But this week a Brighton and Hove City Council licensing panel overturned the earlier decision in the wake of evidence that having smokers on the street was causing a worse problem.
The roof terrace can now stay open until 2am when the pub closes.
A series of other conditions were imposed by the panel. The pub must now have door staff on duty on Thursday, Friday and Saturday nights. Its staff must undergo extra staff training.
The owners Gary and Patrick Whelan agreed not to stage any live music.
The panel review was called following a series of complaints about noise from neighbours and investigations by environmental health officers.