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Saturday, September 7, 2024

Owner and some tenants of Koreatown Plaza are in conflict over liquor license

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A conflict is developing between the landlord, existing tenants, and residents at Koreatown Plaza, one of the major shopping malls in LA’s Koreatown.

The mall is trying to transform the plaza into a complex entertainment space targeting young people, while opposition grows.

According to the Plaza, it is currently preparing to open at least four businesses in the mall. These include a shaved ice shop and cafe at the entrance on the first floor, a restaurant on the second floor, and a restaurant (shabu-shabu) and screen golf on the third floor.

According to the LA Department of City Planning, Young Kim applied for a conditional use permit (CUP) in January to sell alcoholic beverages at Unit 237 (formerly Bauhaus) on the second floor of Koreatown Plaza. The application included a “beer and wine” license and a late-night license until 2 a.m. for the 5064-square-foot restaurant with 185 indoor seats and 28 outdoor patio seats.

The entrance to the screen golf course that will be located on the third floor of Koreatown Plaza. [Sangjin Kim, The Korea Daily]

Some 60 tenant owners and residents are actively opposed to the liquor license for the location (Unit 237), and on March 4, they compiled a petition with 60 signatures and submitted it to the Wilshire Center Koreatown Neighborhood Council (WCKNC), the primary reviewer of CUPs.

“It doesn’t make sense to have people walking around drunk when there are children visiting the plaza. We can’t allow Koreatown Plaza to become a nightlife center,” said a resident who asked to remain anonymous.

“They are not renewing the contracts of the existing businesses to get new businesses,” the resident said, adding, “the businesses that have been part of the mall for almost 40 years are being pushed out.”

On the other hand, GSD’s Steve Kim, who is representing the unit’s CUP, said, “We’re not selling hard liquor, just light beer and wine. It’s a regular restaurant without any entertainment elements like karaoke machines or dance floors, so I don’t understand the opposition.” Currently, a screen golf room is being prepared to open on the third floor of Koreatown Plaza (formerly ABC Plaza).

The 11,320-square-foot venue with 10 private rooms has applied for a “full-line” liquor license, which includes hard liquor, and late-night hours from 7 a.m. to 2 a.m. seven days a week.

Steve Kim questioned whether the residents who mistook the screen golf room for a nightclub might be opposed to the idea as if more bars are coming to the mall.

Kim also said it usually takes six months to a year for approval, depending on the case, and if the opposition is strong enough, the license can be denied.

“It’s not the kind of red-light business that most people think of,” said Young Kim, explaining that screen golf rooms are a business model that’s becoming increasingly popular in Singapore and China, and can be thought of as a private, membership-based indoor golf course.

“If we’re going to run a red-light business in the first place, why not do it in a place where the rent is cheap and it’s on a corner,” Kim said. “There’s nowhere for young people to hang out and enjoy. In order to increase the influx of young people and people of diverse ethnic backgrounds, we need to improve the entertainment.”

In response to the controversy over the refusal of tenant owners to extend their contracts, Young Kim said, “Most of them have renewed their contracts,” adding, “Some tenants who have not renewed their contracts are up to $100,000 in rent arrears. Even if we asked them to pay only 50% of the overdue rent, they refused, so they were unable to renew their contracts.”

“Most of the tenants are welcoming, but some tenants who are in long-term rent arrears are opposed to the plan,” said a manager of Koreatown Plaza.

BY SUAH JANG, JUNHAN PARK    [jang.suah@koreadaily.com]