Entertainment Commission continues Habibi Lounge permit amid noise complaints from adjacent SRO tenants

The San Francisco Entertainment Commission on Dec. 17 voted to continue consideration of Habibi Lounge’s application for a place-of-entertainment (POE) and extended-hours premises (EHP) permit after residents and community groups said the business’s operations have repeatedly disrupted tenants at the nearby Seneca Hotel.

Commission staff told the panel the applicant has drawn six sound complaints since late August and four citations since October, and that one $500 citation remained unpaid in staff materials; the owner told the commission he had paid one citation and would address the remainder. Staff recommended continuing the item so the owner could meet in person with the Tenderloin Housing Clinic (THC) and other stakeholders and provide evidence of outreach and compliance.

Why it matters: The Habibi Lounge site sits about 25 feet from a 200‑unit SRO managed by Tenderloin Housing Clinic; residents and tenant advocates argued that nearby, often-vulnerable tenants require fuller opportunity to review outreach materials and meet the owner in person before a permit is granted.

Residents and tenant organizers urged postponement. “Continuance would allow time for productive engagement between the owner, residents, and businesses to ensure that any proposed permits are balanced, reasonable, and mindful of the neighborhood’s existing challenges,” said Rachel Sims of the Tenderloin Housing Clinic.

Habibi’s general manager, Ayub, told the commission staff and commissioners that the business has worked with inspectors to adjust sound controls and that the team is trying to comply. “We will comply with everybody and, you know, work together to resolve the whole issue,” he said.

Commission discussion focused on outreach and compliance: commissioners asked for proof that outreach letters were delivered to Seneca residents, evidence of corrected sound‑control settings and measurements, and for an in-person meeting between the owner and THC. Staff said outreach letters had been mailed but that some Seneca residents only recently received them; staff also said they would resend the citation payment link and help arrange required reposting of the yellow public notice.

Outcome and next steps: The commission voted to continue the Habibi Lounge POE and EHP applications to the commission’s next hearing and instructed the owner to meet with THC before the rescheduled hearing, provide proof of citation payment, and repost the yellow notice for the required 10 days. Staff reminded the owner that the applicant’s one-time permits expire on Dec. 21 and that compliance will be checked between that date and the next hearing.

The hearing record shows agreement among commissioners that small businesses should succeed if they operate within permit conditions and cooperate with neighbors and staff. The commission set the continued hearing date and asked staff to confirm outstanding outreach and compliance documentation before the matter returns to the dais.