Quote:
Originally Posted by DenverInfill
Agreed. It's the "patio umbrella table" theory of urban revitalization.
I just checked, there are ELEVEN more food/beverage establishments that haven't opened yet that will have direct ground-floor exposure to the plaza. Two in the new wing buildings and nine in the historic station. I know the two in the wing buildings will definitely have patio space on the plaza. I'm not sure if all of the nine in the historic station will, but at least four of the main restaurants will for sure. In my quick Google Earth measuring estimation, approximately 700 linear feet of Wynkoop Plaza frontage will be occupied by outdoor dining spaces.
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There will this brief explosion of eateries then perhaps 50% or more will close within 3 years. The question, of course, is the cost of doing business there, which includes rent.
I know a few people in the restaurant business who all basically agree that rent costs cannot exceed 10-15% of business gross. For example, a $500k gross restaurant needs to keep rent expenditures under $75k per year (15%). For 3000 sq/ft (including kitchen) something around $25/ft sq max. This includes amortizing any improvement costs. Of course, poor ambience, bad food, and, mismanagement are over and above these costs.
I suspect perhaps 2 or 3 stable restaurants will emerge that will offer medium prices.
Right now everyone is the romance phase, which, is natural.