To: Members of the Orange City Council
City of Orange, California
From: Samuel Miles
Operator, Diamond Spa
925 E. Lincoln Avenue, Orange, CA 92865
Re: Request to Amend Ordinance Code No. 08-26
Dear Members of the Orange City Council:
I respectfully request that the City Council reconsider Ordinance Code No. 08-26, which temporarily restricts the issuance of new massage spa business licenses in the City of Orange.
My wife and I have legally operated Diamond Spa at 925 E. Lincoln Avenue since 2022, providing massage services as part of our established day spa. Last year, we entered into a five-year lease for this location and currently have approximately four years remaining, with a monthly obligation of nearly $4,000 through August 2030. We also invested approximately $95,000 to purchase and establish our business at this location.
We recently opened a new day spa at 1976 N. Tustin Street at Tustin Square Plaza, which was intended to replace our Lincoln Avenue location. Our plan was to sell the existing Lincoln Avenue business, use the proceeds toward our investment in the new location, and resolve our remaining lease obligations.
Importantly, we had already entered into a purchase agreement for the 925 E. Lincoln Avenue business before Ordinance Code No. 08-26 added the additional 22-month restrictions.
I understand and support the City Council's concern about the number of massage establishments within the City of Orange. I agree that the City has a legitimate interest in regulating the number, location, and operation of these businesses.
However, I respectfully believe the ordinance has an unintended impact on existing, lawful massage spa businesses and their owners. In our case, the business already exists, the location is already operating as a massage spa, and the proposed transaction would not create a new massage spa location. It would simply allow an existing business to be sold and transferred to another qualified owner at the same location.
For this reason, I respectfully ask the City Council to consider an exception to Ordinance Code No. 08-26 allowing the sale and transfer of existing, legally operating massage spa businesses to qualified new owners at their existing locations, subject to all applicable City licensing, zoning, code enforcement, and other requirements.
This exception could be narrowly limited to existing businesses that are legally operating and in good standing. It would preserve the City's goal of limiting new massage spa locations while protecting the legitimate business interests of owners who have made substantial investments and entered into long-term lease obligations.
Such an exception would also allow the City to continue receiving applicable business license fees and other revenues from existing businesses rather than preventing their lawful transfer.
I respectfully ask the City Council to review Ordinance Code No. 08-26 and consider this amendment. I would greatly appreciate the opportunity to discuss our situation and provide documentation regarding our business, lease obligations, investment, and purchase agreement.
To: Members of the Orange City Council
City of Orange, California
From: Samuel Miles
Operator, Diamond Spa
925 E. Lincoln Avenue, Orange, CA 92865
Re: Request to Amend Ordinance Code No. 08-26
Dear Members of the Orange City Council:
I respectfully request that the City Council reconsider Ordinance Code No. 08-26, which temporarily restricts the issuance of new massage spa business licenses in the City of Orange.
My wife and I have legally operated Diamond Spa at 925 E. Lincoln Avenue since 2022, providing massage services as part of our established day spa. Last year, we entered into a five-year lease for this location and currently have approximately four years remaining, with a monthly obligation of nearly $4,000 through August 2030. We also invested approximately $95,000 to purchase and establish our business at this location.
We recently opened a new day spa at 1976 N. Tustin Street at Tustin Square Plaza, which was intended to replace our Lincoln Avenue location. Our plan was to sell the existing Lincoln Avenue business, use the proceeds toward our investment in the new location, and resolve our remaining lease obligations.
Importantly, we had already entered into a purchase agreement for the 925 E. Lincoln Avenue business before Ordinance Code No. 08-26 added the additional 22-month restrictions.
I understand and support the City Council's concern about the number of massage establishments within the City of Orange. I agree that the City has a legitimate interest in regulating the number, location, and operation of these businesses.
However, I respectfully believe the ordinance has an unintended impact on existing, lawful massage spa businesses and their owners. In our case, the business already exists, the location is already operating as a massage spa, and the proposed transaction would not create a new massage spa location. It would simply allow an existing business to be sold and transferred to another qualified owner at the same location.
For this reason, I respectfully ask the City Council to consider an exception to Ordinance Code No. 08-26 allowing the sale and transfer of existing, legally operating massage spa businesses to qualified new owners at their existing locations, subject to all applicable City licensing, zoning, code enforcement, and other requirements.
This exception could be narrowly limited to existing businesses that are legally operating and in good standing. It would preserve the City's goal of limiting new massage spa locations while protecting the legitimate business interests of owners who have made substantial investments and entered into long-term lease obligations.
Such an exception would also allow the City to continue receiving applicable business license fees and other revenues from existing businesses rather than preventing their lawful transfer.
I respectfully ask the City Council to review Ordinance Code No. 08-26 and consider this amendment. I would greatly appreciate the opportunity to discuss our situation and provide documentation regarding our business, lease obligations, investment, and purchase agreement.
Thank you for your time and consideration.
Respectfully,
Samuel Miles