We recently reported that Capitol Grocery had begun to move into the former La Paloma Sabanera spot at 405 Capitol Avenue.

Now, sources are telling us that it will have to move back out after permits were denied by the City of Hartford.

According to sources, Capitol Grocery — if it wishes to remain in operation — will have to move back into its former, smaller location a few doors down on the block of Capitol Avenue between Lawrence and Babcock Street.