5 May 13, 2015 Public Hearing

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1 5 May 13, 2015 Public Hearing APPLICANT: CAVALIER VENTURES, LLC PROPERTY OWNER: CAVALIER ASSOCIATES, LLC STAFF PLANNER: Graham Owen REQUEST: Conditional Use Permit (Craft Distillery) ADDRESS / DESCRIPTION: 4200 Pacific Avenue GPIN: ELECTION DISTRICT: BEACH SIZE: (3,869 SF of building) AICUZ: db DNL BACKGROUND / DETAILS OF PROPOSAL Background & Details The applicant requests a Conditional Use Permit to allow a Craft Distillery at the historic Cavalier Hotel. The hotel is undergoing extensive renovations, and the distillery will operate in a space adjacent to the refurbished Hunt Room restaurant. Since the site is located in the OR Oceanfront Resort District, and the applicant wishes to sell spirits produced at the distillery for off-premises consumption, a Conditional Use Permit is required. The Virginia Code ( ) defines spirits as any beverage which contains alcohol obtained by distillation mixed with drinkable water and other substances, in solution, and includes, among other things, brandy, rum, whiskey, and gin, or any one or more of the last four named ingredients. While the applicant is only planning to produce bourbon and vodka at this time, they anticipate acquiring equipment and materials to produce other spirits in the future, including rum and gin. The distillery will be located on two floors within the hotel. The main level of the distillery will be located adjacent to the lobby, and will consist of a 2,680 square foot area for spirit processing, offices, dry Page 1

2 storage, bottling, and shipping. The public entrance to the distillery will house a 227 square foot retail space, which will provide bottled spirits and other merchandise for sale. The main level will also host a 446 square foot tasting room separated from the processing area. The smaller basement level will consist of an 812 square foot mechanical equipment and storage area. The distillery anticipates producing 100 barrels in the first year, and up to approximately 250 barrels per year at maximum operating capacity. These annual production estimates are well under the maximum permitted in Section 230 of the City Zoning Ordinance, which contains use standards for craft distilleries and breweries. The distillery, will be open to the general public and Cavalier Hotel guests for tours and tastings. Only spirits produced on-site will be served in the tasting room. The distillery plans to employ 4-6 people, and the typical hours of operation will be as follows: Distillery: Tasting room: Retail: 7 a.m. 10 p.m. 10 a.m. 10 p.m. 10 a.m. 10 p.m. These hours of operation are consistent with the use standards for craft breweries and distilleries in Section 230 of the City Zoning Ordinance. Hotel guests and members of the general public will park in the hotel parking garage, and may also use the hotel valet. Per Section of the Oceanfront Resort Form-Based Code, any building certified as historic on the National Register of Historic Places shall be exempt from the parking ratio requirements. As the Cavalier Hotel was added to the Register on May 19, 2014, there is no minimum parking ratio for the distillery. LAND USE AND COMPREHENSIVE PLAN EXISTING LAND USE: Hotel (under renovation) / OR Oceanfront Resort District SURROUNDING LAND USE AND ZONING: North: Cavalier Drive Single-family dwellings / R-7.5 Residential District South: Townhouses / A-18 Apartment District Church / R-7.5 Residential District East: Pacific Avenue Hotel (under redevelopment) / OR Oceanfront Resort District West: Holly Road Offices / O-2 Office District Single-family dwellings / R-20 Residential NATURAL RESOURCE AND CULTURAL FEATURES: The Cavalier Hotel was added to the National Register of Historic Places on May 19, The period of historical significance stretches from the opening of the hotel in 1927 to its transfer to US Navy in 1942, which used the hotel as a radar training facility during World War II. The hotel was nominated for inclusion in the Register Page 2

3 under Criterion C for Architecture, and demonstrates an example of early twentieth century Classical Revival and Jeffersonian design. The hotel was also nominated under Criterion A for Recreation and Social History. COMPREHENSIVE PLAN: The Comprehensive Plan designates this area of the City as being in the Suburban Area, and it is adjacent to Strategic Growth Area 8, Resort Area. The general planning principles for the Suburban Area focus on preserving and protecting the overall character, economic value, and aesthetic quality of stable neighborhoods. Achieving these goals of preserving neighborhood quality requires that all new development or redevelopment, whether residential or non-residential, either maintain or enhance the overall area. This is accomplished through compatibility with surroundings, attractiveness of site and buildings, environmental responsibility, livability, and effective buffering of residential from other residential and non-residential with respect to type, size, intensity, and relationship to the surrounding uses. (pp. 3-1 through 3-3) The Resort Area is recognized as an area where revitalization efforts have and continue to transform the Resort Area into a major activity center, strengthen neighborhoods and increase economic growth (p. 2-28). The vision is to extend the energy at the Oceanfront inland in order to revitalize these areas and increase activity in the off-season. EVALUATION AND RECOMMENDATION The Conditional Use Permit to construct and operate a Craft Distillery and tasting room within the Historic Cavalier Hotel is consistent with the Comprehensive Plan s land use policies. This type of creative use blends well with other uses in this area and serves to increase activity within the Resort Area in-season and off-season. Staff recommends approval of this request with the conditions below. CONDITION The Craft Distillery shall be developed in substantial conformance with the plans entitled CAVALIER VENTURES, LLC, CONDITIONAL USE PERMIT SET DISTILLERY, dated February 25, 2015 and prepared by Street Sense. Said plans have been exhibited to the Virginia Beach City Council and are on file with the Department of Planning. Page 3

4 NOTE: Further conditions may be required during the administration of applicable City Ordinances and Standards. Any site plan submitted with this application may require revision during detailed site plan review to meet all applicable City Codes and Standards. All applicable permits required by the City Code, including those administered by the Department of Planning / Development Services Center and Department of Planning / Permits and Inspections Division, and the issuance of a Certificate of Occupancy, are required before any uses allowed by this Use Permit are valid. The applicant is encouraged to contact and work with the Crime Prevention Office within the Police Department for crime prevention techniques and Crime Prevention Through Environmental Design (CPTED) concepts and strategies as they pertain to this site. Page 4

5 AERIAL OF SITE LOCATION Page 5

6 FLOOR PLAN SHOWING LOCATION OF DISTILLERY Page 6

7 PROPOSED FLOOR PLAN (MAIN LEVEL) Page 7

8 PROPOSED FLOOR PLAN (MECHANICAL LEVEL) Page 8

9 2 1 3 ZONING HISTORY # DATE REQUEST ACTION 1 12/10/ /10/ /10/2013 Change of Zoning RT-1 Resort Tourist and R-7.5 Residential Districts to OR Oceanfront Resort District Special Exception for Alternative Compliance Subdivision Variance Approved Approved Approved 2 10/11/2005 Expansion of a Nonconforming Use Approved 3 06/27/ /16/1987 Conditional Use Permit (Religious Use) Conditional Use Permit (Religious Use) Approved Approved Page 9

10 DISCLOSURE STATEMENT Page 10

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