Butter & Crumble Abandons Union Street Expansion After Hidden Zoning、Landlord Issues

After nearly a year of planning, baker Sophie Smith shelved plans for a cake cafe at 301 Union St., citing surprise zoning and structural hurdles discovered post-lease signing. The 1,800-square-foot space, split into commercial and residential zones, would need costly renovations, including exits and a sprinkler system, to comply.

Former tenant Heidi Knodle, who ran a frame shop there from 2014 until 2024, had repeatedly warned neighbors to connect her with incoming tenants. She cited chronic landlord issues, including water damage, electrical problems, and a 2016 ‘fake wall’ erected to hide combined space during city inspections. Though the wall vanished months later, the city never flagged the discrepancy.

Smith, who engaged multiple city departments and Supervisor Danny Sauter to navigate compliance, said she felt blindsided. Landlords, represented by Structure Properties, said their team only learned of past violations after Smith signed, and pursued legalization without success. Knodle places primary blame on the landlord, calling their actions deliberate. Smith added that while no one party is solely to blame, the city’s reactive enforcement model lets issues slip through.