>> -- president fong: thank you. project sponsor? >> good afternoon, commissioners. and the architect of the project. briefly, i knew wanted to discuss the polls and the reason for the additional height on the seventh floor of the building. the owner purchased the building so they could occupy the sixth and seventh floor and operate an art gallery and studio on the second floor. the owner has a disability and one of the problems with converting the seventh floor is the existing exterior is not at the same level as the interior.

for that reason, additionally it does not have an elevator that serves it right now. in order to make this a usable, that was the driving factor for the design that you see. additionally, the seventh floor deck will now have an aqua therapy pool to provide the required that for our client. that was another reason that spawned the additional height. i would be happy to go through the drawings with you but if you have the questions -- i believe you have all of the printed sats so i will reserve if you have any specific questions. >> thank you. president fong: is there any public comment on this item? the public portion is closed. commissioner sugaya: i think this looks like a good project.

i will make a motion to approve with conditions. commissioner moore: i think it's an exquisitely -- exquisitely executed building. someone has taken stewardship of something that does not come easy. it's very tasteful, especially given where it is. these are properties that are not easy to reassign particularly when there is a change of ownership and this is a great example of what we would hope to find more people to do. >> the motion is for approval with conditions. [will call] the motion passes unanimously. commissioners, you are now on item number 15, this is an 969

sutter street. >> i'm with planning staff. a request before you today is for conditional use authorization for formula retail use for poppa john's pizza. there's been no expansion of the existing tenants space. -- if i could ask for just a moment, please >> sorry for the interruption. it will go ahead and continue. this is a request for a formula

retail at 696 center street. the restaurant will offer pizza and other food primarily for delivery and carry out. there is no expansion of the tenet space with respect to the form -- the retail uses, we ask the planning commission considers several criteria including the existing concentration of formula retail usage in the area, the availability of other similar business types and a vacancy rates in that district. staff performed a survey within five blocks of the project site and found there are 15 existing an approved formula retail uses , 15 establishments that sell pizza, including two formula retail restaurants and 14 vacant storefronts. it should be noted within six blocks of the site, there are 25 pizza restaurants.

this area is intensely developed and highly residential. therefore it is able to support a strong concentration of restaurants, including many restaurants that offer pizza. approval of the project wouldn't -- would contribute to the retail options in the area and given the vacancy rates of the district, it would not preclude locally owned businesses from establishing in this neighborhood. the business model emphasizes carry out services to the surrounding neighborhoods which will drive foot traffic and activate surrounding sidewalks. the staff report package includes several letters in support of the project from individuals and neighborhood organizations. i would like to pass out some letters of support. one at recommends limiting the operations of the business. staff recommends approval of

the requested conditional use authorization and we are available for questions. the project sponsor is also available. >> -- president fong: projects sponsored? >> we are asking for a conditional use permit to open eight papa john's. my cousin and i were born and raised here. i'm planning on moving into the building once we bring it up to code. parts of the building are on levelland require significant renovation. it has not been maintained in many years and the entire neighborhood is excited about the renovation. we're looking for to bringing the building up to code and we are investing over $400,000 in is vacant space. while this is considered formula

retail, there is only one other papa john's in the merced. this one is completely owned and operated by myself and my family. we are not a huge, faceless corporation but we want to invest in that committee. we want to hire 10 to 15 employees in our immediate surrounding areas. we are always involved in donations, charity events, sponsorships we have already been discussing opportunities to help make a positive impact on the community. many neighbors have asked us not to serve alcohol and we promise is not a chance of doing that. we will not be serving alcohol. due to the fact we are improving the building, creating a viable business with the traffic, our community outreach has gone

phenomenally well. we invited all local residents and businesses to share their ideas with us and we have unanimous approval from every person that attended as seen in our multiple letters of recommendations. all of these groups supported the project and i'm positive we will create positive impact on the committee. everyone we sat down with expressed support for the project which we feel is unbelievably positive. we feel will be a great fit for the committee and we hope we can receive the same support from you we have received. we hope we can get support. thank you. president fong: is there any public comment? i have two cards here.

>> i do not oppose this and i cannot support it either. i would suggest when you have a conditional use and there are issues you need to put them in the conditions rather than just having the person assure you this is what i intend to do. i'm going to revert to the other restaurant recently, a lovely little restaurant. he wanted to put in a window. a time limit was put as a condition on the window. whenever you have a conditional use, you have conditions to address any of the concerns that might exist and in this case, i think one would be the parking issue. i've been living in the neighborhood of for 40 years. people have a hard time finding any where to park and it sounds like there will be a lot of deliveries and maybe even more than one vehicle -- i think you

should put a condition -- i do find that restaurants that have deliveries -- i see people leaving with this stuff going off somewhere -- maybe they go to a garage and that would be one. it seems there is a concern about alcohol. i don't mean that these people plan to serve it but once the conditional use is given, the next person can come in and change it. those are things you could make conditions -- if they only really want to be open until 10:00 or 11:00, pick one and make it a condition. you could make that a condition. in other places, there was

probably no condition put on it. it was a restaurant and a conditional use and the next thing it was all beer because a different owner came and joined them and they were only given the right to serve alcohol until 11. the next thing they wanted to go until 2:00 because they wanted to become part of the bar scene. just so they could sell alcohol. not saying these people are going to do that, but the next person that comes in will have this conditional use and no conditions. i don't put think there were conditions added because you got it confusing advice at that time that maybe you couldn't do it and there are rumors and there is no point in my going into it but there are still rumors that one of those businesses is thinking about

making some major changes that would making that neighborhood unhappy but gee whiz there are no conditions. as an -- i would just suggest that. >> good afternoon, commissioners. i am the owner of sutter fine foods are right across from this building. talking to the neighborhood and association, they are all for it. a lot of people were upset, they lost a restaurant that was there before and they are very excited in talking to them being involved in the community that another restaurant is coming and it is a pizza and they're totally looking forward to it.

i talk to me 100 different people and they are all for it. i know these gentlemen -- i may managing partner at the park merced shopping center and the beauty is they helped us whenever we needed any thing. they hire within that community. some of the workers i see, like seven of them live in the area so they don't even use their cars. i know a lot of people are for it. they're wonderful operators and a good for the community. needed. thank you. president fong: is there any additional public comment? seeing none, public comment is closed.

commissioner sugaya: i am quite familiar with this neighborhood. i don't have a conflict of interest. i'm two and half for three blocks away. there are lots of pizza places around, but i don't think we can restrict this one from coming in. i don't want to do that. i will make a motion to approve with conditions. commissioner antonini: there is a lot of the support as has been pointed out. a lot of residents -- there is an interest for sure. the project's sponsors own the building and they are putting money into it and that's important. there are a lot of vacancitheres

for pizza, but there are other formula retail pizza places so i don't -- they are different types of situations and the fact they will be primarily delivery and takeout is a service that is useful, particularly late at night. the no alcohol situation is a benefit. it is a franchise. it is a formula retail but there's a difference because they are pretty much their own operation. 15 new jobs -- i think these are all interesting. with regard to the alcohol issue, i think that is something. would that have to come back in the future? what is the context -- that

point was brought up. >> i believe under the revised restaurant legislation initiative they would be able to sell beer and wine of provided they operate primarily as a restaurant. if you take a look at the floor plan, there's not a lot of room for consumption on site that could be added so i don't think it's part of their business model. they would not have to come back for beer and wine sales or alcohol sales. >> one question in context of the new restaurant definitions. i did kit a couple of calls in opposition, but while they were worth listening to the people who brought them up because they have voices in the community, it does not seem as though i see

any real basis for opposing this particular project. you can't always get 100% support and many of the misgivings these people had brought up to me i think have been answered in the testimony and the support seems to be pretty widespread so i don't see where it's any thing we would have to add to any conditions or concerns at this point. >> commissioners, the motion is for approval. [roll-call] >> thank you. motion passes unanimously. you are now on item number 16, case -- this is for 20 to peace plaza suite, 410 -- 400-410. >> i'm with the planning

department's staff. the item before you is a request for a conditional use authorization to legalize the site with the merger of ground- floor tenant space suite 400 currently occupied a variety store established as a current location in july of 2009. the site was previously occupied until march of 2010 with the zoning district. the conditional use case was continued on june 21 on the request of the project sponsor to allow for additional time for the meeting involving members of the japan neighborhood planning process. the commercial spaces or merged with the ring interior wall

partition which separated the sweet and the expanded space -- no additional prove months art changes are proposed to the exterior wall -- exterior below. the retail friday store was not considered a formal retail and use since it was established in 2009 as a store located in that united states. we received five letters and opposition. the staff recommendation is approval of conditions and i'm able to answer any questions. >> project sponsor. >> a good afternoon, commissioners. i am the project sponsor.

before i make a few comments, i would like to pass over some documents. this is a community meetings memo of july 9. if this is the reply. i am sorry to hand over today but i would like to pass that to the commissioners. i would like to make some comments on the eve letter.

after the expense of the space we bring more trusting to japan town now and we believe the point of view of the customer a they have more selection and more to choose of the product to find in japan town. talking about the productivity issue. in 2009, we found the tway in the children's product which had a problem due to regulations. since then, we stopped the import and sales of the toys and

children's products and we have established safety programs in our country -- in our company. we obtained approval and the start to import and selling the product at this moment. today, a i was invited our attorney and we have a presentation about the product at issue. we have the japan town community support to support the community meeting at the last meeting on the july 9 and since then i start to conduct each community

to understanding the activities. i ain't had the community groups already and i keep on going to meet the other community groups to understand how we can supporting those communities individual. thank you very much. that is all. president fong: is there any public comment on this item? >> good afternoon, commissioners. on the executive director of the japan town task force. i have a couple of extra copies of support letters from the japan town merchants association and the japan town task force. i would like to read from our

letter. the japan town tax force is pleased to provide support for this conditional use in accordance to the japan town special use district. this is a very much in line with the input we have received the community and the public outrage from a better neighborhood planning process in that there's a need for a large japanese retailer to increase visitor traffic to the commercial area of japan town. in spite of the store size which control your a conditional use requirement, the desires of the community -- the occupancy fell the large vacancy created by the closing of the antique store. since the continuation of this matter, there was a very successful community meeting and the summary notes of the meeting are in their reports to staff which was just handed out. we are pleased to hear of the sincere commitment to support

japan town's activities in the future. i also want to comment -- this morning there was a memo that objects to the approval running with the land which would give the landlord to lease this to another user without going to through the process. he he recommends and approval for further consideration. i work with him on the plan and i share his concern and would like to see this approval ltd. but absent that, i don't recommend the approval be delayed. being a city-wide policy, it's a bigger question then this discussion and i am confident this issue should be dealt with in the planning process.

i don't think it's leaving any time soon until they have three years remaining on their lease and this is the second highest scorer in revenue. any additional public comment? >> good afternoon, commissioners. i am with the duane morris law firm in the city and i have the privilege of working with said store working its way through regulatory issues at first encounter when it came to this country several years ago. quite frankly, they were a newcomer and needed some cultural and legal awareness when they opened in this country, but they have always had a firm commitment to public service and safety. despite some highly technical legal issues, there has not been a single instance of any harm,

damage or loss to any consumers. they paid the price for the mistakes they made in technical product safety issues and they have since fully come around and entered into a consent decree with the u.s. products safety commission and several local agencies in 2009. the last piece was put into place in 2012 but the essential agreement was done well before then and as the record demonstrates, they have had a spotless safety record. they are in full compliance with all product safety issues and the safety of their products and operations should not be an issue that should be considered by this commission. it's a wonderful company and i'm happy to answer any questions. >> thank you.

commissioner sugaya: with respect to the mall, it has always been a delicate balance between small businesses and larger companies. we had the same situation with respect to grocery stores. it is my personal belief that the japanese-american owned store that had been there for decades found the competition from a japanese corporate grocery store to be too much. that may not be completely true but it did give them a lot of competition and they were able to carry a lot of products the other store was not able to. i am not saying it is 100% that reason. i'm sure there are other reasons

i am not aware of but with respect to being in the mall, we have to think about concerns like that. i'm going to make a motion to approve this with conditions but i would just like to voice some concern over the issue of large retailers overwhelming smaller businesses. i think the commission deals with that all the time. it is not particular to this but given the japan town planning process and the concerns of the community, it's not an easy decision but i think we can go ahead and approve it. with respect to conditional use funding, that is an interesting question that we have dealt with before where we say we like this particular use, but what if