Why Restaurants Are So Fucked
medium.com
Why Restaurants Are So Fucked
1–10 of 498 posts
Re: Why Restaurants Are So Fucked
#2Döner for $11? I‘ve ever seen one sell for more than €5 and €3.50 seems to be an average price here.
Re: Why Restaurants Are So Fucked
#3Restaurants are fucked but the underlying costs associated with real estate are insane. Where I live, treasured restaurants close at a regular cadence due to rent hikes. Nobody can afford to run a restaurant at the prices being charged here. The end result is a cocktail that is $25 or a pint thats $10. High real estate prices are essentially forcing every commercial space to become a chain restaurant unless they can be just a super busy bar in a controlled neighborhood.
Re: Why Restaurants Are So Fucked
#4Restaurants are fucked but the underlying costs associated with real estate are insane. Where I live, treasured restaurants close at a regular cadence due to rent hikes. Nobody can afford to run a restaurant at the prices being charged here. The end result is a cocktail that is $25 or a pint thats $10. High real estate prices are essentially forcing every commercial space to become a chain restaurant unless they can…
The bizarre thing is that even before the pandemic I've seen popular Bay Area restaurants close down due to huge rent increases and then the spaces are still vacant years later. I don't understand what commercial landlords are thinking?
Re: Why Restaurants Are So Fucked
#5Döner for $11? I‘ve ever seen one sell for more than €5 and €3.50 seems to be an average price here.
It's probably Canadian dollars. At today's exchange rate, that is about €7.
Re: Why Restaurants Are So Fucked
#6Restaurants are fucked but the underlying costs associated with real estate are insane. Where I live, treasured restaurants close at a regular cadence due to rent hikes. Nobody can afford to run a restaurant at the prices being charged here. The end result is a cocktail that is $25 or a pint thats $10. High real estate prices are essentially forcing every commercial space to become a chain restaurant unless they can…
> High real estate prices are essentially forcing every commercial space to become a chain restaurant...
How? Is rent lower for chain restaurants? Do they charge more than non-chain for the same food? And they still have the franchise fees on top of the same costs as the non-chain restaurants. How are chain restaurants surviving and others not?
I'd expect what nradov describes: That the space stays empty.
Re: Why Restaurants Are So Fucked
#7Restaurants are fucked but the underlying costs associated with real estate are insane. Where I live, treasured restaurants close at a regular cadence due to rent hikes. Nobody can afford to run a restaurant at the prices being charged here. The end result is a cocktail that is $25 or a pint thats $10. High real estate prices are essentially forcing every commercial space to become a chain restaurant unless they can…
> High real estate prices are essentially forcing every commercial space to become a chain restaurant... How? Is rent lower for chain restaurants? Do they charge more than non-chain for the same food? And they still have the franchise fees on top of the same costs as the non-chain restaurants. How are chain restaurants surviving and others not? I'd expect what nradov describes: That the space stays empty.
They have way better efficiency on goods and marketing. Your local mcdonalds isn’t advertising on TV. They pay franchise fees but its not a 1:1 cost to benefit. Depending on the size of the chain, they can also negotiate discounts by buying at predictable and high volumes.
Re: Why Restaurants Are So Fucked
#8Döner for $11? I‘ve ever seen one sell for more than €5 and €3.50 seems to be an average price here.
Döner + Coke = 10€
Source: Me in Oslo, 2011
Re: Why Restaurants Are So Fucked
#9Restaurants are fucked but the underlying costs associated with real estate are insane. Where I live, treasured restaurants close at a regular cadence due to rent hikes. Nobody can afford to run a restaurant at the prices being charged here. The end result is a cocktail that is $25 or a pint thats $10. High real estate prices are essentially forcing every commercial space to become a chain restaurant unless they can…
The bizarre thing is that even before the pandemic I've seen popular Bay Area restaurants close down due to huge rent increases and then the spaces are still vacant years later. I don't understand what commercial landlords are thinking?
This happens all the time in Chicago too
Re: Why Restaurants Are So Fucked
#10Döner for $11? I‘ve ever seen one sell for more than €5 and €3.50 seems to be an average price here.
Never been to Kebab Shop? It's like $11 for a wrap.
https://www.thekebabshop.com/