Elena's on Orange won't sell alcohol, adds seats after settlement

Elena's on Orange on Orange Street in New Haven.

NEW HAVEN — When Elena Grewal first pitched opening Elena's on Orange, an ice cream store focused on soft serve, she envisioned offering beer and wine alongside sundaes as a way to stay afloat during the winter months.

But a court settlement resolving a lawsuit two neighbors filed against the business prevents Grewal from doing so, while allowing her to increase seating at her 831 Orange St. shop, which, with the onset of warmer weather, often has seen more customers than tables.

Elena's on Orange opened last fall despite the ongoing legal challenge, which Mary Lou and John DiPaola, who live next-door to the business, filed in March 2022.

The DiPaolas claimed the New Haven Board of Zoning Appeals was wrong to approve a use variance for Elena's on Orange, alleging Grewal failed to prove she would face "exceptional difficulty and unique hardship" without it.

The variance would have granted Grewal more seating and the possibility of alcohol service.

Despite the lawsuit, Elena's on Orange was able to open its doors – liquor-free and with limited seating – because the property's pervious business, Ayah-H, was a convenience store with food service. Grewal therefore could operate the site under that same use – in this case, as an ice cream counter that also sold some miscellaneous everyday items, from pasta to toothbrushes.

Meanwhile, the DiPaolas’ lawsuit wound its way through court – until last month, when they filed a motion to withdraw their appeal after reaching a settlement with Grewal, according to court documents.

Under the settlement, Grewal can increase her seating capacity to 20 indoor seats and 20 outdoor seats. The agreement precludes her from serving alcohol on site or hosting outdoor music events, although she may host musicians inside.

"I think it was a fair settlement in that the neighbors didn't want the service of alcohol but they had no objection to the service of ice cream, and the zoning laws as they were written didn't even allow that," said Stephen Bellis, an attorney representing the DiPaolas. "I think it was a fair compromise."

He pointed out that, when Grewal presented the project, other residents shared concerns about alcohol service, noting the store's proximity to Wilbur Cross High School. (Even as it drew some pushback, Grewal's proposal also won plenty of support, according to reports from the New Haven Independent.)

Other businesses in the area do serve alcohol, however, including Caffe Bravo, an Italian restaurant one block from Elena's on Orange. John DiPaola previously owned Caffe Bravo, although according to Bellis, he no longer does.

Bellis contended Caffe Bravo's alcohol service differed from Grewal's proposal because it was "in an enclosed space" and because a restaurant "usually serves alcohol, and an ice cream place generally doesn't."

The prospect of competition from a nearby business was never a consideration, he said.

As for Grewal, she said she was happy with how the community has responded to her ice cream store so far.

"We’re really excited about how the store's doing, and to be bringing joy and ice cream to the neighborhood, and that's what I’m focused on right now," she said. "We’ve had lines out the door, so it's definitely good problems of accommodating demand at the moment."

In the months since its opening, the business, which focuses on high-quality vanilla and chocolate soft serve, also has experimented with seasonal flavors such as mango, strawberry and – its latest – pistachio.

Asked how the business did during the winter months, Grewal said it was slower.

"We will need to figure out what our plan is for the winter going forward," she said.

In the meantime, Grewal is focused on more immediate problems: finding a new general manager.

"We are looking for a manager to start in the fall, and we’d like someone who can take us to the next level," she said. "… Someone who wants to spend their life dedicated to ice cream."

[email protected]