PETITION TO OPPOSE OUTDOOR ENTERTAINMENT & UPHOLD ZONING PROTECTION FOR RESIDENTIAL AREA

TO: Planning Commission RE: Proposed Redevelopment of 503 S. Upper Street (Two Keys Tavern) DATE: April 14, 2026. 

Statement of Opposition: We, the undersigned residents and property owners of the Historic South Hill and surrounding residential areas, formally oppose any request for a Conditional Use Permit or Development Plan that allows for an outdoor seating area or patio at 503 S. Upper Street. Additionally, we oppose outdoor live entertainment and any late-night business hours at this establishment and the approval of any patio additions that would allow for such entertainment and noise.

Our homes (Zoned R-4) are within 100 feet of this property line. We believe the proposed business and property changes are fundamentally incompatible with the intent of B-1 (Neighborhood Business) zoning for the following reasons:

1) Mandatory 100-Foot Buffer: B-1 businesses within 100 feet of a residential zone are not permitted to host outdoor entertainment by right. This space is a critical buffer for our neighborhood’s safety, tranquility, and property values.

2) Potential Violation of Noise Ordinance (Sec. 14-72): Our neighborhood deserves peace and privacy, while the permit application (BLD-CREM-26-00061) lists the site as a "restaurant," public statements by operator Carlo Vaccarezza, and staff, in the Lexington Herald-Leader (2/24/2026, 3/24/2026) and in the KentuckyKernel (3/24/2026) repeatedly state the establishment is intended to operate as a high-capacity late-night destination for college students, with operating hours extending until 2:00 AM. This business model more accurately aligns with the city’s definition of a nightclub, which is not permitted in B-1 zoning or within 100 feet of residences. 

Under the Lexington Noise Ordinance, residents are entitled to protection from disturbances crossing dwelling unit boundaries. This property is surrounded on three sides by residences within 100 feet. A late-night outdoor venue cannot operate without inherently violating our legal right to quiet enjoyment.

We urge the city planning to deny any conditional use permits for outdoor entertainment, to deny any development plans that include a patio, and for building inspection to issue an “order to correct” requiring the property owner to remove the unpermitted (patio) structure and restore the property to its pre-construction condition. We are asking that the city ensure our rights to peace and privacy within our homes by denying any conditional use permits that would allow for nightclub activity. 

3)Incompatibility with B-1 Zoning Intent: Per Article 8 of the Zoning Ordinance, B-1 businesses are meant to "serve the daily needs of surrounding residential neighborhoods." A late-night bar/restaurant with an outdoor patio attracts people from across the city or the university. This creates a "destination" that requires parking, generates higher noise volumes, and increases traffic—none of which are intended for a B-1 neighborhood buffer. This directly opposes the B1 zoning intent by creating a public nuisance through noise, light pollution, and alcohol-related disturbances. 

4)Unjustified Burden on Public Safety Resources: Outdoor entertainment spaces in residential buffer zones place a disproportionate strain on the Lexington Police Department. This "destination use" creates a permanent fiscal burden on the city’s Public Safety budget- relying on taxpayer funds to manage predictable and avoidable noise conflicts and alcohol-related disturbances that divert officers from neighborhood patrols.

Requested Enforcement Actions: Should any indoor entertainment operations be considered for this location, we urgently request the Board of Adjustment to mandate the following as a condition of the permit:

1)Mandatory Structural Soundproofing: Per zoning guidelines for businesses within 100 feet of a residential zone, the developer must install acoustic-grade insulation and sound-dampening materials. Verification of an Acoustical Analysis should be required prior to the issuance of a conditional use permit.

2) Restricted Hours of Operation: Enforce early closing times for all alcohol service to align with the neighborhood’s residential character. 
Total Prohibition of Outdoor Entertainment: A permanent restriction on liquor service, amplified sound, or television monitors in any outdoor area. Additionally, we request imposed restricted hours of operation for any outdoor seating space; however, we strongly oppose any use of a patio as detailed above. 

Sincerely,

The Undersigned Residents of the South Hill Neighborhood.