglas Hambleton commented that he has no objections to the seating expansion as proposed (see Attachment 6). Also, Sergeant Kusmiss with the Berkeley Police found that the Cancun Restaurant has had minimal Calls For Service, with one violation during its 11 years of operation. Sgt. Kusmiss concluded that the Cancun Restaurant is a good, well run, responsible business. Given that the Berkeley Police have no objections to the project and have determined that the Cancun Restaurant has acted responsibly with respect to alcohol service, Staff concludes that the proposed project, representing an increase alcoholic service, would not have a detrimental effect to the surrounding neighborhood. 2. Compatibility with Surrounding Uses: The building is listed as a City Landmark building; however, the proposed project does not involve exterior or structural modifications and the existing building façade will remain as is. The project site is surrounded by mixed-use commercial, office, and residential buildings, in addition to a performance arts building, a movie theater, and several buildings associated with UC Berkeley. The proposed seating expansion would create 24 additional seats, providing a total of 62 seats at the restaurant.

8 2134 ALLSTON WAY ZONING ADJUSTMENTS BOARD Page 8 of 9 April 24, 2008 As stated above, the Berkeley Police have stated no objections to the proposed seating expansion and have found that the Cancun has been a responsible, wellrun business. Several restaurants are located in the surrounding area, including Jupiter to the north of the project site at 2121 Allston Way. In addition, the David Brower Center, which is a mixed-use office/retail project, and Oxford Plaza Housing, a 97-unit affordable housing building, are currently being constructed adjacent to the east and south of the project site, respectively. Since new development is occurring in the immediate area, the additional dining space in the Cancun Restaurant would better serve the needs of the future residents in the adjacent buildings. Given that surrounding properties include other commercial establishments, as well as new mixed-use retail/office/residential development, Staff concludes that the proposed project would have minimal impacts on these neighboring buildings, would be compatible with these surrounding uses, and would better serve the needs of the additional residents that will likely move to the area following construction of the David Brower Center/Oxford Plaza Housing buildings. 3. Parking/Traffic: The C-2 District provisions do not prescribe a new off-street parking requirement for the proposed seating expansion (see Section 23E of the BMC). The restaurant likely draws most of its customers from the immediate downtown area and from the large volume of pedestrians already present for other purposes. For these reasons, the increase in seating is not likely to generate significant vehicular traffic. B. General and Area Plan Consistency: General Plan Policy Analysis: The 2002 General Plan contains several policies applicable to the project, including the following: 1. Policy LU-2 Preservation: Protect Berkeley s character by identifying, restoring, and preserving historic buildings. 2. Policy UD-24 Area Character: Regulate new construction and alterations to ensure that they are truly compatible with and, where feasible, reinforce the desirable design characteristics of the particular area they are in. Staff Analysis: The project doe not propose any exterior alterations.. 3. Policy LU-23 Transit-Oriented Development: Encourage and maintain zoning that allows greater commercial and residential density and reduced residential parking requirements in areas with above-average transit service such as Downtown Berkeley.

9 ZONING ADJUSTMENTS BOARD 2134 ALLSTON WAY April 24, 2008 Page 9 of 9 Staff Analysis: The project site is located in Downtown Berkeley and is located in proximity to the Downtown Berkeley BART station. Downtown Area Plan Policy Analysis: The Downtown Area Plan, adopted in 1990, also contains several policies applicable to the project, including the following: 1. Policy DT-1: Retain the older, historically valuable buildings in the and around the downtown. Encourage adaptive re-use of older buildings by promoting rehabilitation and reuse of existing structures that contribute to the overall design character of downtown. 2. Policy DT-9: Create a visually cohesive district, which retains its early 20th century characteristics. 3. Policy DT-23: Increase the opportunities available for evening activities in the downtown, building upon the activity generated by the theaters. 4. Policy DT-40: Insure that the mix of uses in the downtown is appropriate to the downtown's location both as a part of Berkeley and the larger region. Staff Analysis:. The proposed project does not involve exterior changes and would allow the restaurant to accommodate additional customers already present in the downtown for other purposes. VI. Recommendation Because of the project s consistency with the Zoning Ordinance and General Plan, and minimal impact on surrounding properties, Staff recommends that the Zoning Adjustments Board: A. APPROVE Use Permit # pursuant to Section 23B and subject to the attached Findings and Conditions (see Attachment 1). Attachments: 1. Findings and Conditions 2. Project Plans, received February 25, Applicant Statement 4. Photos 5. Notice of Public Hearing 6. Police Comments 7. Correspondence Received Staff Planner: Nathan Dahl, ndahl@ci.berkeley.ca.us, (510) Contract Planner: Jeanne Levine, jeanne.levine@erm.com, (925)