Los Alamitos City Council denied an appeal of a Seal Beach woman who wished to open a pawnbroker/secondhand shop in town.
Lori Craven-Doss had her application for a Conditional Use Permit denied by the Planning Commission on Oct. 11. Craven-Doss filed the appeal on Nov. 1, according to a staff report.
A public hearing commenced at the council’s Dec. 6 meeting with no one speaking on the item. To give the council time to review the project, the hearing was continued to the Jan. 3 meeting.
Craven-Doss was trying to open Katella Collateral Lenders at the corner of Katella and Walnut.
Community Development Director Steven Mendoza said the application was denied by the commission because of its location being close to both Oak Middle School and The Youth Center as well as unnamed safety concerns.
The proposed business also has no buffer zone with residential properties. Mendoza said nothing on the appeal application had changed.
Craven-Doss, who owns a similar facility in Rosemead where she has had few problems, said she wants to open a business closer to home. She told the council she has invested around $30,000 in getting the business open and hasn’t been told of the safety concerns.
“Our hours are 9 a.m. to 6 p.m. Monday-Saturday and it’s a low traffic business,” Craven-Doss said. “Pawn shops are thought of in a negative light but we want to provide a clean, inviting atmosphere.”
Craven-Doss said she believed it was the pawnshop stigma that stood in the way of approval. Her business model is described as a “high-end alternative to the stereotypical pawn shop … providing an upscale facility with brand name merchandise and discreet and private lending.”
The proposed floor plan included wrought iron security entrance cages at both entrances to the shop, allowing for controlled access through a buzzer system operated by the staff. Chris Musgrave, a business associate, offered to have the Katella Commercial Lenders undergo a 12-month probationary period with the CUP to ensure there are no problems.
“People with a problem with pawn shops have never been inside one,” Musgrave said.
Craven-Doss said the American Legion Hall, which serves alcohol, is about 200 feet from both the school and the center and the city has no problems. Her facility would be about 700 feet from both.
Councilmember Gerri Graham-Mejia was in favor of approving the appeal, saying she had more concerns with the Legion Hall nearby than a commercial lender.
Resident Dean Grose said if the council approved the appeal and Craven-Doss decided to sell the business, it could have repercussions.
“The decision you make will stay with the property,” Grose said.
Musgrave said any new proprietor would have to take out bonds and go through the same procedures they did to open the business. There are no intentions of relinquishing the business, Musgrave said.
Councilmember Marilynn Poe said the concern was the site selected. The city has several vacant storefronts that she said she felt would be better suited for such a business, considering there was no buffer zone between it and a residential area. Poe made the motion, with Mayor Pro Tem Troy Edgar seconding, to deny the appeal. Mejia made a substitute motion, with Councilmember Warren Kusumoto seconding, to overturn the appeal on the suggested 12-month probationary basis. The substitute motion failed by a 3-2 vote with Poe’s original motion approved by a 3-2 vote.
