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Hearing video

ZBA Hearing - July 9, 2025

Philadelphia Zoning Board of Adjustment (ZBA)Jul 9, 20256h 49m

this is a very obviously a big commercial corridor and the the restaurant this is the upstairs where

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the hookah lounge generally takes place uh where some live music and entertainment which includes

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sometimes a violinist that walks around and serenades.

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This is at the other direction of that second floor

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where the proposed use is being sought.

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Here's our first floor restaurant and bar.

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And as you can see, actually I'll come.

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So this is a basement and first floor.

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and then you can see at least from right here

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and I'll go to a better view in a moment.

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Zoom out a moment.

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The second floor of the property,

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the stairways come up in the middle.

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There is adequate restroom facilities on that floor

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and this is the layout of that second floor.

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um this is that the first floor that you had uh viewed let me zoom in a little bit more for the

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remainder uh so the tenant is the occupant is a tenant in the lease with a five-year lease and

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some options to renew tggtp hospitality and the um the lease will you know continue and it's

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intended to be extended. We did show, I guess I have a couple different pages that show this is

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the primary page of the lease just showing basic provisions. And here in turn is the actual first

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page where it gets into more. For exemplar purposes, it is signed by all the parties.

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For exemplar purposes, it is signed by all the parties.

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The owner and the tenant, I guess the owner, is compliant in all taxes.

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We posted the property and conducted a neighborhood meeting with proof of mailing.

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At the neighborhood meeting, which took place on May 21st, I'm just going to go back to a

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photograph of the space for you.

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um when we were there on may 21st uh it was a very brief meeting there was very uh very little

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discussion and in fact no questions from from really anyone at the rco which uh we were very

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surprised to see the opposition of four to one um and in this case uh we believe that that the use

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as a smoking lounge would not uh go beyond or create any detriment to the to the um community

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in terms of congestion in public streets, overcrowding of land, impairing air or light

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of neighbors, burdening the public facilities, or impairing adjacent properties, endangering

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public health or safety, or being inconsistent with a comprehensive plan. We believe that the

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use of this business as it is actually tailors to and would be accompanied by the use of a

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smoking lounge in this area. It's already, because it's a legalization, we do actually know that it

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is desired by the clientele, but we also have all fire code violations cleared. The premises is safe.

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This use would not create any more harm to the neighborhood than would generally be expected

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from this type of use. There has been, in terms of security, my client has private security at this

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location from they're closed on Mondays. Every other day of the week, there is at least one

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guard that stays outside at the door. On Friday nights, they maintain one outside, one inside

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during the evening hours of operation. And on Saturdays, they have somebody outdoor from 12

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to 5 p.m., another person from 6 to 2 a.m. And on Saturdays, they have two indoors security

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personnel from 10 p.m. to 2 a.m. Sundays is one person outdoor. Those security officers do pat

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down and want anyone that comes in as just regular practice. The clientele understand that.

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And there have been, as far as my client's knowledge, no direct violations or incidents

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that have happened on premises. There have been situations where the security has had to remove

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someone and then that person out on the street has as you know can we can't control them at that

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point but is this a restaurant or it's a club it's a restaurant and a bar with with lounge so

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the second floor is the smoking restaurant standard don't have security do they great well

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a general restaurant may or may not but because this is also for uh been approved for assembly

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and entertainment as a private club okay all right okay you know we want to make sure that i i just

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You know, again, the point being is that we don't believe that the addition of a smoking

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lounge would create any more harm than would be expected, but we don't even think it would

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create any more harm.

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Yeah, but I mean, that's what I don't understand.

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If you don't think it creates any problem, then you just gave us a whole security layout

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with security guards and things.

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I just don't, I'm confused.

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That is primarily to make sure that the neighborhood feels safe, people feel safe there.

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it's really just a practice that the, and I can have Mr. Schulich explain, it's just something

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that he believes is a little more prudent to have because old city in those evenings can get

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densely packed. There have been some incidents at neighboring properties and other bars and clubs.

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So it's simply just a matter of precaution and being prudent. We do have a special assembly

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activity license. So everything else has been legal, is legal. And this is just an accessory

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use that we believe really complements the existing use. And I was just without a little,

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I was a little taken back when it was an opposition only because when I had asked if there

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were any issues or questions, it was just silence. And if there were concerns about this use,

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it would have been helpful to have learned of them there. And if there are, we would still be

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happy to address them. Mr. Schulich has worked hand in hand with the old city district and

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pretty much cooperated with any requests they've had during his operations and happy to continue

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to do so. So with that said, I do have Mr. Schulich available to raise his hand and join.

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okay mr shulick if you would be so kind as to raise your hand

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and i will um i'm going to stop sharing my screen unless there's thank you

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something else necessary break in as a panel shortly sure thank you

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Break in as a panel of shortly.

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Sure.

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Thank you.

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Hello.

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Hi, sir.

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Could you state your name and spell for the stenographer?

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Sure.

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Wayne, W-A-Y-N-A, Schulich, S-H-U-L-I-C-K.

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Right.

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Do you swear or affirm to tell the truth, the whole truth, and nothing but the truth?

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I do.

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Please proceed.

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Thank you.

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Mr. Schulich, have you had an opportunity to hear what I've stated and testified to the board today?

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Yes, I have.

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Would you agree that the statements I've made are true and correct to the best of your knowledge?

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Yes.

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And would you adopt those statements as your own testimony?

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Yes, I would.

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All right.

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I just want to confirm, can you explain to the board briefly the need for security or why you believe that that's there?

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So basically, like you said, Old City gets a little bit rowdy late at night. And when we first met with the RCO back in 21, part of the agreements that we had was we would do security and we would also do soundproofing in the whole building, which we did.

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Thank you. Thank you. And do you feel that the use as a smoking lounge for hookah sales is complementary to your business?

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A hundred percent. It would affect our business pretty substantially.

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And in fact, during that L&I mistake, those few weeks, it affected it substantially.

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What was the mistake?

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Well, no, I think if I may, I think he's meeting means that the mistake of not having the license that when Ellen, I came and gave him the cease and desist, that several that the time without it was detrimental to the business.

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Can you confirm that, Mr. Shulik?

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Yes.

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All right. And can you confirm for the board that until you found out about the improper use that that you have been paying taxes on all tobacco sales?

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Yes, we have.

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and you have a you have that registered as a business activity with the city of philadelphia

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we do thank you

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you're done sir yes i have no further questions all right questions from the board

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okay um what size place is this how many patrons are we talking about uh it's

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It's 1,200 square feet on each floor.

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Okay.

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Which accommodates about how many?

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About 80 on the first floor and about 130 on the second floor.

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And you said you're open?

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We're open every day but month.

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Six days a week or seven days?

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We're open six days a week, but Saturday and Sunday we're open for brunch.

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okay and so this um and where would this this uh smoking lounge as you're calling it

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where would that be is that going to be a dedicated space within there or will

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people just be able to smoke wherever so so we serve hookah on each floor as people request it

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when you say serve what do you mean so in the city of philadelphia hookah sales at a restaurant

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is almost like a almost like a waitress or waiter service where someone could say i would like

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this type of tobacco or so and the apparatus for hookah is brought to a table with

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different types of tobacco for people and they they use that as a means of enjoyment with the

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with the alcohol or just with their food. Okay. So it would be in the entire space?

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Yes, ma'am. Okay. And so then I guess my question is, what about ventilation and what have you of

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this smoke? Well, as I indicated, we did get approval under the clean air and worker protection

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law. And Mr. Schulich, I guess you can give a little bit more insight into the ventilation

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specifically, but I do know that in order to get that, you had to show certain things about being

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a specialty tobacco establishment. Okay. That is correct. What does that entail? We just had a

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high uh install more duct work and and things like that and efficiency filters okay and and where is

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Okay. And where is this smoke or whatever being emitted to? I mean, where does it go? You said you have a filter, the filter.

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Yeah, it just goes through the duct. So you really don't see any smoke.

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sorry go ahead i'm sorry no it's a recirculating internal air system that filters but

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it's this doesn't turn into you know a chimney where things are bellowing out of it if that's

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what you're uh kind of figuring oh no i'm just i'm just like it would be with with the certain

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um uh where you have restaurants you have certain kinds of cooking and what have you you have to

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ventilation and you have to have it vented somewhere so i'm assuming that we have the same

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kind of thing with this hookup it does not have to vent externally though it just has to be

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circulated and clean okay and we have a permit for that a clean air permit for that okay all right

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Thank you.

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I have a question.

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So what was the major opposition you think that from the neighbors in RCO?

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So respectfully, I've worked with the old city district and I understand that, you know, there's a lot of businesses going on in the area.

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I don't want to purport to put words in their mouth because I didn't get a lot of feedback.

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But I do know that we've received a couple of emails where there were alleged complaints about different behaviors.

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But when we got down to the to the facts of each specific one, it was not really attributable to to to to market.

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There are things that go on in Old City often.

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And I think that there is a little bit of a concern because of the fact that this this is a club that has patrons outside and people come and go.

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So it just seems as though it was not. Honestly, I'm kind of at a lack of why adding the smoking component would be that much that detrimental to it or harm the neighborhood at all.

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So I don't really have a clear understanding of what objective.

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If the hookah wasn't there, there'd be less smoking. I mean, less people. He already said when they took two weeks, he didn't have as much business, right?

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Yeah, that may be the case, but the use of hookah would draw people in a standard capacity. I don't think that adding hookah here creates anything more detrimental than what would be under any normal hookah situation.

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And that being the standard, is that will the use of a hookah lounge and the proposed use create more detriment than would be expected from that use?

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More detriment than a normal restaurant.

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no more detriment than a normal restaurant with a smoking lounge okay is there also alcohol served

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oh yes it is a is a bar and private club it's a bar and

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all right okay other questions from the board sure um so will the hookah be served on both

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floors or just the second floor oh it could be served on both yes so there are going to

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to be food served on the first floor and and with the hookah as well yes okay and and and that is

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apparently uh you know individual preferences but some people enjoy that with a meal or so

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and respectfully if that's not you know if someone is is uh sensitive to smoke they probably would

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not uh you know uh patron the bar but there are people who it does uh serve okay there is there

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outside dining there is not uh i mr shula do you want to just specify and clarify that there's no

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outdoor dining there is an outside patio in the back that seats about 16 people i'm sorry i did

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i i didn't mean to ignore that i thought you meant like out front and would people be sitting

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out front of the on market street no but in the back of the building there is a patio and the rear

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of the building is surrounded on all sides by other buildings it is not open to the public

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IN ANY WAY. QUESTIONS OR COMMENTS FROM OUR ATTORNEY?

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YEAH, I'M A LITTLE BIT CONFUSED JUST ABOUT A COUPLE OF THINGS.

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SO THE REFUSAL ADDS SMOKING LOUNGE USE. THE PRIOR APPROVAL FOR ASSEMBLY AND ENTERTAINMENT

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and a restaurant were basement and first floor only. So is the smoking lounge being added to the

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first and second floor? Because the second floor was not previously part of the restaurant,

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at least according to the notes on the refusal. So the refusal is, and I guess in terms of accuracy,

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So the refusal is, and I guess in terms of accuracy, it is missing one of the applications.

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We filed two applications over the last few years.

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We've received one for a special exception, sit-down restaurant with accessory assembly and entertainment, occasional DJ from basement through first floor in an existing structure, no sign on the application.

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That was ZP 2021-002777.

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And then shortly thereafter, a permit was issued for the extension of an existing sit-down restaurant to the second floor to include assembly and entertainment, nightclubs, and private club in the existing structure.

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That was on February 2nd of 22 at ZP 2021-012171.

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That didn't require another special exception, or it did?

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i believe we came back through uh this board on these on okay okay okay so so okay so the restaurant

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use and assembly entertainment were already extended to the second floor um but you're

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seeking the the smoking lounge for the first and second floor only is that correct or does that

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include the basement as well no first and second floor only okay my other question is the lease

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just and maybe there's an updated version but the lease references the first first floor and

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lower floor doesn't say anything about use of the tenant by this of the second floor

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i will double check that but i can ask mr shulick mr shulick can you tell the board whether or not

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you have the rights and lease of the second floor at this time we do i respectfully i maybe i didn't

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double check that but i am confident that he does have access he has already renovated it and it is

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already operating in as a restaurant at the very least okay all right thank you thank you

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your comments from the virtual audience

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don't see any hands raised mr chair planning commission amy boyd with the planning commission

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the comprehensive plan recommends no change to the existing zoning of cmx3 commercial mixed use

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The appellant had demonstrated that the proposed use will not cause such

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eventual impacts beyond what might be reasonably expected.

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The Planning Commission recommends that the Zoning Board grant their

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question special exception for smoking lounge.

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Justin, I'm going to hold this until next Wednesday.

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I'm going to vote on it at 2 o'clock.

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