Give a break to Subway

Is the City Council playing fair with small businesses? The council’s

recent rejection of a Subway sandwich shop for downtown Laguna Beach

begs this question.

The council turned down the franchisee because the downtown

specific plan “discourages formula-based businesses that fail to meet

criteria regarding the quality of unique merchandise, market

saturation, regional draw of destination shoppers, contribution to

resident needs and interior and exterior presentation.”

In other words, Laguna wants to encourage unique, mom-and-pop

style businesses, all in an effort to keep the village character of

the small town.

All well and good.

But in the case of Subway, the franchisee wanted to “de-Subway”

the sandwich shop by offering salads and peanut butter sandwiches in

addition to the regular Subway fare, to give the employees non-Subway

uniforms, and to make the exterior of the shop look un-Subwayesque.

There’s precedence for this: another Subway sandwich shop in

another part of Laguna doesn’t look like your typical Subway. It can

be done.

On a split 2-2 vote, the Subway shop lost the fight as the council

agreed with a city staff recommendation that, despite the

Laguna-style tailoring, the sandwich shop had not shed its

formula-based, fast food roots.

The irony is that there are other formula-based businesses

downtown, such as Baskin-Robbins and Johnny Rockets. Neither of these

businesses look out of place, and in fact they add to the “village”

character by offering affordable food and treats that all can enjoy.

Moreover, the city readily admits that it can’t legislate against

chain stores. What is a chain store if not a formula-based business?

The worst of it is that, in its quest for “diversity,” Laguna may

be marching down a path of favoring upscale shops and restaurants

that even many locals, and certainly many who work in town, can’t

afford to patronize.

Laguna Beach needs to offer locals and tourists a real diversity

of goods and services, and give small businesses -- and customers --

a break.