SANTA MONICA—On October 11, the Santa Monica City Council permanently adopted two Interim Zoning Ordinances first enacted in 2020 to decrease regulatory barriers in support of small, local businesses. Since adoption in May 2020, the zoning changes have provided much-needed support and flexibility to existing and new restaurant, retail, personal service, and fitness businesses during the COVID-19 pandemic, critical to the City’s economic recovery.

The city of Santa Monica indicated in a press release that as permanently adopted, the zoning changes will provide greater certainty and predictability for property owners and their existing tenants, along with prospective businesses considering locating in Santa Monica.

The changes affect existing businesses in the Third Street Promenade area and the major commercial districts in Santa Monica. The Third Street Promenade changes support the goals of creating a more vibrant experience through increased opportunities for nightlife, entertainment, and flexibility to experiment with different uses. Here are the changes:

Eliminate One-Year Rule for Abandonment of Legal Non-Conforming Use for Retail and Restaurant Uses

Citywide and Third Street Promenade Changes

-Removed the one-year time limit for when a legal, non-conforming use is considered to have been abandoned for restaurants and retail.

Requirements to Provide Additional Parking and New Loading Spaces

Citywide Changes

-Increase the change of use parking relief from 3 to 10 spaces.

-Exclude all outdoor dining areas from parking calculations for changes of use.

-Base the parking calculation only on public dining areas for changes of use.

-Redefine “Physical Training” to remove the cap on the number of students in each studio or gym class. This lowers the parking requirement for gyms to match that of other commercial uses.

-Require a Parking and Loading Operations Plan in lieu of an on-site loading space where a change of use of up to 5,000 square feet is proposed.

Third Street Promenade Changes

-Require a Parking and Loading Operations Plan in lieu of an on-site loading space for new buildings, additions, enlargements of use, and changes of use throughout the entire downtown area, except for along Ocean Avenue.

Reduce Restrictions on Restaurant Size

Citywide Changes

-Restaurants up to 5,000 sf are permitted by-right.

-Remove the cap on the number of restaurants and seats per block on Main Street.

-Add multi-tenant Food Halls as conditionally permitted uses.

Third Street Promenade Changes

-Remove restriction on converting eating and drinking establishments to another use on the ground floor.

-Add multi-tenant Food Halls and Light Industry as permitted uses.

Relaxed Alcohol Service Regulations

Citywide Changes

-Expanded alcohol service hours from 8 a.m. to 2 a.m., seven days a week.

-Eliminate the cap on alcohol sales of 35% of gross revenue.

-Remove restrictions on television screens and video projectors.

-Continue to allow for delivery and take-out of alcohol if the operator holds a valid Alcoholic Beverage Control (ABC) license.

-Eliminate the opportunity to appeal Alcohol Exemption determinations of over 50 seats.

Third Street Promenade Changes

-Allow any alcohol service establishment through an administrative process

-Expanded alcohol service hours from 8 a.m. to 2 a.m., seven days a week, with food service being available until at least 10 p.m.

-Eliminate the cap on alcohol sales of 35% of gross revenue.

-Allow for off-sales of alcohol if the operator holds a valid ABC license.

-Remove restrictions on television screens and video projectors or other amusement games.

-Allow for entertainment.

-Eliminate the opportunity to appeal Alcohol Exemption determinations of over 50 seats.

Santa Monica Pier Changes

Alcohol Exemption criteria and conditions were established specifically for the Santa Monica Pier with minor differences:

-Expanded to include bars/nightclubs/lounges, food halls, and general retail sales.

-Expanded operating hours of 8 a.m. – 2 a.m. daily.

Other Changes to the Third Street Promenade Area

-Streamline permitting of existing land uses by minimizing applicability of Conditional Use Permits (CUPs), Minor Use Permits (MUPs), and other discretionary approvals.

-Added flexibility in size requirements for active ground floor commercial uses.

-Flexibility in allowing unenclosed open-air rooftop commercial use.