Coastal Commission Delays Hotel Laguna's Remodel: Report

LAGUNA BEACH, CA — The Hotel Laguna construction and improvement projects have been halted by the California Coastal Commission after over a year's worth of failure to obtain proper permits and other issues reported this week.

The Coastal Commission District Director found enough reason to halt any further improvements. At the same time, they review the permits and procedures, according to documents received by Patch and reports from Laguna Beach Independent.

The delays will prevent the hotel from having a summer opening for the new restaurant, according to a statement from owner Mo Honarkar. "The Coastal Commission’s decision was expected, and our hope is that the De Novo hearing is scheduled sooner rather than later so we can resume with the Hotel Laguna’s restoration."

Catherine Jurca of the Laguna Beach Historic Preservation Coalition reached out to the Coastal Commission on May 6, saying that they are dismayed by the city's "deficient handling of the Coastal Development Permit and other approvals for the National Register-eligible oceanfront landmark property.

The Hotel Laguna, now owned by Mo Honarkar, was built in the 1880s and was rebuilt today in 1930. It was to see new life under the local businessman, though his work toward improvements and lack of proper permits toward those improvements have been met with friction from the local community.

In early May, Honarkar was forced to stop work on the building's exterior, per a directive from Community Development Director Marc Wiener.

"Typically, you first obtain a use permit for intended uses, and then once approved, you would move on applying for a building permit," Weiner wrote. "However, in this case, you performed the work first without the benefit of a use permit and have not made it clear to the city what new uses are going to be."

Over the summer of 2020, Laguna Beach halted construction twice as they worked with Honarkar on permitting issues. At that time, city manager John Pietig discussed the ongoing issues, saying, "We all want to see the hotel open and a good project there, but setbacks are occurring right now that are unnecessary."