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UPDATED: Royal Hawaiian Shuts Its Doors After 65 Years

The owner cites an oppressive city environment regarding the restaurant's live music permit.

*Updated with fresh quotes from Laguna Beach Planning Commission members Anne Johnson and Norm Grossman*

Laguna Beach Planning Commission members Norm Grossman and Anne Johnson, both of whom are cited below by Royal Hawaiian owner Doug Cole as being partially responsible for his decision to close his restaurant/nightspot, have each just spoken seperately to Laguna Beach Patch.

"It's too bad, because we always hate to lose a business," Johnson tells Laguna Beach Patch. "I did not know they were closing. I had heard they having financial problems. I'm sorry to hear they couldn't make it."

Regarding the noise complaints, Johnson says "we always have problems when residential and commercial areas are contiguous to each other. We had them with the Pottery Place, Mozambique, and Mosun when they first opened, so I was reluctant to let (Royal Hawaiian) have amplified music. They claimed it was just one neighbor who complained, but we had several complaints from the property manager and a couple of tenants. We had complaints from as far away as up the hill and across the street. We have noise ordinances in the city and it’s the Planning Commission’s job to enforce the rules. I’m surprised they didn’t appeal to the city council, because the council has the power to overrule any of our decisions. But they never did that."

“It’s sad to see any business close,” Grossman says. “But I think we make every effort to keep businesses in the city going.”

Grossman denied to Patch that he personally knows any of the people who complained about Royal Hawaiian’s noise levels.

“(Royal Hawaiian) requested the ability to do live music, and we gave it to them, with some conditions. We planned a six-month review, and during that time, we got a report they were in violation of their conditional use permit. What was critical was that it was a legitimate complaint, so we had to put them on notice.”

Grossman agrees with Royal Hawaiian owner Doug Cole's claim that one person did most of the complaining, but he says that the commission also heard from a nearby apartment manager who said that his tenants had complained to him, but were too afraid to come forward and file formal complaints with the city.

 

ORIGINAL STORY:

A jovial crowd of friends and regulars gathered around the bar Sunday night at the Royal Hawaiian, Laguna Beach’s venerable Coast Highway institution since 1947.

But the smiles were deceptive, despite the free beer and flowing . Instead, this was more like a wake—after 65 years, the Royal Hawaiian was closing for good. It served its last meal to paying customers the previous night.

Doug Cole, who bought the restaurant in 2006 from the children of the original owner and put several hundred thousand dollars worth of renovations into the business, blames his decision to shut down the Royal Hawaiian primarily on the Laguna Beach city planning commission, which restricted his live music permit. Bands that used to be able to play until 1 a.m. on busy Friday and Saturday nights were being forced to pull the plug at 11 p.m., which cost Cole the alcohol-and-good-time-loving crowds he needed to stay in business.

“I was losing at least $25,000 a month, and $15,000 of that was because of that one hour between 11 and 12 on Friday and Saturday,” Cole told Laguna Beach Patch Sunday. “I probably could have stayed open if I had that.”

“The loss of revenue hurt us beyond belief,” said General Manager Colleen Oyler. “The rent is very high, and that was a factor as well. The landlord would not budge on the rent.”

Oyler was taking the loss of the Royal Hawaiian pretty hard, her eyes welling up when asked to contemplate her next move.

“I’m OK, I’m good. I’ve got two kids—one going to college—but I always land on my feet. I’m a positive person.”

“The planning commission put me on probation because one person complained about noise,” said Cole. “The trouble is, she personally knows several of the people on the planning commission, so her complaint meant more than anything else. There's lots of cronyism."

Asked to cite who these commission members are, Cole mentions Norm Grossman and Anne Johnson. Laguna Beach Patch attempted to contact Grossman and Johnson via phone and email Sunday night for comment, but they have yet to respond.

“They’re going to say we were violating the noise levels, but we were not,” Cole says. “This business shouldn’t have even needed the music permit. It should have been grandfathered in, because there was live music here before I ever bought it. And there was no evidence there was a sound problem. Just because someone complains to the police doesn’t mean there’s a violation, but they were treating it as if there was. You can’t fix a problem that doesn’t exist.”

Fans of the Royal Hawaiian were throwing back one last round Sunday, and sharing some favorite memories.

“Part of me died when I heard the news it was closing,” said Jon Blanciak. “It’s like Cheers, everybody knows your name, and they treat you like family. There’s a legacy that’s being left behind. Part of Laguna is being taken out.”

Blanciak also took issue with the restaurant’s alleged noise violations.

“I live down the street and I walk here. I get within half a block, and you can’t hear anything. Maybe if the people complaining came in and had a drink, they wouldn’t have anything to complain about.”

Derek Gray, a Royal regular since 1996 who was “shocked and dismayed” upon hearing of the closure, says he’ll always remember the, ummm … interesting effect of the Lapu Lapu.

“One of my neighbors, this beautiful brunette, she and I walked in to the bar, we’re having Lapus, then I began licking her toes. What happened after that I can’t say, but it was a beautiful evening in Lapu Lapu land.”

Ronald Kaufman has been coming to the Hawaiian since 1960, a peak year in tiki bar culture.

“It’s a major loss, and leaves a big empty hole in Laguna Beach restaurant history. I’m going to miss this place, it has more atmosphere than most restaurants do.” 

As the Royal Hawaiian's final night stretched on and the crowd thinned, a reflective Cole was asked what he plans to do next.

"Recover," he said. "And find a job, now that I've lost almost everything I own."

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Patrick Fetzer May 16, 2013 at 01:21 pm
I don't think it was a mistake. The City is leading by example. Keeping sidewalks clean andRead More unbroken from roots....there are LOTS of trees around. Its not there aren't. Besides, who's to say they won't later plant Olive trees or something that won't jack up the sidewalks and take away views!
Stan Jacobs May 16, 2013 at 11:52 am
Laguna changed for the worst when residents who loved Laguna were, over time, displaced by those whoRead More love themselves.
Joanne Sutch May 15, 2013 at 02:11 pm
There is certainly a case, Rich, for buckling sidewalks and safety (which is what City CouncilRead More claimed...along with a $300,000. payout for slip and falls over the past 5 years.) That being said, there are other far less drastic measures that could (and should have been taken years ago). The ficus trees in front of the old persian rug store were not a mistake, they were a request by the new tenants who are trying to "historically" recreate the old building. I'd like to know what trees were "historically" there. They certainly were not New Zealand Christmas trees ( the City's planned on replacement tree.) I object to the City selecting the trees, as there seems to be a "patchwork quilt" effect that is happening. Just like the main entrance to Laguna, we need a new, well thought-out, hammered out tree plan. We also need the City to fund and maintain our trees, which has been sorely lacking (due to budget and lack of any importance being placed on them). I wonder what else we're going to find out re: what other payouts we've been making for other things. (For instance, how much have we paid out for people being hit in the crosswalks? I'll bet that it's a lot more than $300k in 5 years. If not, I'd be pleasantly surprised. ) Perhaps our City officials should be more up front with us about this kind of information, as well as about budget matters. That transparency seems to be missing in the last year or two. If I'm not mistaken, the $ in our capital budget for improving and repair/replacing some of the street end banisters is being re-routed for the beginning funding of the parking garage on Broadway and Forest. Know that more trees are in peril, so, in addition to blogging, everyone please take a moment to express your concerns to each of our council members and our city manager via e-mail or personally. They don't even seem to think that these tree removals deserve to be on the City Council Meeting Agendas (or at least not until the 12th hour). Thanks.
ms.sc. May 14, 2013 at 05:06 am
Wow! There are some hungry, imaginative "sales people" out there! And the ego's behindRead More their "gypsy wagon beliefs" is costly to fools who part with their bank accounts only because of their grief of a loved one has not progressed thru the stages of grief. I wonder what "tonic" is next out of a "psychic's" circus tent? Sick.
El Toro Resident May 14, 2013 at 12:49 am
Thanks Louie, I was just having fun with you.
Louie Wilson May 12, 2013 at 08:01 pm
You guys are a riot. You seem to want to debate me on the subject matter when all I did was complainRead More that the article that Rich wrote is badly written. We're not discussing mediumship; we're discussing bad journalism. Rich doesn't seem to understand why I think what he wrote is unfair. I guess it's his prejudice against the subjects that is blinding him. If an Orange County surgeon left a scalpel in a patient's body, would he write an article about that surgeon and start off by saying: "Well, it's been a bad week for surgeons."?
elizabeth May 10, 2013 at 08:39 am
Ya apasado un mes de la muerte de mi padrastro alberto casique solo espero q la persona q causo suRead More muerte page el abernos quitado a un hombre tan trabajador y respetuoso y alegre estrano mucho llegar y que mediga "todo bien" descansa en paz Alberto.
Eric Garcia April 13, 2013 at 04:59 pm
Hi diana lynn im juniors brother and told me he couldnt log in into the account anymore his numberRead More is 7147243020 thank you
Diana Lynn April 12, 2013 at 02:17 am
Dear Junior, I'm so sorry for your loss. It seems that Armando was a really wonderful person.Read More Everything I've read about him is just awesome. If you are comfortable with contacting me, I know someone that has some information about this tragedy and would like to share what they can with you and his family. Again, I'm so sorry for the loss to your family.
Joanne Sutch April 14, 2013 at 12:35 pm
Everyone, please e-mail all of our council members and city manager with your opinions. Things getRead More changed when their e-mail is flooded. Then, show up at the next City Council and voice your concerns. While your at it, take a look at the downtown plan that is being implemented as we speak, and the trees we'll be losing. There must be a better way!
Joanne Sutch April 13, 2013 at 10:45 pm
It's heartening to hear so many concerned and fiscally responsible Lagunans. I, too, am concernedRead More and would like more time and information before agreeing to dig. Did you know that Councilwoman Iseman has an alternate plan, using the tennis courts as part of the parking. Instead of a 29' parking structure hers would be an 18'foot structure, with additional parking across PCh at the tennis courts. I want to hear more about her plan before committing $38 million+ to this project. As we speak, the 10-year capital plan is being revised to accomodate $5 million for the next 2 years for this project. I would like to know what is being wait-listed for this project. Who suddenly deemed this Laguna's #1 concern? I urge everyone to immediately: 1) go to the next City Council meeting and voice your concerns and 2) e-mail each and every council member and our city manager. Be heard. No offense, but I want more than our Council and City Manager determining such life-changing moves in Laguna. Remember-they are constrained by governmental constrictions (eg: the low-bidder on projects). We have a superior community and deserve top notch planners, builders, etc. As for the people in town, I totally commiserate. However, know that the next 3-5 years will be an absolute nightmare with this work. One of our biggest parking problems nowadays is construction vehicles and also construction workers own private vehicle parking.
Laguna Streets April 9, 2013 at 01:50 am
Mark: There are dozens of alternatives to the automobile, you can find some of them posted atRead More LagunaStreets. There are even more outside the bubble of Laguna, municipalities are adopting alternative mobility plans all over the US and Europe. The resistance to alternative mobility comes from city hall, from community leaders who stubbornly refuse to consider new ideas and acknowledge success in other communities. They don't even listen to professional advice they paid for. I parked my car in the garage in 2006, have not driven it since. I live and work in Laguna and live on "top of the hill", I regularly reach any point in Laguna - most frequently by bicycle, often by scooter or bus. The health benefit from riding a bicycle around Laguna should be obvious.