Neighbors Can Appeal Permits of Small Food Shops

Under a new city policy, owners of property within 100 feet of sites where small food shops are to open will have the right to appeal the Planning Department’s approval of such businesses.

The right to appeal applies to “specialty food use,” a designation the city gives to operations with less than 2,000 square feet of space and with 20 or fewer seats.

“Typically, they’re coffee shops, coffee and dessert, maybe a sandwich place,” Assistant City Manager Ken Delino said.

The Planning Department’s action was a response to complaints from independent merchants on Marine Avenue on Balboa Island, who were upset when Starbucks, a national chain of coffee shops, was granted a permit to open on Marine Avenue.

The merchants pleaded with the City Council earlier this year to review Starbucks’ permit, but there was no procedure to do so.

Marine Avenue businessman John Noys said this week that the primary concern is Balboa Island’s chronic parking shortage. “When people park there,” he said, “we want them to spend more than $1.75.”

The council voted unanimously Monday to let property owners seek review but limited the procedure to determining whether the business meets the criteria for specialty food use. Also, the merchant appealing the permit must pay the costs of the review.

The specialty food use category was created in 1989 and amended last year to allow people wishing to open small eateries to skip a full review by the city Modifications Committee, which looks over plans for larger restaurants.

There are 68 specialty food restaurants in Newport Beach, 40 of which opened after the committee review was dropped.