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A European restaurant won't be able to sell booze over fears about the noise punters might make.
Gabriela's Bar and restaurant is within a former plumbing supplies store on an industrial area in Napier Road, Gillingham.
Owner John Paul Canilho Panayi had applied to Medway Council in a bid to sell alcohol on site between 10am and 10.30pm every day.
A European deli/supermarket, called Taste of Europe, is in the same building.
Kent Police raised concerns about the bid due to how close the restaurant is to neighbouring properties, particularly as Mr Panayi had wanted outdoor seating to be included within the permission.
Their suggestions to reduce the impact of noise included closing the outside area early and putting up signs reminding punters to keep the noise down.
The head teacher of Napier Primary School, Ciaran Mc Cann, joined a number of residents in opposing the application.
He wrote: "We serve a deprived community, a lot of our children have been in families or witnessed incidents regarding alcohol abuse and as a school and a large number of our families will have to commute past these premises each day."
During a meeting of the council's licensing hearing panel yesterday morning, neighbours said they had already experienced issues with late night noise disturbance since the restaurant opened six months ago after temporary licences for events had been granted.
Mr Panayi said he wanted to work with residents and offered to reduce his operating hours.
He said: "I know the neighbours are scared because we put "bar" on it, they think there's going to be a load of drunks and that's not what we're about.
"We're about trying to work with the neighbours and trying to create something new into Gillingham - that's all we are trying to do."
He also said it was not their intention to allow people to buy alcohol from the supermarket to then drink in the restaurant.
Councillors rejected the proposal to allow alcohol sales in Gabriela's, but the supermarket will be able to sell booze between 10am and 9pm.