Is the P&L District underwhelming? 100% serious question

[mean]

Very nice. Any idea how much that ran?

[trailerkid]

Very nice. Any idea how much that ran?

no clue, but i think Cordish spent $2.5M+ to do Vinino.

Red O has a menu by Rick Bayless. the menu looks awesome and relatively affordable. you could drop the same amount at On the Border. if executed...a place like this would've been an absolute homerun in P&L.
http://losangeles.grubstreet.com/2010/0 ... bayle.html

[KC Sporting Life]

Vinino was the cheapest looking 2.5M buildout I've seen.  Red O looks gorgeous, but also looks even more pricey than 2.5M.  I don't think you necessarily have to spend that kind of dough on a buildout to make the place a homerun, but that kind of decor would definitely create a buzz.

[trailerkid]

"Who knew Kansas City was a party destination?"

http://sarahvanslette.wordpress.com/201 ... stination/

[KC Sporting Life]

"Who knew Kansas City was a party destination?"

http://sarahvanslette.wordpress.com/201 ... stination/

Cool.  Just further verification that the target market for the P&L is visitors from out of town.  It definitely serves a valuable purpose in that regard, while us locals pine for more unique, locally owned places to hang out downtown.

[butter_breath]

interesting article:
Power and Light District:

Due to ongoing legal issues, I can only address the following... The
lease was signed November 2007, and the Peachtree opened for business
November 2008. Prior to opening the restaurant, the dress code
controversy was in full swing. The economy was on a spiral downward,
and parking was a joke. All of the above affected the restaurants
performance. Customers who frequented the buffet bluntly stated that
they would never visit the P&L district for various reasons.

While fighting all of the elements to survive daily, the Cordish
Company was busy increasing other charges, such as $4750 per month for
real estate taxes. Cordish increased the monthly cam charges to $4000
per month, in addition to increasing rental payments to $19,800 per
month for a 5000 square foot restaurant upstairs. Initially, when the
upstairs space was rented, Cordish stated all the street level
property was leased and unavailable. Cordish has stated that they
made a substantial investment in the Peachtree, that it may remain in
the city. Simply not true. When the Peachtree opened for business,
Cordish owed the peachtree $135,000 in tenant finish allowance that
was scheduled for payout in 30 days. Cordish escalated the rental
payments to absorb the $135,000 credit and has consistently refused to
provide historical documentation substantiating these charges.

Business downtown was increasing prior to the Jazzy Jeff incident, but
after that incident, the restaurant started to spiral downward. As
the restaurant was struggling, Cordish was increasing the rental
payments. A number of businesses in the P&L district are owned by
Cordish, or either partners with Cordish. Some business located in
the district have not paid lease payments in years and are
supplemented by your tax dollars, to the tune of millions, according
to a high level previous city administrator. James and I requested a
lease reduction, same as other tenants in the district, only after
Cordish refused to submit historical documentation justifying the
charges. Cordish offered an ambiguous amended lease that violated
every right known to man, but we refused the lease and decided to
MOVE.

The bankruptcy was filed to protect our property from Cordish, who
obviously escalated the least to increase the debt and confiscate
property owned by James and I, eventually owning us. January 2009l, I
met with Sharon Sanders Brooks at the restaurant and informed her of
the double standards in the P&L district. A month ago, I wrote a
letter to the Mayor and city council requesting the same
considerations as the other businesses. To date, councilman Ed Fords
assistant and Sharon Sanders Brook, called with any real solution to
the problem, and fully aware of the special deals with the restaurant
owned by Cordish.

After fifteen years of conducting business in the community and
providing gainful employment, the peachtree was served on a silver
platter to Cordish by your elected officials without as much as a
telephone call to the owners. When you cast your vote next year, remember the twenty five jobs lost at Christmas 2010. In the future, when Cordish hosts free concerts in the KC Live block area to lure African Americans to the P&L district to take pictures and purchase their alcohol, remember the twenty five jobs that were lost.

I am not upset about leaving the P&L district; I realize the lease was
going to be structured to only benefit the Cordish company. The
peachtree was never going to earn real revenue in the P&L district.
Each event hosted at the restaurant to earn additional capital,
Cordish complained unless the event was scheduled by them. What I've
shared with you in this letter is only a tip of the iceburg. I am
speaking out because our community deserves better.

I am looking forward to enhancing our operations at the Eastwood
Trafficway to include a la Carte items, refocusing and developing my
brand. I fully understand the difference between "success" and "good
success." In the past, I've had "success." Now I'm seeking "peace"
and "good success." Thank you for your time and for listening;
hopefully someone will learn from my mistakes.


http://blogs.pitch.com/fatcity/2011/01/ ... owners.php

[trailerkid]

Dumb...

[grovester]

yep

[Highlander]

I started getting skeptical at "parking was a joke".

[trailerkid]

I started getting skeptical at "parking was a joke".

I do believe the parts about Cordish being shady in terms of lease negotiations. But that's why you hire a (good) lawyer if you want to get involved with them.

[KC Sporting Life]

How the hell do you get into a lease in the first place that has the ability to fluctuate like that?  The rent may go up if your lease is based on a percentage of sales, but if rent goes up, then so does your revenue.  CAM charges should be constant, and if they were surprised by real estate taxes, they must not have read the lease in the first place. 

Still sad that everything ended that way. 

[trailerkid]

they must not have read the lease in the first place. 

ding, ding, ding.

[chrizow]

from the Pitch comment section on the Peachtree article:

"We made a reservation for 18 people for 8 p.m. on a Sunday night, called the day before and confirmed. Our group was comprised of local and national female jazz and blues artists. Upon arriving, we were told thru a locked door that they had closed for the night because it was "slow". I ran next door to the Bristol and the hostess and manager sprang into action, promptly setting up a large table for us and warmly welcoming our group. After a awesome dinner the ladies sang a impromptu round of songs for the whole restaurant to a appreciative staff and room of astonished diners! It was kinda magical. What a shame the Peachtree was unable to honor our confirmed reservation and money."

[KCPowercat]

There is a reason the owners had to explain 3 closings.

[trailerkid]

There is a reason the owners had to explain 3 closings.

That's the funniest part of the whole thing. The complete and utter lack of self-responsibility for anything that happened to them. Each closing was someone else's fault.

[KC Sporting Life]

from the Pitch comment section on the Peachtree article:

"We made a reservation for 18 people for 8 p.m. on a Sunday night, called the day before and confirmed. Our group was comprised of local and national female jazz and blues artists. Upon arriving, we were told thru a locked door that they had closed for the night because it was "slow". I ran next door to the Bristol and the hostess and manager sprang into action, promptly setting up a large table for us and warmly welcoming our group. After a awesome dinner the ladies sang a impromptu round of songs for the whole restaurant to a appreciative staff and room of astonished diners! It was kinda magical. What a shame the Peachtree was unable to honor our confirmed reservation and money."

Wow.  I wonder if they sent an email to these folks that got screwed.  Kudos to Bristol for stepping up. 

I'm going to reiterate my earlier statement on another thread about how Cordish should require their tenants to run consistent hours and honor their posted hours.  I'm sure they could find a spot in their encyclopedia-like volume of a lease for such a requisite.  Forgive me for going on a rant about this, but what the hell are business owners thinking?  Let's assume that the guest check average at the Peachtree is around $25.  A group of 18, with a reservation and planning on spending some money are probably going to run up a $500-$600 tab.  You're going to turn this down so that you can cut your staff a couple hours early and save 50 or 60 bucks?  Not to mention the negative sentiment that will get spread by the guests that ventured out to your place and were carelessly turned away. 

I like the P&L district, and I really want it to succeed. It's important for downtown KC, but if we all want that and we also want local, independently owned businesses down there,  then we had better approach it professionally.  We are all investing in downtown.  Any business owner that opens up downtown should realize that this is an investment not just for the immediate present, but for the future.  If that means eating a couple bucks early on, on a "slow night", to show that we're in this for the long haul, to create a vibrant urban downtown culture, then so be it.  I don't think alienating customers like what is described in the comment above is acceptable anywhere, but especially in a neighborhood that's developing it can be particularly devastating.  Peachtree probably did have a lot of "hurdles" to overcome in making it work at P&L, but they obviously didn't do themselves any favors.  From what I hear Bristol is doing great, and this comment says as much about their success as it does Peachtree's self-destruction. 

[KCPowercat]

Let's assume that the guest check average at the Peachtree is around $25.  A group of 18, with a reservation and planning on spending some money are probably going to run up a $500-$600 tab.  You're going to turn this down so that you can cut your staff a couple hours early and save 50 or 60 bucks?  Not to mention the negative sentiment that will get spread by the guests that ventured out to your place and were carelessly turned away. 

Totally agree

How much does keeping the lights on and two hourly employees cost for 5 more hours? $50 a day? What is that, 4 diners?

http://downtownkcmo.blogspot.com/

[KC Sporting Life]

Great blog.  You're absolutely right.

Let's break it down even further.  Hypothetical situation:

Let's say that "Restaurant A" serves food till 10pm on a given night.  On one particular night, maybe a Sunday or Monday downtown, it's "slow", and the last reservation shows up at 8:30.  The kitchen urges the server to get the order rung in and then they start to shut down, officially saying they're closed at 9pm.  This allows the service and kitchen staff to get a one hour head start on cleaning up and getting out of there, and they're gone by 10:30, at the same time the last table sat leaves.  But, during that time between 9 and 10pm, let's say another 8 people show up looking for dinner, who are then turned away.  All it would take is to cut your staff back to one server ($3.25 per hr), a bartender ($6 or $7 per hour), a cook (or a salary paid sous chef or kitchen manager, which would not cost against your labor), and a dishwasher ($8-$10 per hour).  There's a manager there, who's on salary, or maybe even the owner, who also doesn't count against payroll in this case.  If you serve those guests, the closing staff probably gets out of there around midnight.  That means that the decision to honor your posted hours cost you an addition 1.5 hours of labor with the staff mentioned above, coming out to an additional $29.  $29.  Seriously, $29.  Even if it cost you an additional 3 hours of labor, you're looking at $60. 

The 8 guests that showed up for a "late" dinner, during the time that's posted on your door as operating hours, will probably spend around $150.  at least.  Probably more depending on the style of the joint.  And this doesn't even figure in the fact that this situation gives said business owner or manager an opportunity to make a new regular, and turn those 8 people into walking billboards for their business.  And then in 6 months, you've got a loyal latenight following. 

This situation happened a lot at the restaurant that used to occupy the space I now lease.  Closing early happened nightly, and I don't remember a single night where no one came in between the time that they closed early, and the time that they were supposed to close.  Every night the bartender or server would regrettably tell disappointed guests they should go down the street to EV.  They always closed early.  Then one day they closed for good. 

[heatherkay]

Thanks for posting this.  We tend to eat late, and we are often walking in 15-20 minutes before closing time.  It makes me a little uneasy because I know what it's like to be wrapping up side work just to be told that you just got a table.  I try to tip well in those circumstances -- because we're not a party of 8.  And we've gotten the "sorry, we closed early" thing a couple of times, which just reinforces my hesitancy.  My husband's position is that they want the money, they want our business, nothing to worry about here.  It's good to hear that some businesses feel that way. 

[KC Sporting Life]

Thanks for posting this.  We tend to eat late, and we are often walking in 15-20 minutes before closing time.  It makes me a little uneasy because I know what it's like to be wrapping up side work just to be told that you just got a table.  I try to tip well in those circumstances -- because we're not a party of 8.  And we've gotten the "sorry, we closed early" thing a couple of times, which just reinforces my hesitancy.  My husband's position is that they want the money, they want our business, nothing to worry about here.  It's good to hear that some businesses feel that way. 

Even if it's just one person, it's still worth it.  And I don't believe you should ever feel bad about coming close to closing time.  As a business owner, I feel that if you want to have staying power and longevity you have to be consistent.  We welcome the late night diners.