Brewing Co. threatens to sue city

Newport Beach officials may again have to rethink the best way to address complaints about the Newport Beach Brewing Co. — and the impact a popular restaurant and bar has on residential neighbors — now that the brewing company is threatening a lawsuit over changes the city made to its operating conditions.

The issue was sparked by Cannery Village residents complaining about brewing company patrons being noisy, fighting, urinating in the parking lot, and even committing vandalism around the neighborhood. What to do has been debated for months by the planning commission and then the City Council.

“It’s been a series of complaints over a number of years regarding that,” said City Councilman Michael Henn, whose district includes the Newport Beach Brewing Co.

The council tried to answer the concerns in March by cutting off the business’ liquor sales at 11 p.m., two hours before closing, on Friday and Saturday. But that decision had to be revisited after the city learned it hadn’t given proper public notice of the meeting.

Finally, in August the council opted not to limit liquor sales, but to require the brew pub to provide more security for its parking lot, report detailed information about food and alcohol sales, and come back to the planning commission in a year to see how things have gone in the neighborhood. But one other provision has the brewery considering legal options: Prior to 5 p.m. each day, the business can only open 1,500 square feet of its space to customers.

The space limitation was originally set by the California Coastal Commission in 1993 as a way to ensure more parking in the area for beach visitors, but for years it was interpreted to apply during the week.

Now the council is saying it is meant to apply on weekends also.

“I don’t know that it helps resolve some of the issues [raised by neighbors],” Henn said. “The issue in front of us was they need to comply with the terms of their use permit It was my view that they were not.”

Attempts to reach Newport Beach Brewing Co. general manager Jerry Kolbly and the company’s attorney Stephen Miles on Monday were unsuccessful. Brewing company property owner S & A Properties told the city in an Aug. 9 letter enforcing the space limitation daily would cause “a substantial impairment” to the business.

The City Council will talk behind closed doors today about a possible lawsuit, which city officials said was mentioned last week by Miles.

ALICIA ROBINSON may be reached at (714) 966-4626 or at alicia.robinson@latimes.com.