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2017-4137 OrdinanceART DECO / MIMO COMMERCIAL CHARACTER AND FORMULA COMMERCIAL OVERLAY DISTRICT ORDINANCE NO. 2017 -4137 AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AMENDING CHAPTER 114 OF THE CITY CODE, ENTITLED "GENERAL PROVISIONS," TO PROVIDE FOR DEFINITIONS FOR "CHECK CASHING STORE," "CONVENIENCE STORE," "FORMULA RESTAURANT," "FORMULA COMMERCIAL ESTABLISHMENTS," "MARIJUANA DISPENSARY," "CANNABIS DISPENSARY," "OCCULT SCIENCE ESTABLISHMENT," "PHARMACY," "SOUVENIR AND T -SHIRT SHOP," "TATTOO STUDIO," "MASSAGE THERAPY CENTER," AND RELATED DEFINITIONS; AMENDING CHAPTER 142 OF THE CITY CODE, ENTITLED "ZONING DISTRICTS AND REGULATIONS," AT ARTICLE III, ENTITLED "OVERLAY DISTRICTS," TO ESTABLISH DIVISION 12, ENTITLED "ART DECO / MIMO COMMERCIAL CHARACTER OVERLAY DISTRICT," TO PROVIDE ADDITIONAL REGULATIONS FOR THE AFOREMENTIONED USES, INCLUDING DISTANCE SEPARATION REQUIREMENTS, LIMITATIONS ON NUMBER OF ESTABLISHMENTS, AND PROHIBITIONS UNDER CERTAIN CIRCUMSTANCES; PROVIDING FOR REPEALER; SEVERABILITY; CODIFICATION; AND AN EFFECTIVE DATE. WHEREAS, properties fronting Ocean Drive and Collins Avenue that have a zoning designation of MXE Mixed Use Entertainment are located in the Ocean Drive /Collins Avenue Historic District, as well as the Miami Beach Architectural National Register Historic District; and WHEREAS, properties fronting Washington Avenue that have a zoning designation of CD -2 Commercial Medium Intensity District, are located in the Flamingo Park Historic District and the Miami Beach Architectural National Register Historic District; and WHEREAS, Ocean Drive, Collins Avenue, and Washington Avenue are some of the premier streets in Miami Beach and provide residents and visitors with a unique cultural, retail, and dining experience and are vital to Miami Beach's economy, especially the tourism industry; and WHEREAS, properties fronting Ocean Terrace and Collins Avenue between 73rd and 75th Streets are within the Harding Townsite Historic District and the North Shore National Register Historic District; and WHEREAS, properties fronting Harding Avenue between 73rd and 75th Streets are within North Shore National Register Historic District; and WHEREAS, the City of Miami Beach has undertaken a master planning process for the North Beach area that includes the Harding Townsite Historic District and North Shore National Register District, in order to encourage the revitalization of the area by improving cultural, retail, and dining experiences for residents and visitors to the area; and WHEREAS, formula commercial establishments and formula restaurants are establishments with multiple locations and standardized features or a recognizable appearance, where recognition is dependent upon the repetition of the same characteristics of one store in multiple locations; and WHEREAS, formula commercial establishments and formula restaurants are increasing in number along Ocean Drive and within other historic districts; and WHEREAS, the sameness of formula commercial establishments, while providing clear branding for retailers, counters the City's Vision Statement which includes creating "A Unique Urban and Historic Environment "; and WHEREAS, notwithstanding the marketability of a retailer's goods or services or the visual attractiveness of the storefront, the standardized architecture, color schemes, decor and signage of many formula commercial establishments detract from the distinctive character and aesthetics of the historic districts; and WHEREAS, the increase of formula commercial establishments hampers the unique cultural, retail, and dining experience in commercial and mixed -use areas of the City's historic districts; and WHEREAS, specifically, the proliferation of formula commercial establishments may unduly limit or eliminate business establishment opportunities for non - traditional or unique businesses, thereby decreasing the diversity of cultural, retail, and dining services available to residents and visitors; and WHEREAS, the homogenizing effect of formula commercial establishments based on its reliance on standardized branding, is greater if the size of the establishment, in number of locations or size of use or branded elements is larger; and WHEREAS, the increased level of homogeneity detracts from the uniqueness of the historic districts, which thrive on a high level of interest maintained by a mix of cultural, retail, and dining experiences that are not found elsewhere in the country; and WHEREAS, sidewalk cafes are central to the economy of Ocean Drive and enhance the pedestrian experience and historic and cosmopolitan character of the street; and WHEREAS, it is not the intent of the City to limit interstate commerce, but rather to maintain the historic character of neighborhoods and promote their unique cultural, retail, and dining experiences that are vital to the City's economy; and WHEREAS, it is the intent of the City that if an establishment that has multiple locations and standardized features or a recognizable appearance seeks to locate within certain areas affected by this ordinance that such establishment provide a distinct array of merchandise, facade, decor, color scheme, uniform apparel, signs, logos, trademarks, and service marks; and WHEREAS, convenience stores, pharmacy stores and eating establishments have similar impacts as formula stores; and WHEREAS, check cashing stores, pawnshops, souvenir and t -shirt shops, tattoo studios, fortune tellers (occult science establishments), massage therapy center, and package liquor stores are uses which negatively affect surrounding areas; and WHEREAS, it is the intent of the City to limit the number of establishments which may negatively affect surrounding areas; and WHEREAS, the amendments set forth below are necessary to accomplish the objectives identified herein. NOW THEREFORE, BE IT ORDAINED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA. SECTION 1. Chapter 114 of the City Code, entitled "General Provisions," is hereby amended as follows: CHAPTER 114 GENERAL PROVISIONS Sec. 114 -1. Definitions. The following words, terms and phrases when used in this subpart B, shall have the meanings ascribed to them in this section, except where the context clearly indicates a different meaning: Check cashing store means a business which cashes checks on a regular basis for a fee. This definition does not include banks, which may cash checks in addition to providing other financial services such as, but not limited to, money savings accounts, loan services, and checking accounts. Convenience store means a retail store with direct access from the street or sidewalk containing less than 6,000 square feet of floor area that is designed and stocked to sell primarily food (packaged and /or prepared), beverages, newspapers, magazines, and other household supplies to customers who generally purchase a relatively few number of items (in contrast to a "grocery store" or "super market "). It is designed to attract and depends upon a large turnover of customers. Establishment, as used in the definitions of Formula restaurant and Formula commercial establishment, means a place of business with a specific store name or specific brand. Establishment refers to the named store or brand and not to the owner or manager of the store or brand. As an example, if a clothing store company owns four (4) brands under its ownership umbrella and each branded store has 10 locations, the term "Establishment" would refer only to those stores that have the same name or brand. Formula restaurant means i a restaurant with 1-99 60 75 or more establishments in operation or with approved development orders in the United States or a restaurant with more than five (5) establishments in operation or with approved development orders in Miami Beach, With respect to the preceding sentence, in addition to the numerical thresholds the establishments maintain two (2) or more of the following features: a standardized (formula) array of merchandise; a standardized facade; a standardized decor or color scheme; uniform apparel for service providers, food, beverages or uniforms; standardized signs, logos, trademarks or service marks. For the purpose of this definition, the following shall apply; (1) Standardized (formula) array of merchandise or food means that 50 percent or more of in -stock merchandise or food is from a single distributor and bears uniform markings. (2) Trademark means any word, name, symbol, or device, or any combination thereof, used by a person to identify and distinguish the goods of such person, including a unique product, from those manufactured or sold by others, and to indicate the source of the goods, even if the source is unknown. A trademark may be registered with the U.S. Patent and Trademark Office and /or the Florida Department of State. However, an unregistered trademark may also be protected under common law. (3) Service mark means any word, name, symbol, or device, or any combination thereof, used by a person to identify and distinguish the services of such person, including a unique service, from the services of others, and to indicate the source of the services, even if that source is unknown, Titles, character names, and other distinctive features of radio or television programs may be registered as service marks notwithstanding that the person or the programs may advertise the goods of the sponsor. A service mark may be registered with the U.S. Patent and Trademark Office and /or the Florida Department of State. However, an unregistered service mark may also be protected under common law. (4) Decor means the style of interior or exterior furnishings, which may include but is not limited to, style of furniture, wall coverings or permanent fixtures. (5) Color scheme means the selection of colors used throughout, such as on the furnishings, permanent fixtures, and wall coverings, or as used on the facade. (6) Facade means a face (usually the front) of a building, including awnings, that looks onto a street or an open space. (7) Uniform food, beverages or apparel /uniforms means standardized items of clothing including but not limited to standardized aprons, pants, shirts, smocks or dresses, hats, and pins (other than name tags) as well as standardized colors of clothing, food or beverages listed on the menus of such establishments or standardized uniforms worn by employees. Formula commercial establishment means a commercial use, excluding office, restaurant and hotel use, that has ten (10) or more retail sales establishments in operation or with approved development orders in the United States of America; provided, however, for those businesses located in a building that is two (2) stories or less with frontage on Ocean Drive, formula commercial establishment means a commercial use, excluding office, restaurant and hotel, which has five (5) or more other establishments in operation or with approved development orders in Miami Beach. In addition to meeting or exceeding the numerical thresholds in the preceding sentence, the definition of formula commercial establishment also means an establishment that maintains two or more of the following features: a standardized (formula) array of merchandise; a standardized facade; a standardized decor or color scheme; uniform apparel; standardized signs, logos, trademarks or service marks. For the purpose of this definition, the following shall apply: (1) Standardized (formula) array of merchandise means that 50 percent or more of in -stock merchandise is from a single distributor and bears uniform markings. (2) Trademark means any word, name, symbol, or device, or any combination thereof, used by a person to identify and distinguish the goods of such person, including a unique product, from those manufactured or sold by others, and to indicate the source of the goods, even if the source is unknown. A trademark may be registered with the U.S. Patent and Trademark Office and /or the Florida Department of State, However, an unregistered trademark may also be protected under common law. (3) Service mark means any word, name, symbol, or device, or any combination thereof, used by a person to identify and distinguish the services of such person, including a unique service, from the services of others, and to indicate the source of the services, even if that source is unknown. Titles character names, and other distinctive features of radio or television programs may be registered as service marks notwithstanding that the person or the programs may advertise the goods of the sponsor. A service mark may be registered with the U.S. Patent and Trademark Office and /or the Florida Department of State. However, an unregistered service mark may also be protected under common law. (4) Decor means the style of interior or exterior furnishings, which may include but is not limited to, style of furniture, wall coverings or permanent fixtures. (5) Color scheme means the selection of colors used throughout, such as on the furnishings, permanent fixtures, and wall coverings, or as used on the facade. (6) Facade means a face (usually the front) of a building, including awnings, that looks onto a street or an open space. (7) Uniform apparel means standardized items of clothing including but not limited to standardized aprons, pants, shirts, smocks or dresses, hats, and pins (other than name tags) as well as standardized colors of clothing. Grocery store means a retail store with direct access from the street or sidewalk containing 6,000 or more square feet of floor area that primarily sells food, including canned and frozen foods, fresh fruits and vegetables, and fresh (raw) and prepared meats, fish, and poultry. Marijuana dispensary or Cannabis dispensary means a building, structure, or other facility where marijuana or cannabis, inclusive of medical cannabis, and cannabis delivery devices, are dispensed at retail. Massa •e theca center means an establishment that offers sells or •rovides mani•ulations of the tissues or other tactile stimulation of the human bod arm, leg. elbow. or part of the torso, whether or not aided by any electrical or mechanical device; and may include bathing, hydrotherapy thermal therapy, or application of chemicals, with the hand foot oils, lotions, or similar preparations to the human body. * * Occult science establishment shall mean an establishment engaged in the occupation of a fortune teller, palmist, astrologist, numerologist, clairvoyant, craniologist, phrenologist, card reader, spiritual reader, tea leaf reader, prophet, psychic or advisor or who in any other manner claims or pretends to tell fortunes, or claims or pretends to disclose mental faculties of individuals for any form of compensation. Nothing contained herein shall be construed to apply to a person pretending to act as a fortune teller in a properly licensed theater as part of any show or exhibition presented therein or as part of any play, exhibition, fair or show presented or offered in aide of any benevolent, charitable or educational purpose. Pharmacy store means a store with direct access from the street or sidewalk, containing a minimum of 3,500 square feet, where medicinal drugs requiring a prescription from a qualified medical professional are dispensed and sold and is also designed and stocked to sell health and wellness products, food (packaged and /or prepared), beverages, newspapers, magazines, and other household supplies to customers who generally purchase relatively few number of items (in contrast to a "grocery store" or "super market "). Souvenirs are items, exclusive of books, magazines or maps, which serve as a token of remembrance of Miami Beach or any geographic areas in Florida and which bear the name of the City or geographic areas or streets thereof or of events associated with Miami Beach or South Florida. Souvenir and t -shirt shop means any business with direct access from the street or sidewalk in which the retail sale of T- shirts or souvenirs or both is conducted as a principal use of the business, or together with some other business activity, but which constitutes the primary, or is the major attraction to the business. * Supermarket. (See "Grocery store. ") * Tattoo studio means any establishment, place of business, or location, other than a licensed medical facility, an office or clinic of a licensed medical professional, or a duly licensed beauty shop or barber shop, wherein adornment of any part of the human body or head, whether artistic, cosmetic or otherwise, is practiced through the use of needles, scalpels, or any other instruments designed to touch, penetrate or puncture the skin for purposes of: (1) inserting, attaching or suspending jewelry, decorations or other foreign objects; (2) producing an indelible mark or figure on the human body or face by scarring skin or flesh; (3) producing an indelible mark or figure on the human body or face by inserting a pigment under or upon the skin; or (4) permanently changing the color or other appearance of the skin. This term shall not, however, include piercing an ear with a disposable, single -use stud or solid needle that is applied using a mechanical device to force the needle or stud through the ear. T -shirt is any garment or article of clothing which has no collar, including, but not limited to, T- shirts, sweat shirts, tank tops, shirts or scrub shirts, which are designed or intended generally to be worn on or over the chest and containing any communicative verbiage, graphics, or images imprinted or to be imprinted on the garment or article of clothing, exclusive of a garment manufacturer's mark or logo, exclusive of decorative words and information woven or dyed in the fabric by the manufacturer of the fabric, exclusive of hand stitched, needle work or embroidery, exclusive of tie -dye garments, and exclusive of hand painted or air - brushed garments that contain no communicative verbiage, graphics or images. Section 2. Chapter 142 of the City Code, entitled "Zoning Districts and Regulations," at Article III, entitled "Overlay Districts," is hereby amended as follows: DIVISION 12 — ART DECO / MIMO COMMERCIAL CHARACTER OVERLAY DISTRICT Sec. 142- 870.10. — Location and purpose. f There is hereby created the Art Deco / Mimo Commercial Character Overlay District (the "Overlay District "). The Overlay District consists of the properties in the South Beach Art Deco Area identified in the map below in this subsection (a) and the properties identified in the Ocean Terrace / Harding Townsite Area described in subsection (b) below. The South Beach Art Deco Area is generally located east of the western lot lines of properties fronting the west side of Collins Avenue between 5th Street to the south and 16th street to the north and west of the ocean: iL r r r 'r r r ° "..r: r i r • 1 WAY 14T1-1'ST rcyd �,.ct p .rr� r. r 1 f.- .�.7� 3 • Y -f AFB h'Art�r t4r4 10 Or r 1 1 • • • Ey 1 r 1 • of 0 r .•kr:r RST 1-' 1 l'7 �� 1 1 • 1 Atlantic Ocean The Ocean Terrace / Harding Townsite Area is identified in the map below and is generally located between Harding Avenue to the west and Ocean Terrace to the east, between 73rd and 75th Streets: 0 7.5TI ST OVA redXarnASI wAropy Terrac 74Y S TownslteAr`ea' 74 FrArrA"s•Arroioei wzaorimpA,rmiii .. dor MTH ST roeffirt4 wArmoram /.Z/eAli�/./7 1 ice/RMArrh,��I cean - Z� %®® eMartl�ng�" (c) The purpose of this Overlay District is to limit the proliferation of uses which may diminish the character of historic commercial areas within the City. This Overlay District is designed based on and intended to achieve the following facts and intents: a. Properties fronting Ocean Drive and Collins Avenue that have a zoning designation of MXE Mixed Use Entertainment are located in the Ocean Drive /Collins Avenue Historic District, as well as the Miami. Beach Architectural National Register Historic District; b. Properties fronting Washington Avenue that have a zoning designation of CD -2 Commercial Medium Intensity District, are located in the Flamingo Park Historic District and the Miami Beach Architectural National Register Historic District; c. Ocean Drive, Collins Avenue, and Washington Avenue are some of the premier streets in Miami Beach and provide residents and visitors with a unique cultural, retail, and dining experience and are vital to Miami Beach's economy, especially the tourism industry; d. Properties fronting Ocean Terrace and Collins Avenue between 73rd and 75th Streets are within the Harding Townsite Historic District and the North Shore National Register Historic District; e. Properties fronting Harding Avenue between 73rd and 75th Streets are within North Shore National Register Historic District; and f, The City of Miami Beach has undertaken a master planning process for the North Beach area that includes the Harding Townsite Historic District and North Shore National Register District, in order to encourage the revitalization of the area by improving cultural, retail, and dining experiences for residents and visitors to the area: Formula commercial establishments and formula restaurants are establishments with multiple locations and standardized features or a recognizable appearance, where recognition is dependent upon the repetition of the same characteristics of one store in multiple locations; h. Formula commercial establishments and formula restaurants are increasing in number along Ocean Drive and within other historic districts; i. The sameness of formula commercial establishments, while providing clear branding for retailers, counters the City's Vision Statement which includes creating "A Unique Urban and Historic Environment "; L Notwithstanding the marketability of a retailer's goods or services or the visual attractiveness of the storefront, the standardized architecture, color schemes, decor and signage of many formula commercial establishments detract from the distinctive character and aesthetics of the historic districts; and k. The increase of formula commercial establishments hampers the unique cultural, retail, and dining experience in commercial and mixed -use areas of the City's historic districts; and I. Specifically, the proliferation of formula commercial establishments may unduly limit or eliminate business establishment opportunities for non- traditional or unique businesses, thereby decreasing the diversity of cultural, retail, and dining services available to residents and visitors; and m. The homogenizing effect of formula commercial establishments based on its reliance on standardized branding, is greater if the size of the establishment, in number of locations or size of use or branded elements is larger; n. The increased level of homogeneity detracts from the uniqueness of the historic districts, which thrive on a high level of interest maintained by a mix of cultural, retail, and dining experiences that are not found elsewhere in the country; o. Sidewalk cafes are central to the economy of Ocean Drive and enhance the pedestrian experience and historic and cosmopolitan character of the street; p It is not the intent of the City to limit interstate commerce, but rather to maintain the historic character of neighborhoods and promote their unique cultural, retail, and dining experiences that are vital to the City's economy; g_ It is the intent of the City that if an establishment that has multiple locations and standardized features or a recognizable appearance seeks to locate within certain areas affected by this ordinance that such establishment provide a distinct array of merchandise, facade, decor, color scheme, uniform apparel, signs, logos, trademarks, and service marks; r. Convenience stores, pharmacy stores and eating establishments have similar impacts as formula stores; s. Check cashing stores, pawnshops, souvenir and t -shirt shops, tattoo studios, fortune tellers (occult science establishments), massage therapy center, and package liquor stores are uses which negatively affect surrounding areas; and t. It is the intent of the City to limit the number of establishments which may negatively affect surrounding areas. Sec. 142- 870.11. — Compliance with regulations. The following regulations shall apply to the Overlay District. There shall be no variances allowed from these regulations. All development regulations in the underlying zoning district and any other applicable overlay regulations shall apply, except as follows: The following limitations shall apply to the commercial uses listed below: (1) Check cashing stores shall comply with the following regulations: a. Such establishments shall be prohibited on lots fronting Ocean Drive and in the Ocean Terrace /Harding Townsite Area. b. In areas of the Overlay District not included in subsection a. above, there shall be no more than two (2) such establishments. Such establishments shall be located no closer than 2,500 feet from any other such establishment. (2) Convenience stores shall comply with the following regulations:. a. Such establishments shall be prohibited on lots fronting Ocean Drive. b, In the Ocean Terrace /Harding Townsite Area, there shall be a limit of one (1) such establishment. c. In areas of the Overlay District not included in subsection a. and b. above, there shall be no more than five (5) such establishments. Such establishments shall be located no closer than 2,500 feet from any other such establishment. (3) Formula commercial establishments shall comply with the following regulations: a. Such establishments shall be prohibited on lots fronting Ocean Drive and Ocean Terrace. b. This subsection shall not apply to any establishments in the South Beach Art Deco Area other than establishments fronting Ocean Drive nor to any establishment in the Ocean Terrace /Harding Townsite Area, other than Ocean Terrace. Formula restaurants shall comply with the following regulations: a. Such establishments shall be prohibited on lots fronting Ocean Drive and Ocean Terrace. b. This subsection shall not apply to any establishments in the South Beach Art Deco Area other than establishments fronting Ocean Drive nor to any establishment in the Ocean Terrace /Harding Townsite Area, other than Ocean Terrace. Massage therapy centers shall not operate between 9:00 pm and 7:00 am in the Overlay District. Marijuana dispensaries shall be prohibited in the Overlay District. Occult science establishments shall be prohibited in the Overlay District. Package stores shall comply with the following regulations: a. Such establishments shall be prohibited on lots in the South Beach Art Deco Area with an underlying MXE zoning designation and in the Ocean Terrace /Harding Townsite Area. b. In areas of the Overlay District not included in subsection a. above, there shall be no more than three (3) such establishments. Such establishments shall be located no closer than 2,500 feet from any other such establishment. (9) Pawnshops shall be prohibited in the Overlay District. (10) Pharmacy stores shall comply with the following regulations: a. Such uses shall be prohibited on lots fronting Ocean Drive. b. In the Ocean Terrace /Harding Townsite Area, there shall be a limit of one (1) such establishment. c. In areas of the overlay district not included in subsection a. and b. above, there shall be no more than five (5) such establishments. Such establishments shall be located no closer than 2,500 feet from any other such establishment. (11) Souvenir and t -shirt shops shall comply with the following regulations: a. Such establishments shall be prohibited on lots fronting Ocean Drive and in the Ocean Terrace /Harding Townsite Area. b. In areas of the overlay district not included in subsection a. above, there shall be no more than five (5) such establishments. Such establishments shall be located no closer than 2,500 feet from any other such establishment. (12) Tattoo studios shall comply with the following regulations: a. Such uses shall be prohibited on lots fronting Ocean Drive and in the Ocean Terrace /Harding Townsite Area. b. In areas of the overlay district not included in subsection a. above, there shall be no more than three (3) such establishments. Such establishments shall be located no closer than 2.500 feet from any other such establishment. f Review procedures. in Commercial establishments in the Overlay District that are not identified in section 142 870.11. (a) shall comply with the following regulations: a. A signed affidavit indicating that they are not an establishment that is regulated by section 142 - 870.11. (a) shall be provided to the city as part of the application for obtaining a business tax receipt and building permit, as applicable. b. If the establishment is found not to be in compliance with the applicable requirements of the signed affidavit, the business tax receipt will be revoked and the establishment shall immediately cease operation. Commercial establishments in the Overlay District that are identified in section 142- 870.11. (a) shall comply with the following regulations: a. If applicable, the applicant shall provide a signed and sealed survey dated not older than six (6) months, indicating the number, location, name, business tax receipt numbers, and separation of the applicable type of establishments within the Overlay District. Distance separation shall be measured as a straight line between the principal means of entrance of each establishment and the proposed establishment. b. Establishments existing as of the date of the enactment of this ordinance shall count towards the maximum number of such establishments permitted within section 142 - 870.11(a). c. A signed affidavit indicating compliance with the regulations of section 142- 870.11(a) for the applicable type of establishment shall be provided prior to obtaining a business tax receipt. d. If the establishment is found not to be in compliance with the applicable requirements of the signed affidavit, the business tax receipt will be revoked and the establishment shall immediately cease operation. e. If a particular establishment meets more than one definition (Le., formula commercial establishment and pharmacy store), it must meet the requirements for each use, and if there is a conflict, the more stringent code requirement prevails. Sec. 142- 870A2. Applicability. Notwithstanding any provision of these regulations to the contrary, the overlay ordinance shall not apply to real property that satisfies all of the foregoing criteria: (1) The property fronts Ocean Drive; (2) The property has a received an Order from the Historic Preservation Board for a substantial rehabilitation, issued between January 1, 2017 and September 13, 2017, provided a Full Building Permit is issued pursuant to such order within the allowable timeframes set forth in Chapter 118 of the Land Development Regulations of the City Code. (3) Any property described above will become legal non - conforming and, consistent with the City's land development regulations that address non - conformities, shall be permitted to continue as a legal non- conforming use in accordance with the applicable provisions of Chapter 118 of the Land Development Regulations of the City Code. (4) In the event the above noted Order of the Historic Preservation Board should expire prior to the issuance of a building permit, any property described above shall conform with all the provisions under Chapters 114 and 142 of this Code. SECTION 3. Repealer. All ordinances or parts of ordinances and all section and parts of sections in conflict herewith are hereby repealed. SECTION 4. Codification. It is the intention of the City Commission, and it is hereby ordained that the provisions of this ordinance shall become and be made part of the Code of the City of Miami Beach as amended; that the sections of this ordinance may be renumbered or relettered to accomplish such intention; and that the word "ordinance" may be changed to "section" or other appropriate word. SECTION 5. Severability. If any section, subsection, clause or provision of this Ordinance is held invalid, the remainder shall not be affected by such invalidity. SECTION 6. Effective Date. This Ordinance shall take effect ten days following adoption. PASSED and ADOPTED this aC day of SP ATTEST: �a I Rafael ado, Cit Clerk First Reading: June 7, 2017 Second Reading: September 25, 2017 Verified by: 017 sSSS- ROVED AS TO M & LANGUA E OR SCUT, Tomas R. Moone Planning Director ', A'CP T :\AGENDA \2017 \9 - September \Planning\Art Deco - MiMo Overlay District Formula Commercial - SECOND Reading ORD FINAL.docx MIAAA BEACH Ordinances - R5 X COMMISSION MEMORANDUM TO: Honorable Mayor and Members of the City Commission FROM: Jimmy L. Morales, City Manager DATE: September 13, 2017 5 :14 p.m. Second Reading Public Hearing SUBJECT: ART DECO /MIMO COMMERCIAL CHARACTER AND FORMULA COMMERCIAL OVERLAY DISTRICT: AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AMENDING CHAPTER 114 OF THE CITY CODE, ENTITLED "GENERAL PROVISIONS," TO PROVIDE FOR DEFINITIONS FOR "CHECK CASHING STORE," "CONVENIENCE STORE," "FORMULA RESTAURANT," "FORMULA COMMERCIAL ESTABLISHMENTS," "MARIJUANA DISPENSARY," "CANNABIS DISPENSARY," "OCCULT SCIENCE ESTABLISHMENT," "PHARMACY," "SOUVENIR AND T -SHIRT SHOP," "TATTOO STUDIO," "MASSAGE THERAPY CENTER," AND RELATED DEFINITIONS; AMENDING CHAPTER 142 OF THE CITY CODE, ENTITLED "ZONING DISTRICTS AND REGULATIONS," AT ARTICLE III, ENTITLED "OVERLAY DISTRICTS," TO ESTABLISH DIVISION 12, ENTITLED "ART DECO / MIMO COMMERCIAL CHARACTER OVERLAY DISTRICT," TO PROVIDE ADDITIONAL REGULATIONS FOR THE AFOREMENTIONED USES, INCLUDING DISTANCE SEPARATION REQUIREMENTS, LIMITATIONS ON NUMBER OF ESTABLISHMENTS, AND PROHIBITIONS UNDER CERTAIN CIRCUMSTANCES; PROVIDING FOR REPEALER; SEVERABILITY; CODIFICATION; AND AN EFFECTIVE DATE. RECOMMENDATION The Administration recommends that the City Commission adopt the Ordinance. ANALYSIS BACKGROUND On September 14, 2016, at the request of Commissioner Ricky Arriola, the City Commission referred this item to the Land Use and Development Committee (Item C4 M). On September 27, 2016, at the request of Commissioner Ricky Arriola, the City Commission adopted a 10 -point plan that recommends a prohibition on formula restaurants and limits on certain types of retail (Item R9B). On September 21, 2016, the Land Use and Development Committee continued the item to the October 26, 2016 meeting. On October 26, 2016, the item was continued to a date certain of November 16, 2016, at the request of the sponsor. On November 16, 2016 the Land Use Committee discussed the item and recommended that the City Commission refer the attached ordinance to the Planning Board for consideration with the following modifications, which are included in the attached ordinance: Page 1141 of 2353 1. The area adjacent to Washington Avenue was removed from the South Beach overlay area; 2. The definition of Formula Restaurant was modified slightly and now consists of no more than five (5) establishments in operation or with approved development orders in Miami Beach, as opposed to the previous benchmark of two (2) establishments; 3. The following subsection was deleted from the definition of Formula Restaurant: "or (ii) a restaurant where at least some food or beverage orders are communicated by a customer to an employee over a counter or similar projection and the food or beverage that is ordered is provided to the customer at or over the counter or similar projection." On December 14, 2016, the City Commission referred the attached ordinance to the Planning Board for consideration (Item C4 I). PLANNING ANALYSIS The commercial areas of Miami Beach's historic districts are world renown for providing unique experiences to residents and visitors. These include over a century of evolving, highly significant styles of architecture (including Art Deco and Post -War Modern /MiMo) that are unique to the area, dining experiences and styles of food that are difficult to experience outside of South Florida. Additionally, the retail industry provides goods and services unique to the region. Collectively, this highly unique mixture of architecture, food & dining and specialized retail have fostered and maintained a brand unique to Miami Beach. In turn, this unique brand reintroduced a strong tourism industry in Miami Beach, which is the City's primary economic engine. However, in recent years, the character of these areas has been changing with an influx of businesses that are common to many suburban areas of the country. These businesses include chain (formula) restaurants, chain (formula) retail, check cashing stores, convenience stores, and pharmacy stores. These types of establishments have multiple locations throughout the country, as well as standardized identities, logos, color schemes, uniforms, and merchandise. The proliferation of such establishments limit, and in some cases eliminate, opportunities for the unique business that have traditionally been part of the fabric of the historic commercial districts. This has had a homogenizing effect of on the commercial areas, and has resulted in a decrease in the diversity of cultural, retail, and dining services unique to the Miami Beach brand. Over the last four decades, the City's historic districts have thrived on a careful balance of cultural, retail, and dining experiences that are not found elsewhere in the country. The increased level of homogeneity has detracted from the uniqueness of the City's brand. Over the longer term, this could have a negative effect on the City's economy, since visitors will encounter similar businesses to those that they see in their home cities, and less of the City's brand. Additionally, certain nuisance uses such as pawnshops, souvenir and t -shirt shops, tattoo studios, fortune tellers (occult science establishments), and package liquor stores have also affected the character of the City's historic districts in a negative way, as they detract from the experience that tourists and residents are seeking. Medical marijuana dispensaries have recently been permitted in the State of Florida, and these may have a similar impact as the aforementioned uses. Ocean Drive is of particular concern, due to its importance to the City's tourism industry, as well as its unique architecture, sidewalk cafes, and beachfront location. Due to the location, exposure and successful branding, the homogenizing uses have become highly attractive for property owners; a number of such uses have already opened on Ocean Drive, with more seeking to open. In order to address this concern, the proposed Overlay District prohibits the previously described uses from Page 1142 of 2353 opening on properties that front Ocean Drive within the district boundaries. THE PROPOSAL The proposed Ordinance would establish the "Art Deco — MiMo Commercial Character Overlay District." The Overlay would generally cover areas of South Beach fronting Ocean Drive and Collins Avenue between 5th Street and 16th Street. Additionally, the areas of North Beach fronting Ocean Terrace, Collins Avenue, and Harding Avenue between 73rd Street and 75th Street are also included. The following is a summary of the revised provisions included in the ordinance: • Check Cashing Stores: Such establishments shall be prohibited on lots fronting Ocean Drive and in the Ocean Terrace /Harding Townsite Area. In the remaining areas of the Overlay District, there shall be no more than two such establishments. Such establishments shall be located no closer than 2,500 feet from any other such establishment. • Convenience Stores: Such establishments shall be prohibited on lots fronting Ocean Drive, and in the Ocean Terrace /Harding Townsite Area, there shall be a limit of one (1) such establishment. In the remaining areas of the Overlay District there shall be no more than fivesuch establishments. Such establishments shall be located no closer than 2,500 feet from any other such establishment. • Formula Commercial: Such establishments shall be prohibited on lots fronting Ocean Drive and Ocean Terrace. • Formula Restaurants: Such establishments shall be prohibited on lots fronting Ocean Drive or Ocean Terrace. • Marijuana dispensaries: Prohibited in all areas. • Occult Science Establishments: Prohibited in the overlay district. • Package liquor stores: Such establishments shall be prohibited on lots in the South Beach Art Deco Area with an underlying MXE zoning designation and in the Ocean Terrace /Harding Townsite Area. In the remaining areas of the Overlay District there shall be no more than three such establishments. Such establishments shall be located no closer than 2,500 feet from any other such establishment. • Pawnshops: Prohibited in all areas. • Pharmacy stores: Such uses shall be prohibited on lots fronting Ocean Drive. In the Ocean Terrace /Harding Townsite Area, there shall be a limit of one (1) such establishment. In the remaining areas of the Overlay District, there shall be no more than five (5) such establishments. Such establishments shall be located no closer than 2,500 feet from any other such establishment. • Souvenir and t -shirt shops: Such establishments shall be prohibited on lots fronting Ocean Drive and in the Ocean Terrace /Harding Townsite Area. In the remaining areas of the Overlay District there shall be no more than five (5) such establishments. Such establishments shall be located no closer than 2,500 feet from any other such establishment. • Tattoo studios: Such uses shall be prohibited on lots fronting Ocean Drive and in the Ocean Terrace /Harding Townsite Area. In the remaining areas of the Overlay District there shall be no more than three (3) such establishments. Page 1143 of 2353 Additionally, the Overlay would prohibit variances of these regulations. It also establishes minimum submittal requirements to allow City staff to ensure compliance with these regulations. PLANNING BOARD REVIEW On January 24, 2017, the Planning Board transmitted the proposed Ordinance Amendment to the City Commission, with a favorable recommendation. The Planning Board also recommended that the City Commission consider the following modifications to the ordinance: 1) Prohibit Massage Parlors that operate at night within the overlay. 2) Modify the definition of Convenience store to remove hours of operation and the term "prepared foods ". 3) Increase the number of establishments required for formula restaurants from 100 to 400 establishments. 4) Modify the criteria for formula retail establishments to only prohibit establishments with five or more locations within Miami Beach. For notice purposes, the attached draft of the ordinance for first reading includes the recommendation pertaining to massage parlors (massage therapy centers), as this required a change to the title, as well as the minor text changes affecting the definition of convenience stores. If the City Commission decides not to move forward with these particular recommendations, the ordinance can be modified for second reading by removing them. SUMMARY 1 UPDATE On March 1, 2017, the item was opened and continued to a date certain of March 22, 2017. On March 22, 2017, the Ordinance was opened and continued to a date certain of April 26, 2017. The Commission also requested the following be provided: 1. A distance separation for Tattoo Studios so that such establishments shall be located no closer than 2,500 feet from any other such establishment. 2. The preparation of a market / economic analysis study pertaining to the formula retail and restaurant portion of the legislation, Such study will take into account whether there are any threshold differences between Ocean Drive and Ocean Terrace. Based upon the results of the market / economic study, additional discussion and refinement of the number of formula retail establishments should be considered. The distance separation requirement for Tattoo Studios has been incorporated into the revised draft of the ordinance. On April 26, 2017, the subject ordinance was continued to a date certain of May 17, 2017. On May 17, 2017, the item was opened and continued to a date certain of June 7, 2017. On June 7, 2017, the subject Ordinance was approved at First Reading. The City hired Mr. Andy Dolkart to prepare an economic / market analysis; attached is the final report. In summary, the consultant concluded the following: • A review of many other formula restaurant ordinances indicates that the proposed ordinance would be the least burdensome, as most limit formula restaurants to 15 or fewer establishments. • There are 40 eating and drinking establishments in the subject area. 0 Only three would qualify as a formula restaurant pursuant to the proposed ordinance due to the number of establishments they have throughout the country. Six establishments are chains but would not qualify as a formula establishment pursuant to the proposed ordinance. • Few restaurants currently operating on Ocean Drive are chain- affiliated due to existing design and historic preservation requirements and guidelines, as well as other aesthetic limitations, including the Secretary of Interior Standards. Page 1144 of 2353 • Chain restaurants generally choose to locate in single -user buildings or shopping centers that provide easy automobile access and self -serve parking. • An analysis of 339 chain restaurants operating in the United States indicates the following: 0 185 brands operate fast food restaurants and /or pizza shops and would likely not want locate on Ocean Drive due to their preference for being located in buildings with easy automobile access, self -serve parking, or drive- thrus. 0 164 brands fall into a variety of categories in terms of cuisine and ambiance. • 84 have less than 100 establishments and could be located on Ocean Drive. • 60 of these have more than 100 establishments and would have to make modifications pursuant to the ordinance to operate on Ocean Drive. • The ordinance provides criteria for such establishments to make modifications that would allow them to locate in the affected area. • The proposed ordinance will not make it impossible to fill vacant spaces and its adoption will not adversely impact the City of Miami Beach to any significant degree in terms of loss of jobs or fiscally in terms of loss of ad valorem tax revenue. On June 28, 2017 the City Commission considered the ordinance at Second Reading and continued the item to a date certain of July 26, 2017. At the June 28, 2017 meeting, minor scriveners discrepancies were noted; these have been corrected in the ordinance version pending before the Commission at Second reading. The City Commission also referred the item to the Historic Preservation Board for input and discussion. On July 11, 2017 the Historic Preservation Board discussed the proposed ordinance and recommended that no more than 50 establishments be located within the U.S., but would prefer it be limited to 1, and supported placemaking and protecting the unique identity of Ocean Drive. On July 26, 2017 Second Reading of the Ordinance was continued to a date certain of September 13, 2017. At the request of the item sponsor, the following revisions have been incorporated into the Ordinance: 1. The definition of Formula restaurant has been modified slightly and now consists of 50 or more establishments in operation in the United States. Previously the number of establishments was 100. 2. The following 'Applicability' Section has been added: Sec. 142-870.12. Applicability. Notwithstanding any provision of these regulations to the contrary, the formula retail and formula restaurant provisions of this overlay ordinance shall not apply to real property that satisfies all of the foregoing criteria: (1) The property fronts Ocean Drive; (2) The property has a received an Order from the Historic Preservation Board for a substantial rehabilitation, issued between January 1, 2017 and September 13, 2017, provided a Full Building Permit is issued pursuant to such order within the allowable timeframes set forth in Chapter 118 of the Land Development Regulations of the City Code. (3) Any property described above shall be deemed legal non - conforming and, consistent with the City's land development regulations that address non - conformities, shall be permitted to continue as a legal non - conforming use in accordance with the applicable provisions of Chapter 118 of the Land Development Regulations of the City Code. Notwithstanding the foregoing, such properties may have a change in tenant that consists of formula retail or formula restaurants provided that such properties are not abandoned for more than six (6) months, as specified in the applicable provisions of Chapter 118 of the Land Development Regulations of the City Code, and at which time a new tenant Page 1145 of 2353 must fully comply with the Code. (4) In the event the above noted Order of the Historic Preservation Board should expire prior to the issuance of a building permit, any property described above shall conform with all the provisions under Chapters 114 and 142 of this Code. All other prohibited and restricted uses contained in the overlay shall apply. The Second Reading Ordinance has been revised to include these modifications. CONCLUSION The Administration recommends that the City Commission adopt the Ordinance. Legislative Tracking Planning Sponsor Vice-Mayor Ricky Arriola ATTACHMENTS: Description 12 Dolkart Final Report o Dolkart - Appendices o Updated Study from A. Dolkart o Form Approved Ordinance - Revised 2nd Reading o Ad Page 1146 of 2353 June 21, 2017 Mr, Thomas R. Mooney, AICP Planning Director City of Miami Beach 1700 Convention Center Drive Miami Beach, FL 33139 Subject: Proposed Ordinance re: Formula Restaurants Dear Mr, Mooney At the request of your office, Miami Economic Associates, Inc, (MEAD has reviewed a proposed ordinance that would limit the ability of "formula restaurants" to locate in the Art Deco District along Ocean Drive between 5th and 15ill Streets and in the Ocean Terrace/Harding Townsite Area along Ocean Terrace, which extends from 73rd Street to 75th Street, 'The purpose of our review was to evaluate whether adoption of the proposed ordinance would place an unfair burden on the owners of properties in identified locations and/or adversely impact the City of IVIiami Beach economically or fiscally. The purpose of this letter, which is organized as shown below, is to provide you with the conclusion of the analysis we performed, Section Definition of a Formula Restaurant Definition of a Formula Restaurant The proposed ordinance defines the term "formula restaurant" as a restaurant with 100 or more estublihatents in operation or with approved development orders in the United States or a restaurant with more that.) five (5) establishments in operation or with approved development orders M Miami Beach, In addition to the numerical thresholds, the restaurant must also maintain two (2) or more of the following features: a standardized (formula) array of merchandise; a standardized facade, a standardized decor or color schenie; uniform apparel for service providers, food, beverages or Liniforms; standardized signs, logos, trademarks or service marks, 1/Vith respect to these features, the ordinance contains the following language: (1) Standardized (formula) array of merchandise or food means that 50 percent or 6881 8411. 8901Terreee Wawa, Florida 33188 Tel:13 6694229 Fax (866) 4864107 groan: anealnkObellsouth.net Page 1147 of 2353 Mr Thomas R, Mooney, AICF Planning Director City of Miami Beach June 21, 2017 Page 2 more of in-stock merchandise or food is from a sngIe distributor and bears uniform markings. (2) Trademark means any word, name, symbol, or device, or any combination thereof, used by a person to identify and distinguish the goods of such person, including a unique product, from those manufactured or sold by others, and to indicate the source of the goods, even if the source is unknown. A trademark may be registered with the U.S. Patent and Trademark Office and/or the Florida Department of State. However, an unregistered trademark may also be protected under common law, (3) -Service mark means any word, name, symbol, or device, or any combination thereof, used by a person to identify and distinguish the services of such person, including a unique service, from the services of others, and to indicate the source of the services, even if that source is unknown, Titles, character names, and other distinctive features of radio or television programs may be registered as service marks notwithstanding that the person or the programs may advertise the goods of the sponsor. A service mark may be registered with the U,S, Patent and Trademark Office and/or the Florida Department of State, However, an unregistered service mark may also be protected under common law. (4) Decor means the style of interior or exterior furnishings, which may include but is not limited to, style of furniture, wall coverings or permanent fixtures, (5) Color scheme means the selection of colors used throughout, such as on the furnishings, permanent fixtures, and wall coverings, or as used on the facade, (6) Facade means a face (usually the front) of a building, including awnings, that looks onto a street or an open space, (7) Unifomi food, beverages or apparel/uniforms means standardized items of clothing including but not limited to standardized aprons, pants, shirts, smocks or dresses, hats, and pins (other than name tags) as well as standardized colors of clothing, food or beverages listed on the menus of such establishments or standardized uniforms worn by employees. With respect to the above definition of formula restaurant, it is important to note that a chain with more than 100 establishments would be able to locate on Ocean Drive between 5th and 15th Streets or Ocean Terrace if it modified its operations with respect to any six of the seven features enumerated above, they Findings Based on MEAI's analysis of the proposed ordinance, we do not believe that the limitation it places on the ability of formula restaurants to locate along Ocean Drive between 5th and 15th Street or Ocean Terrace will unfairly burden the property owners in Miami Economic Associates) Inc. 6861 S.W. 89" Terrace Miami) Florida 33156 Tel: (305) 6694229 Fax: (886) 4964107 Email: meainkabellsouthmet Page 1148 of 2353 Mr, Thomas R. Mooney, AJCP Planning Director City of Miami Beach June 21, 2017 Page 3 those locations and/or adversely impact the City of Miami Beach economically or is ally, This conclusion is based on the following findings: During the course of its research, MEAI identified 15 municipalities that have enacted ordinances limiting the ability of formula commercial establishments and/or restaurant to locate within them for the purpose of maintaining their distinctive character. As shown in Appendix 1, all of those municipalities set the numerical threshold of establishments for defining a formula commercial establishment or restaurant at 15 or fewer. The two municipalities in Florida, Sanibel and the Town of Palm Beach, set the numerical threshold for defining a formula restaurant at three establishments nationwide, According, the numerical threshold of 100 establishments nationwide in the proposed ordinance is hardly stringent by comparison, Based on a physical inspection of the properties along Ocean Drive between 5' and 15th Streets and along Ocean Terrace as well as a virtual tour of them utilizing Googie Earth, MEAI identified a total of 40 operating eating and drinking establishments and one closed facility. Of the establishments identified, all but three are on Ocean Drive with the overwhelming preponderance of them located in hotel or condominium hotel properties that in most cases are considered by the City's Historic Preservation Board to "contribute' to the historic character of the Art Deco District, Ali three establishments on Ocean Terrace are housed in structures of similar type, Of the 40 operating eating and drinking establishments MEAI identified, only three are formula restaurants es defined in the proposed ordinance, Included in this number are the TGIF Fridays located in Bentley condominium hotel located at 500 Ocean Drive, the Ben & Jerry's located at 760 Ocean Drive and the Pinkberry in the Victor Hotel at 1144 Ocean Drive, Six other establishments, which are listed immediately below, are parts of chains but in each case the chain of which it is part has fewer than 100 units. o Wet Willies, 760 Ocean Drive (1 of 17 establishments) o Sushi Slam, 804 Ocean Drive (1 of 8 establishments) o Fat Tuesdays, 918 Ocean Drive (1 of 50 establishments) o Sugar Factory, 1144 Ocean Drive (1 of 13 establishments) o Havana 1957. 1410 Ocean Drive (1 of 5 establishments) o Madero, 1412 Ocean Drive (1 of 65 establishments') MEAI believes that the fact that less than 25 percent of restaurants currently operating on Ocean Drive between 5th and 15th Streets and on Ocean Terrace are chain-affiliated is in substantial part, if not totally, a function of the following factors: Madero is a South American-based company with 65 total establishments, the preponderance of them outside the United States. In fact, the establishment on Ocean Drive was the only one that MEAI identified in the United States, Miami Economic Associates) inc. 6861 9-.M 89th Terrace ifillaritit Florida 33156 Tel: (305) 669.0229 Fax (866) 49643107 Email: mealriKbellsouth.net Page 1149 of 2353 Mr, Thomas R. Mooney, AICP Planning Director City of Miami Beach June 21, 2017 Page 4 0 The overwhelming preponderance of the restaurant spaces in the enumerated areas either rely entirely on outdoor setting or a mixture of both outdoor and indoor seating with the quantity of the latter generally relatively small. However, most chain-affiliated restaurants operate in portions of the United States where they cannot rely on outdoor seating on a year around basis and have modi operandi that require more indoor seating than most of the properties in which the Ocean Drive and Ocean Terrace restaurants operate can provide. 0 The portion of Ocean Drive between 5th and 15th Street and Ocean Terrace are located in historic preservation districts, As a result, modifications to the buildings in those areas to accommodate formula restaurants would be governed by the provisions of City code section 142-$46, which states in part that if it the building is a historic structure, plans to renovate ”shall substantially comply with the Secretary of the Interior Standards and Guidelines for Rehabilitating Historic Structures, U.S. Department of the Interior (revised 1983), as amended”, That same language is found in Code Section 142-904, which discusses accessory uses in hotels and apartment buildings, which is the category of use that applies to the preponderance of the restaurants along Ocean Drive between 5th and 159' Street and Ocean Terrace. It is also found in Code Section 118-564, which discusses the manner in which requests for certificates of appropriateness for alterations to buildings should be evaluated. Section 118-564 further states that In determining whether a particular application is compatible with surrounding properties, the historic preservation board shall consider the following: a. Exterior architectural features. b, General design, scale, massing and arrangement. c. Texture and material and color. d. The relationship of subsections a., b., c,, above, to other structures and features of the district, e, The purpose for which the district was created. f. The relationship of the size, design and siting of any new or reconstructed structure to the landscape of the district. A historic resource report, containing all available data and historic documentation regarding the building, site or feature, The original architectural design or any subsequent modifications that have acquired significance. In summary, MEAI believes it is probable that many operators of chain- affiliated restaurants historically decided --- and likely will frequently do so in the future --- that their prospects for success in gaining approval to make the alterations necessary to locate an establishment in a building along the Miami Economic Associalos, Inc. 6861 LW. 39th Terrace Nliatn4 Florida 33156 T (305) 669.0229 Eton (866) 496.6107 Email: meaink@bellsouth.nat Page 1150 of 2353 Mr. Thomas R. Mooney, AICP Planning Director City of Miami Beach June 21, 2017 Page 5 relevant portion of Ocean Drive or Ocean Terrace would not be strong and/or that too much time and/or money would be required to gain such approval. Given the issues discussed in the preceding paragraphs, MEAI finds it doubtful that there will be stampede by formula restaurant chains to locate along Ocean Drive between 5th and 15th Street or Ocean Terrace, However, the proposed ordinance would provide additional assurance that that does not occur, As part of MEArs evaluation of the proposed ordinance, MEAI reviewed restaurant industry publications and websites to determine whether it would make it difficult for the owners of properties along Ocean Drive between 5th and 15th Streets and Ocean Terrace to secure new tenants if one of their current tenants vacates or if they decide not to renew the leases of current tenants. Our research identified a total of 348 brands operating chains of restaurants in the United States for which we could obtain accurate information on their number of establishments, That number does not include the nine chains already operating on the relevant portion of Ocean Drive or Ocean Terrace, Of the brands identified, 185 operate fast food restaurants arid/or pizza shops that primarily provide take out and/or delivery service, A roster of these 185 brands can be found in Appendix 2, The 185 brands enumerated in Appendix 2 typically seek locations that provide for excellent automobile access. Further, they generally occupy either single-user buildings or space in shopping centers with self-serve surface parking, Given these attributes, MEAI does not believe that they, regardless of their number of establishments, would seek to locate along Ocean Drive between 5th and 15th Street or along Ocean Terrace other than on an exceptional basis even if the proposed ordinance is not adopted. The remaining 163 brands, which are identified in Appendix 3, generally provide table service, Review of Appendix 3 will show that these 163 brands fall into a variety of categories in terms of cuisine and/or ambience, Further, a portion of them, numbering 56 in total, are part of chains that are comprised of 100 establishments or more, hence formula restaurants as that term is defined in the proposed ordinance, The remaining 107 brands operate chains comprised of fewer than 100 establishments and could in the future occupy space on Ocean Drive between 5th arid 15th Street or on Ocean Terrace if it should become available and is physically able to accommodate them in terms of indoor seating capacity, among other criteria. With respect to brands that would not be preclude from operating on Ocean Drive between 5th and 15th Street or Ocean Terrace, their distribution In terms of number of establishments is as follows: O 39 brands have 15 or fewer establishments o 17 brands have between 16 and 15 establishments o 27 brands have between 26 and 50 establishments o 24 brands have between 51 and 100 establishments Miami Economic Associates, loc. 6861 S.W. 89th Terrace Mimi, Florida 33156 Tel: (305) 669-0229 Fax: (866) 496-6107 Email: meainkabollsouthmet Page 1151 of 2353 Mr, Thomas R. Mooney, AICP Planning Director City of Miami Beach June 21, 2017 Page 6 MEAI recognizes that a detailed review of Appendix 3 will show that some of the brands that would not be precluded by the proposed ordinance have historically limited their operations to geographic regions of the United States that do not include Florida or the nearby southeast. We also acknowledge that adoption of the proposed ordinance would preclude some well-recognized brands that do operate in Florida or the nearby southeast from occupying space on Ocean Drive between 5' and 15th Street or Ocean Terrace, Included among this fatter group would, for example, be Ruth's Chris, Bonefish Grill, Brio Tuscan Grill, Olive Garden, P.F. Chang's, Cheesecake Factory, Applebee's and Hard Rock Cafe. In these regards, we wish to make the following points: 0 The fact that certain brands have historically not operated in Florida should not be minimized; however, MEAT believes it is plausible to think that some of those brands, particular those whose bases of operations include the areas from which South Beach tourists most frequently originate, might consider establishing a unit there to continue to serve their customers while they are on vacation and/or to get new levels of exposure. Further, others, attracted by the "South Beach buzz" and its high tourism counts might decide to enter a new territory. As discussed above, it will likely be difficult to accommodate establishments that typically operate on the scale of the precluded brands specifically named above in the restaurant spaces in the hotel and condominium hotel buildings that exist along the relevant section of Ocean Drive or on Ocean Terrace, However, if a space of appropriate size did become available, the owner of the subject property would have a number attractive alternatives among that brands that are not precluded by the proposed ordinance, Illustratively, those alternatives would might include Capital Grill, Morton's or Flemings among steak restaurants, McCormick & Schmicks, Legal Seafoods or Mitchell's among seafood restaurants, Maggiano's, Old Spaghetti Factory or Buca di Beppo among Italian restaurants, Houston's/Hilistone or J Alexanders among casual dining restaurants and Rainforest Cafe, Planet Hollywood or Jimmy Buffett's Margaritaville among themed restaurants. Further, as Appendix 3 shows, there are others beside those named that also could be secured, Based on the preceding, MEAT does not believe that the proposed ordinance will place an unfair burden on the owners of properties along Ocean Drive between 6th and 16Th Street and Ocean Terrace to fill restaurant spaces that become vacant with chain- affiliated establishments as opposed independent operators if that is what they seek to do and their properties can accommodate such users, Contributing to this conclusion is the fact that at any given time, the amount of vacant space available is likely to be extremely limited> Further, since the proposed ordinance will not make it impossible to fill vacant spaces, its adoption should not adversely impact the City of Miami Beach to any significant degree either economically in terms of loss of jobs or fiscally in terms of Toss of ad Miami Economic Ansonia( eel Inc. 6861 S.W. 89Th Terrace Miami, Florida 33186 Tel: (308) 669-0229 Fl xl (866) 49646101 m&b mealnkebellsouth.net Page 1152 of 2353 Mr, Thomas R. Mooney, AICP Planning Director City of Miami Beach June 21, 2017 Page 7 valorem tax revenues. Whether there will be an adverse impact on the tax revenues that the City collects an the sale of food and alcoholic beverages will be dependent on the, whether the new tenant's revenues are less than the taxable revenues of the prior occupant of the space. However, that would be also be true if the proposed ordinance is not adopted. Further, that would be true regardless of whether the new tenant is chain- affiliated or an independent operator. Closing MEN has appreciated having the opportunity to be of assistance to the City of Miami Beach, We are prepared to discuss the contents of this letter with you and other members of the City's professional staff and of course, with the Mayor and City Commissioners and their staffs. We are also prepared to testify with respect to our findings at City Commission proceedings regarding the proposed ordinance, Sincerely, Miami Economic Associates, Inc. Andrew Dolkart President Miami Economic Associates, Inc. 6861 S.W. 89th Terrace Miami, Florida 33106 Tali (306) 669.0229 Fax (866) 4964107 Email: ineainkabellsouthmet Page 1153 of 2353 Appendix Page 1154 of 2353 Appendix 1 Numerical Threshold Municipalities with Formula Establishment Ordinances durisdiCtron 1 Numerical Threshold Palm Beach, FL 3 or more establishments ._. _ Sanibel , FL or more establishments MalibujSA J 10 or more establishments SanFrancisceLCA _ 3 or more establishments _ 1 _ Coronado, CA , 15 or more establishments Ojel„ CA - ' - - 10 or more establishments Cells-Cop, CA San Juan Batista, CA Solvt?g.„LC)", C armel C, A __ Pacific Grove Sausalito CA Bristol, RI 5 or more estbalishments Fredericksburg, TX 10 or more establishments York, ME Any bliiness that has anything similar anywhere requires a special permit. Bars all formula retail stores and restaurants and all stores aver 5,000 SF, ****Any establishment substantially identical to another restaurant regardless of ownership or location. Any establishment with standardized menus, ingredients, food preparation, employee uniforms, interior decor, signgo or exterior design. """ Any type of retail activity, Including food service, which is required to maintain any of the following standardized ('formula') array of services or merchandise, trademark, logo, service mark, symbol, sign, decor, architecture, layout, uniform, or similar standardized feature. 'am *** 5 or more establishments **** ***** 4 Source: Individual jurisdictions; City of Miami Beach Planning Department; Miami Economic Associates, Inc. Page 1155 of 2353 Appendix 2 Page 1156 of 2353 Chick-A-Fil Wendys Dairy Queen .,,Subway Five Guys _ _ KFC Taco Bell Burger King_ McDonald's Arby's _ Chipotte Sonic Popeye's Cold Stone Creamery_ In-N-Out Burger Shoneys _ Dunkin' Donuts Auntie Anne's Church's Jimmy_s_ Johns Blimpie Papa Johns Baja Fresh _ A & W Del Taco Cinnabon White Castle KrisKreine Little Caesar's Waffle House Tim Horton's_ Cad's Jr _ Jack in the Box _ Hardee's ll Appendix 2 Fast Food Restaurants Chains JerseMtkes _ Godfathers Pizza .■■■■■, El Polio Loco Bo'an Sbarro Fazoli's Papa Murphy's Take N Bake Pizza Jason's Deli Krystal _ _ Wingstop_ MoAlisters Deli AN, n Taco Johns Starbuck's Saattlas Best Coffee Checkers/Rally_ Golden Chick Dickals Barbecue Pit Backyard Burgers Charlie's Grilled Subs RP,Y Ro-gefs, — Shake Shack Baskin-Robbins Penn Station Hungry „ Fatburger Skyline Chili „ ,Gheeburger_piee_burger___ Au Bon Pain Noodles & Company _ 92tpjtip's Quizno's CUIVer$ Pitgba Wienerschnitzel _ Boston Market Checkers L2 John Silver's Firehouse Subs Atlanta Bread Cambany____ Nathan's Hot Dogs_ Freebirds World Burrito Rttblio's Fresh Mexicanprili L&L Hawaiian Barbecue Gino's Pizza & Spaghetti Cosi Eat n Park TacoBueno Da phrte_'s Greek Gate El Chico „ Surgery!!! _ Shane's Rib Shack Jerry's Subs & Pizza _ Donates Pizza Huddle House Saladworks fobY Potbell Sandwich Works'. wn. ew Which Wich?_ Breugger s $ ing Cain Chicken Fingers Braum's Round Table Pizza Pizza Ranch PortiIIoa Rax Roast Beef Bmashburiger Green Burrito tain D's Le Madeleine Taco Cabana Zoes Kitchen Page 1157 of 2353 Chicken Express CotTlef eakefy_Cafe rwenson's Mazzios East of Chicago Pizza_ _ Valentines Polio p_atripero Freddy's_ Sttwart's Farmer Bays Panda Express Taco del Mar TacpMayo _ Taco Time Chicken Out Rotisserie Hobee's Rick Wimpy_ Port of Subs Pizza Inn Primanti 6rothers Hurricane Grjjj& Wings Pa .a Gino's _ Naug_les Sneaky Pete Robek's _Camille's Sidewalk Cafe Jack's Runza urf street _ Moo's Hamburger's Erbert & Gelbert's Taki's Pretzelmaker ions of Japan _, Tokyo Tokyo eeto Burrito bee Pizza Pan Sar ino' w .w nkou chicken ctic Cycle_ ....�.._ panera Chinese, Gourmet Express Source: Various industry publicati Mrs Winners Einstein Brothers »., ,.... », arku Torohy; Tacos Taco Iac Mooyah Pizza Patron Hero Vapiano Gold Star Chili Tacodefi Arthur Treacher' Fish & Chips American Incred ble i a o. Panda Inn L. Beers M.. ».� California, Tortilla Chronic Tacos_ .. _ Sub Station 11 Rumbi Qarir?tti's Garbanzo Medi terranoan Grill Cho kin u edo Jjrnboy's a ps Polio Tr ,1 _. Chicken Ex rss _ _ nd websit s; Miami Economic As ociate , Inc.. Amf r fassic i,p Blake's .otaburr _ Qdoba Cafe de Coral Page 1158 of 2353 Appendix Page 1159 of 2353 Appendix 3 Table Dining Restaurants Bop-rade Restaurant chains (Number) **7Tother Restaurant Chains (Nuryiber "4-- Steak L_ _ Outback Steakhouse(900) __ _ LongHorn Steakhouse (37g RuthisGhris Stealsjacuse (130±)_, _,gz,zier7ff, Logaq's Roadhouse (135 Texas Roadhouse (400) Seafood iRed Lobster.CDS) _ tdonefish Grill (216) _ doe'sgrap ShaoK(136)_ Italian Olive Garden (844)_ Carrebba's Italian qrili (247)__ jr 1E206 pricfissan Lone Star Steakhouse BlecitAn us Steakhouse (46) Pondemsa/ponanza Steakhouse( q:9,20) Grille /68 Mastro's(1,6) ___ -Morton'S (67) _ Saitgress Steakhouse OS) Charlie Steakhousefl4`i _ Fleming:A (66) Montana Mike's 3 Shula's(_15 Stoney River (8) Bubb a Gump_ShrimoCompany_M___ _1„.„ai's Seafood House (18) Muer's Seafood Restaurants**** artouse (25) _ McCormick & Schinick:e16(1 Oceanaire (12 gel_Seafeoci (34) Aritjeafood Mitchell's PiiiiMarkeL(1p) F3, izz4 California Pizza Kitchen (2ag) , CICLd _ (yip Ctaicago Grill(150+) Pizza Hut(5,000+) Mellow Mushroom 50 Gist 8 a fretti Fy 142) _ I_ VARa Ono's_ Lithe ltely/49)___ Puca diP92,Po. (92) Bravo Cucina Itallana C- agt-letti Warehouse (101 _ Grimaidji(61) , catintys Italian (84)___ „ 4 0 0 Bertucoys_(82) Anthony's Coal-fired (68) 44444444■4444444., The Original Italian Piell6 Monical's Pizza (60) Hays (4), Snakey'sPizza (60) Page 1160 of 2353 lexicar On th_order Mextpar 166+ Tijuana Flats _009) .,,. r_ Asian P.F, han ' {204) enihana (116) Pei We Asian Diner ...... . i : r , Ribs _ ec e . , 'sous Dave(70) Cheddar's Scratch Kitchen Sonn arbecue(11 ),.. '$ ... _chicken in the lough ) Senor o v... Chevys Fresh Mex (jM e adillac Me)dcan Kitchen/Tequila Bar (21_ Gras Capinos _).n . El Torito (6) Carlos `n Charlie's (2) Tumbleweed' Tex Mex Grill 19) pixie hili_L3) Paradiso Auel'Mexican ltaurants4 . . Pprto's Cantina )....M Chuy's (9 Lllie's Pan Asian Cuisine (4) Iongolra i TGrlll 70 w ,...._ `..(21) ,,....,. PA Sushi (........_ Stt ,pnee Steakhouse yr Crazy O; a rdt ymfr ert ! . ... _ 71:10P,(1,650) . Red Robin c6g Chili's$) cker Barrel k n' Shake Fuddrucke Golden C rral 5 00 m Perkins Restaurant and ak r (NI/A1 Bob Evans Restaurant Friendly's () The Original Partpake House (1 00) 2121_ Swensen' 1 0+ L Me raln Grill. Flat Top t3rill% .?) ) Red Hot Blue (22 Darnon's Grill (5) Fatk(4 lei i -:ik To Rome' row's (12) r l sta rr"ar :t l9,0 Hacknej5..,..��,_ Green Mill (29t) kers S uaa(4 liender' Page 1161 of 2353 Casual _Cheesecake Factory (185) Quaker Steak & Lube ClaimJurnper (43) Bennigan's(23) Houltan8 (47) Max & Emia's(51) Ground Round Grill & Bar (24) Mai Tal Bar (2) Bar Seasons 52 (43) Black-eyed Pea (13— Miller's Ale House 78 Copeland's (16) Houston's/Hillstene (511 Coco's Baker 55 Earls (68 Granite City Food & Brewery (1, 0),_ Tavern in the Square Lq9 (8) Redstone American Grill ,(4), Cotton Patch Cafe (41) Yard House (66) Tilted (31 J. Alexander(211 Redlands Grill (12)7 6ricktopL(6) Grand Lux Cafe Off Devon's (6) Chamoss (23) Applebee s (2003, Beef o'Bradys_(_23) Ruby_Tuesday (850) OE Chaiiey's 230 99 Restaurant & Pub (10:6) Restaurants nTs St.-Brawl-muses (170) Thorned Johnny Rockets 320), Hopters (4301) Fia„rd Rpok CafS176„) _-buffalo:Wigd in s_(925 Chuck E. cheese 1523) Mimi's Cafe , NNW., NNW Other The MeitingPot (120 Sweet Tomatoes (118), ** chains with 100 or more establishMents Chains with less than 100 establishments Rainforest Cafe (28) Planet Hollywodd 8 Jimmy Buffott'a MareitsvAr e (30) Bahama Breeze island Grill (37) _ Rock Bottom Restaurant & Brewery (30)_ Aquarium Restaurant (4J Cheesebtnerfn Paradise Trader Vic s(2) 8.ace AUeris Grill & Bar (4) _ House of Biues Dave & Buster's (981 S2) Lu6—; 9§1 ***This chain operates uses a different name in each location, Its restaurant in West Palm Beach is known as Charlie's Crab, Source; Various industry publications and websites; Miami Economic Associates, Inc, Page 1162 of 2353 Andrew Dolkart Economic Consultant 6861 SW 89 Terrace Miami, Florida 308.669.0229 June 21, 2017 Mr. Thomas R. Mooney, AICP Planning Director City of Miami 3oh 1700 Convention Center Drive Miami Beach, FL 33130 Subject: 'Proposed Ordinance rel Formula Restaurants Deer Mr, Mooney: At the request of your office, I have reviewed a proposed ordinance that would limit the ability of "formula restaurants" to locate in the Ail Deco District along Ocean Drive between 611) and 1511' Streets and In the Ocean Terrace/Harding Towns Area along Ocean Terrace, which extends from 73c' Street to 75m Street. The purpose of my review was to evaluate whether adoption of the proposed ordinance would pIao ti unfair burden on the owners of properties In the Identified locations end/or adversely Impact the City of Miami Beach economically ar fiscally. The purpose of this letter, which Is organized as -shown below, is to provide you with the conclusion of rny analysis. J4. 9 Stje 9 11 Definition of a Formula Restqurant iYefinitioti of a W6iiiiiiiiifiiiiitiianii Page 2 „„, The -proposed ordinance defines the term "formula restaurant!' as a restaurant with 100 or more establishments In .operation or with approved development orders in the United States or restaurant with more then fivo (6) establishments In operation or with approved development orders in Miami Beach,. In addition to the numerical thresholds, the restaurant must also maintain two (2) or more of the following features: a standardized (formula) array of merchandise; a standardized facade; standardized decor or color scheme; uniform apparel for service providers, food, beverages or uniforms; standardized signs, logos, trademarks or service marks. With respect to these features, the ordinance contains Ow following language: • . (1) Siondatzilzad (tbrmule) (my of merohondMo or food means that 00 percent or more of In. stock merchandise or food Is from a single distributor and burs uniform markings. Page 1163 of 2353 Mr. Thomas Mooney, AICP Planning Director City of Miami i3each Juno 21, 2017 Page 2 (2) Trademark means any word, name, Bymbol, or device or any combination thereof, used by a person to Identify and distinguish the goods of such person, Including a unique product, from those manufactured or sold by others, nand to Indicate the source of the goods, oven If the source is unknown, A trademark May be registered with the U.S. Patent and- Trodermirk Office i'llnci/or the Florida Department of State, However, an unregistered trademark may also be protected under common law, (3) Servloo mark means any word, name, symbol, or device, or any combination thereof, used by a ',,)erson to identify and distinguish the services of such person, including a unique service, from .the services of others, and toindlesto the source of tho services, even If that source is unknown, Titles, character -names, and other distinctive features of radio or television programs may be registered a rvIce marks notwithstanding that the person cr the programs Frey advertise tho goods of the sponsor, A service mark may be registered with the U,S. Potent end Trademark (Ado and/or the Florida Department of State. However, an unregistered service mark may also be protected under common law. (4) D000r means the style of interior or exterior furnishings, which may Include but Is not limited to, style of furniture, wall ooverings or permanent fixtures. (6) Co/or chome means the selection of colors used throughout, .such V„ie on the furnishings, permanent fixtures, and well coverings, cr es used on the facade. (6) Peptide moans a Noe (usually the front) of a building, Including awnings, that looks onto a strootor an open space, (7) Uniform food) boverageo or apparel/unIfonna moans stenderclzed items of clothing including but not limited to standardized aprons, pants, shirts, smooks or dresses, hats . end pins (other than name tog) ea well as standardized colors of clothing, food or beverages listed on the menus of such establishment s. or standardized uniforms worn by employees. With reeseet to the, above definition of .formula restaurant, it is important to note that a chain with more than 100 establishments would be able to locate on Ocean Drive between Sth and 161h Streets 01' Ocean Terrace. If It modified Its operations with respect to any 8IX of the seven features enumerated above, Key Findings Basod on my analysis Of the proposed ordinance, I do not believe that the limitation It places on the ability of formula restaurants to locate along far Drive between 61h and 16th Street or Ocean Terrace will unfairly burden the property owners In those locations and/or adversely Impact the City of Miami Beech economically or fiscally. Thle conclusion Is based on the 'following findings: Page 1164 of 2353 Mr, Thomas IVIconey, AIOP Planning Director City of Miami Beach June 21, 2017 Page 3 During the course of my research., I Identified 1 municipalities that 1181/0 enacted ordinances limiting the ability of formula commerolal establishments and/or restaurants to locate within them for the purpose of maintaining their distinctive character, A hOW11 Iti AppODC,iIX 1, MI1 of those municipalities sot -the numerical threshold of establishments for defining 61 formula commercial establishment or restaurant at 16 or fewer. The two municipalities In Florida, Sanibel and Pah Beach, sot the numerical .threshold for defining a formula restaurant' at throe establishments -nationwido. According, the numerical threshold of 100 establishments nationwide In the 'proposed -ordinance Is hardly stringent by comparison. Based on 8 -physical Inspection of the properties along Omen Drive between 5'11 ..and 15''' ,',itreets and along Ocean Terrace- as well as n virtual tour of them utilizing Googto Earth, I identified a total of 40 operating eating end drinking establishments, and one closed facility, Of the establishments identified, all but three aro on Ocean Drive with the overwhelming preponderance of them located in hotel or condominium hotel properties that In most 00808 ore considered by the City's hilotorlo Preservation Board to "contribute to tho historic charactor of the Art Deco DletrIct. All three establishments on Ocean Terrace are housed in structures of :similar type, Of the 40 operating eating end drinking establishments that I Identified, only three are formula restaurants DS defined Ill the proposed ordinanoe. Included In this number are the TGIF Fridays located In Bentley condominium hotel .located at 800 Ocean Drive, the 'Ben & Jorry's looatod -Lit 760 Ocean Drive and the Pinkberry In the Victor hlotel at 1144 000Dri Drive. Six other establishments, which are listed Immediately below, are parts of chains but In each case the chain' of which It Is part has 'fewer than 100 units, o Wet Mlles, 700 Ocean Drive (1 of 17 establishments) c Sushi Slam, 004 Ocean Drive (1 of 8 establishments) O Fat Tuesday, . 918. Ocean Drive (1 of 60 establishments) O Sugar Factory, 1144 Ocean Drive (1 of 13 establishments) o 1--lavann 1967.1410 Ocean Drive (1 of 5 .establishments) O Madero, 1412 Ocean Drive (1 of 05 establishments') 1 believe that the fact that lase than 25 peroent of the restaurants currently operating on Ocean Drive between V and 156 Streets and on Ocean Terrace are chin -affilintd is in substantial part, if not totally, a function of the following factors: o The overwhelming preponderance of the restaurant spaces in the enumerated areas either rely entirely on outdoor setting or a mixture of both outdoor and indoor Seating with the quantity of the iatter generally relatively small. However, most ohoingiffilleted restaurants operate in portions of the United States where they cannot rely on outdoor seating on o year around basis end hove modi operandl that require more indoor seating than most of the properties In which the Ocean Drive and Ocean Terr800 restaurants operate can provide. o l'he portion of Ocean Drive between 6th and 1 Street and Ocean Terrace are located In historic preservation districts. As a result, modifications to the buildings in those Madero is s South Amerloan-based company with 8 total establishments, tho preponderance of them outside the United States. In fact, the establishment on Oc,,00n Drive was the only one that I identified In the United States, Page 1165 of 2353 Mr. Thomas Moony, A1CP Planning Director City of 'Miami Boson ,,ine 21, 2017 Page 4 'areas to accommodate 'formula restaurants would be governed by the provisions of City code section 142.646, which states In pert that If It the building is a historic structure, piens to renovate "shall substantially comply with the Secretary-of the Interior Standards end Guidelines for Rehabilitating Historic Structures, U,S. Deportment of the interior (revised 1983), as amended", That same language) is .,found in Code Section 142.904, which discusses accessory uses in hotels and apartment buildings, which Is the catogory of L180 that applies to the preponderance of the restaurants along Ooson Drive between 61h and 16th Street rnd O000n Terrace. R Is also found In Code Section .I V3.'504, which discusses the manner in which requests for certificates of appropriateness for 'alterations, to buildings should be evaluated, Section 118464 Further states that In detemilnIng whether a particular appiloation Is oompatible with 'surrounding properties, the historic preservation board shall consider the following: a. Exterior .architeotural features, b. General design, . seele, messing and arrangement, c. Texture end matorlal and color. The relationship of subsections a, b„ c., above, to other structures al 1' aturos of the 'district. e. The purpose for which the district was created. f, The relationship of the size, 'design and siting of any new or reconstructed structure to the landscape of the distriot. A historic resouro e. report, containing) all available data and historic documentation regarding tho building, site or feature, h. The original architectural design or any subsequent modifications that have acquired significance. In summary, it is probable that many operators of chain-affiliated restaurants historically deckled -- 'and likely will 'frequentiy do so In the future — that their prospects for success in gaining approval to make the alterations necessary to locate an establishment in a building along the relevant 'portion of Ocean Drive or Ocean Terrace would not be strong and/or that too much *no and/or money would be required to galn such approval. Given the issues discussed in the procedin9 paragraphs, I find it doubtful that there Will be stampede by formula restaurant chains to locate along Ocean Drive between 5th and 161h Street or Ocean Terrace. However, the proposed ordinance would provide additional assurance that that does not occur. As part of my evaluation of the proposed ordinance, I reviewed restaurant industry publications and websites to determine whether it .would make It difficult for the owners of properties along Ocean Drive between 6th and 16th Streets and Ocean Terrace to secure new tenants If one of their current tenants vacates or If they decide not to renew the leases of current tenants. My research Identified a total of 348 brands operating chains of restaurants In the United States for which I could obtain accurate 'Information on their number of establishments.. That number does not include the nine chains already operating on the Page 1166 of 2353 Mr, "Memos Mooney, AICP Planning Director City of Miami Beach June 21, 2017 Pogo 6 relevant portion of Ocean Drive or Ocean Tel 'ram Of the brands Identified, 186 operate fast food restaurants end/or pizza shops that 'primarily provide take out and/or delivery service, A roster of those 186 brands on be found In Appendix 2, The 186 brands enumerated In Appendix 2 typically seek locations that provide for excellent automobile access, Further, they gene occupy either single-user buildings or space in shopping centers with self .serve surface parking. Given these attributes, I do not believe thst any significant number of them, regardless of their number of establishments, would seek to locato along Ocean Drive between 5th and 16m streot or along Ocean Terrace other then on an exceptional baf,31s even if the proposed ordinance is not adopted. The remaining 103 brands, which are identiflod In Appendix 3, generally provide table service. Review of Appendix 3 will show that these 103 brands fall into a variety of categories In terms of oulaine and/or ambience, Further, portion of them, numbering 66 in total, are part of chains that re comprised of '100 establishments or more, hence formula restaurants as that term Is defined In the proposod ordinance. The remaining 107 brands operate chains comprised of fewer then 100 establishments and could In the future occupy space on Ocean Drive between 6th and 16Ih Street or on Ocean Terrace If It should become Elvallablo and Is physloally able to accommodate thorn In terms of indoor seating capacity, among other citoris, With respect to brands th at. would not be preoludsd from operating on Neon Drive between 6111 and '16" Street or Ocean Terrace, their distribution in terms of number of establishments Is ins follow o 39 brands have 16 or tower establishments 0 17 br811(iti have between 16 and 26 establishments o 27 brands have between 20 and 60 establishments o 24 brands have botwoen 81 and 100 establishments I recognize that a detailed review of Appendix 3 will show that some of the brands that would not be precluded by the proposed ordinance have historically limited their operations to geOgraphio regions of the .Untted States that clo not Include Florida or the nearby southeast, I also 'acknowledge that adoption of tho proposed ordnance would preolude some well reconi2d brands that do operate in Florida or the nearby southeast from occupying space on Ocean Drive between :61" and "I 6t" Street or Ocean Terrace, 'Included among thls latter group would, for example,. be Ruth's Chris, Bonefish Grill, Brio Tuscan Grill, Olive Garden, P,F, Chang's, Cheesecake Factory, Applobees and Hard Rock Cafe., in these regards, I wish to make the following points: o The fact that certain brands 'hove historically not operated in Florida or the nearby southeast should not be minimized; however, It Is plausible to think that some of those brands, particular those whose bases of operations Include the areas from which South Beech tourists most frequently originate, might consider establishing a unit there to continue to serve their customers while they are en vacation and/or to get new levels of exposure with a potential loyal base of business available to them when they first open, Further, others, attracted by the "South Beach buzz" and its high tourism counts might decide to enter a new territory. Page 1167 of 2353 Mr, Thomas Mooney, AICP Planning !Director City of Miami Beach June 21, 2017 Page o As discussed above, it will likely be difficult to accommodate establishments that typically operate on the scale of the precluded brands specifically named above -in the restaurant spaces in the hotel and condominium hotel buildlngs that exist along the relevant section of Ocean Drive or on Ocean Terrace. However, if e space) of Opproprielte slze did become available, the owner of the subject property would have a number attractive alternatives among that brands that are not precluded by the proposed ordinance, illustratively, those alternatives would might include Capital Grill, Morton's or Flemings among steak restaurants, McCormick 84 Schmicks, Legal Seafoods or Mitchell's among . seafood restaurants, MjgIeno OJd Spaghetti Factory or [ice di Beppo among Italian restaurants, Houston's/HIllstons or J Alexander's among casual dining restaurants and Rainforest Cafe, Planet Hollywood or Jimmy Buffett's Margaritaville among therned restaurants, Further, as Appendix 3 shows, there are others .beside those named that also could be secured. 13ased on the preceding., I do not believe that the proposed ordinance will place an unfair 'burden on the owners of properties along Ocean Drive between t'5111 and 151h Street and Ocean Terrace-to fill restaurant .spaces that become vacant with chein41111ated establishments as .opposed independent operators if that is what they seek to do and their -properes can- accommodate such users, Contributing to this Is thelact that at any given time, the .aMount of .vecont space available Is likely to be extremely limited, Further, since the proposed ordinance will not make It Impossible to fill vacant spaces, its adoption should not 'adversely impact the City of Miami Beach to any significant degree either economically In tonne of lose of jobs or 'fiscally in terms of loss of al valorem tax revenues, Whether there will be an adverse Impact on the tax revenues that the City 001100t8 OR the sale of food and almhollo beverages will be dependent on the, whether the new tenant's revenues are less than the taxable revenues of the prior occupant .of the space, However, that would be also be true If the proposed ordinenoe is not adopted, Further, that would be true regardless of whether the new tenant Is chaln.affillated or an independent operator, Closing I have appreciated having the opportunity to be of assistance to the City of Miami 8061011, 1 Cfll prepared to discuss the contents of thls letter with you end other members of the City's professional staff and, of course, with the Mayor and City Commissioners and their staffs, 1 am also prepared to testify with respect to my findings et City Commission proceedings regarding the proposed ordinance, Sincerely, Andrew Doikart Page 1168 of 2353 Appencflx 1 Page 1169 of 2353 :Appendix 1 Numerical Threshold MunkalItk yvithyonnuiaest011ehment polo r11410ion , qtyverloAl thyq.sligy,1 _ 3,or more establishmonts , _ 401bal , FL 3 or more establishments 10 or more establishments • ' —San Pranoisoo OA '1or more establishments- doronado bA 16 or More establishments Ojai OA 10 or mio”re,eqt,glehments Oallato90 OA *,*. • San Juan tRft CA 6olvmnq OA 6 or more establishments OarrnolLOA P6101n0 Grove kick* *7;Anirif * Sausalito OA Bristol RI • Qi" Prederloktibt,Ath: t5( o or mp,ro establishments c'ork, " Any bustriass that hat) anything similar anywhere requires a special permit 4" Bars all forrnula retell stores and rosleurents and all stores over 8,000 81,, ""Any ettablishrnent substantially Identloal to another restaurant rogardleas of ownership or location, Any establishment with standardized Mena% Ingredients, food preparation, employoo uniforms, Interior dacor, aignago or exterior design, Any typo of retell wavily, Including food aervioe, which is roquIrod to maintain rny of the following; standardized (formule") fray of services or merchandise, trademark, logo, servloo mark, symbol, sign, decor, arohlteolure, layout, uniform, or 8imiler standarelnd feature, Sour: Individual jurisclIctionw (sfity of Miami Beaoh Planning IDeportmont; WM Economic Assoolatos, Inc, ..„„ Page 1170 of 2353 Ater +ix Page 1171 of 2353 1 IIie�A ICI 4�H l�llr .ry ..._.., w.raaewi.e......+. �.t ✓ t riry Quee r Subway :Five Guys it Ca ly; aoi Fall . urger King , MoD nalr'a .�� ...., v ... t�hl ;tr10)rtrary Au ntkAr ne :, ._ Jirnmy's Johns A 8Nv CIn n lbol7 r . ,VVhlt stl .,.� .._ fail Y. h r0.n7 Waffle Ho>xrs _ ._.. _ ... "rim Florton' . _� a....__....... , ,l i It 111, __ _...., . hhc tear M r ket N Noodl s 84 Company Appendix 2 Fast Food Restaurints Chins Godfather's (Pizza l ! Polio I, 000 I .jongle'a 4,ar r o va ......... .... ,v._ . Pi a MLrrphy' "h "k N 66:k Pizza 01401)11...P.911 wh , Il l <rytl .� moAll ter's Dell..__.�... t fibtOk' Baja Fresh , wCeShraaol i n?y� ' e � Br b. e }O� a . chows Grilled Subs Roy ° fri Shake Bha ok ln. Rob r ; ,�...� _._ � ..... . ir1r1alaailr�ll c 11 k trr ry hNbu Air f3on pain r bon-1166'S — f i lw .4,,l1„ dicker i itl : t° l; ourll "fal..11a .. ulu�'carIllc' a. .. „ „W, A: ex Ro et goof f Groin euriitt tole ' �v..,,.:...n..n gabana gap' I<htlrn Page 1172 of 2353 ±tl ver)Ag 6 151 Q i t Nthan'o Hot Do ( rec to r�d VV 0 ricl f iairlt I u bIra's Fresh 11/1exk en rllM � txlI vu it rtr r1? rvita Cosi ,n Perk • h�ra�.rtriil��, • 110. c', f"Ih Ir k ?r reel* blikory,c44 4 .. tinst of t'lic i o Pizza — - PoIlo tr�1 r rarmer t oys .... . kl rooTim Ho !AO's, LI x R tl r., Port �Izat a r)n I tll f h r� hors Ikitelo fro, Grill ,MVIr*ir Snapp fete's h l?,91 <s W8 81demilk Cafe _ Jack's Rums • urger Street 11!111 ' Diann rgar' atoll it 8i Gat rt'rs ,, lretzetrnakbr Tokyo Tokyo iWT1tt•Uk It t� I ° ..,. JoUII1 p •re, Fields Arotio fro1 . aherA ._ M►§ WinnerL. Knit &in Cn3►othwr Sarkis ., T oiMao _ tvlr I Ir eT„u..u,M.M,,. Gold Star nlit Icil .. Arthur irrirloon lnoroiibl i coo, Panda inn (ihln Bo ourrilet fAgo .I.CChJokon xor a J. 1,,,L.peera .C.aI1fornl 1 of Cili a .�A� Chroniyo t aco ., zM ..,, _.w Sub St itloi,.,11 �H�arlottf'� „ T„ Garbanzo Mediterranean n L urw odo PNI1192tae 00 do Gran! �sure°oo, iii6u 1r�ti�a�atry 1:101)1166116ria and w615eltea; i i Economic, Af)000irAtea, rnr,, Page 1173 of 2353 Appendix. 3 Page 1174 of 2353 Appendix 3 bl a Ditiin Restaurants s _E91111.01,119,1 ur r1911,1rin w(Nlurn%or)!!_, 1,Is9r 11,91t st n,P,111,,r N, riikiirj. *k .., Steak tPakitca ► c „g200 � ,,.... f.o��Cic�rrl S1Ikhp�iar� (7O). t ctklto a ,f3. .). w. n�._. �,o�a�1'� i�tora�ii�o� ►���,.(,�i �����,��;�,.....� . , w.,... rt . . . M r xq I � �clI1 u8 (QQ) e,I .� hairs city 1ar_ls►�) t �t1�ti8ia!' . ft -1ll ail grill IL ., i; r111naaw Cunt ttoi►i t ►yIC! ( )t) yBriio 'Tuscan trill ('i'1 a .� , -a ie i ,litor rll S r i l<ltr I n ..( O-O) F tJr�� Ch/Cago Ch/Car Gill (180+) NIA stir um..(1(? ) ... �._ .. Ian 0 t akl ota ca (1$11t _*.,, JALQINialg e Q114 ro a/P onsn, Xo, §tsol l otogAl ). ..0400J driu yorlprIgt Ilias Steakhouse (�`1.. Oharlis Brown's 8tonkhouse 174 Montana MikMike's s (23)„ .. y . idle" tont.i 1v6r111 • .. EJ�ilaa car ►rrtYi�9iialra ►11pa11!M(('t�,,. ,..,. h Maio►,', Bc kifoctri P t L►► ally k,"*:' Qo t�11c k � 1 i►1 i ..i ' f.Q Anthohyp Boafooci..001. MItolloll'u l'il Mrkt (1Jl I�tt�Ntottl ittstor+ (; M�lat►1o's Little Italy_ (49) i Cli 1Ko SLIM _. . . Bravo ►oi Itallana. (49� — . . r . we . j d L1 • tt.1!1%tr h t, �„("i � .0 .e. ..,... . axe 0,J,I /rtl�cany Cati tirL�i.,�'a }.,, _ ...yy _,....halt r' 1'I0(80 Page 1175 of 2353 NEIGHBORS z ce 0 ca ct 69 0 0 V) b.3 Si E2 f2 5 LL 6 0 0 a E. si &4/ 41 - :8 a ,t1 ° a N.' LU U. (") ' o ff al 41 „8 6 U.) t:;J 9 si c) Z5 . 2 6 5 SR 0 02 '6' 0 z 0 0 0 cc 0 2 0 (*) LLI 2 Iv 0 Se 0