Friday, January 12, 2024

"The brief life of The Gavel Pub, Edmonton's attempt at a courthouse-themed bar"/ "Missing your favourite lunch spot? How food courts are emerging from the pandemic"

Dec. 30, 2022 "The brief life of The Gavel Pub, Edmonton's attempt at a courthouse-themed bar": Today I found this article by Jonny Wakefield in the Edmonton Journal and MSN.com:


For those returning to Edmonton’s court precinct after a pandemic-induced hiatus, The Gavel Pub is something of a mystery — a judicial-themed bar, just across the street from the courthouse, that either never opened or closed for good.

Kelly Savage is convinced that, had timing been on her side, the little pub would have been a hit.

“I loved it, instantly,” she said, recalling her husband Vern Savage’s suggestion to embrace its courthouse-adjacent location. “The whole interior of the bar was based off of court or legal (terms), including the menu. 

We had signs up (above the bar) saying ‘Queen’s Bench.’ 

We couldn’t have a stage, so we thought, you know, we’ll put some railings up there and call it the holding cell.”

Kelly Savage had managed several Edmonton drinking establishments and found an inexpensive option for opening her own place in the old site of Bohemia, a nightclub and music venue that closed in the early days of the pandemic.

Savage envisioned The Gavel as a courthouse-adjacent watering hole where lawyers, judges and even accused could enjoy law-themed bar fare (at 1980s prices) in a colourful atmosphere replete with local news clippings and mannequins dressed in judicial robes. 

The menu and decor blended legal Canadianisms (duty counsel french fries, for example), with American media like People’s Court and Judge Judy (where the judges actually use gavels, unlike their Canadian cousins).

After signing a lease in September 2020, Savage and her husband hired contractors to begin renovations, brightening up the “gothic” interior left over by Bohemia. 

A menu was drawn up with items like drunk tank dry ribs, actus reus mozzarella sticks and attorney general kubasa (all available for under $7). Savage sought a painter who could make the interior look like a marble hall of justice but never found one who could match her vision.

‘People just didn’t know we were there’

Savage said that at the time she and her husband signed the lease, COVID case counts were low and many were confident the virus was on its way out. They opened on Nov. 5, 2020, but repeatedly had to curtail operations due to public health restrictions.

The fact that much of the courthouse’s foot traffic had moved online didn’t help.

“People just didn’t know we were there,” said Savage. “I had my husband out there dressed as a convict on the street. And a judge as well, you know, promoting us.”

Still, the pub managed a few regulars from nearby law offices, and the occasional person attending the courthouse for a case or to pay a fine. 

But it wasn’t enough to make the business work, and COVID relief funds weren’t available because the pub opened during the pandemic. They closed for good on April 9, 2021, and continue to look for a buyer.

Savage doesn’t regret opening the bar, only the timing. She’s convinced the courthouse bar is still a niche that needs filling.

“I honestly believe that if somebody keeps the name, whoever buys it, if they keep the name, they (can) make a go of that,” she said.

jwakefield@postmedia.com

The brief life of The Gavel Pub, Edmonton's attempt at a courthouse-themed bar (msn.com)


My opinion: The Gavel bar sounds interesting.

I thought this was a bad and stupid decision to open a restaurant during the pandemic because:

1. There were restrictions like restaurants can only sell take-out or dine- in at very limited capacity.

2. The restaurants that are opened before the pandemic are already struggling.  They're closed either temporarily or permanently.

3. There wasn't a vaccine until 2021.

4. There are over 30 stores and restaurants that closed down in City Centre mall (that's 2 blocks away) in 2020- 2021.

If you go to ATB Place, there are like 5 restaurants that closed down.


I know hindsight is 20/ 20.  However, in March 2020, when everything was closed down, I was looking for a work from home job constantly on the internet.

I didn't apply to any restaurants at all.

I was temporarily laid off from my Hotel Restaurant job and the Soup Place #2.

When the fall 2020 came, I called my boss at Soup Place #2 and asked if she planned on opening up.  She said no, because she has visited there and the other restaurants there that are open aren't really making any money.

I like working at the restaurant industry, but I had to get a job either work from home or a call centre. 


This is my Dec. 2021 blog post:

grey issues (Part 1)/ Justin Berry/ intervention/ abortions


May 6, 2021 Applying for jobs at companies that aren't going very well: 

Sears: In 2015, I was working part-time at my 1st restaurant job, and I was looking for a 2nd job.  I looked into Sears.  For the last 5 years, I have been reading the business section of the newspaper and they're all about locations closing and layoffs.  Do you still want to apply to this company? 

I didn't, because I liked working at restaurants more.

New restaurants: I found this article "Restaurant Profitability and Failure Rates: What You Need to Know" by Rory Crawford in FSR magazine (Full Service Restaurant).

"The statistics aren’t pretty. Sixty percent of restaurants don’t make it past their first year and 80 percent go out of business within five years."

I have applied and interviewed at 6 restaurants in 2018-2019, and they have closed down within 2 years.  Those years weren't really good for me, and I needed a job and I was willing to work at a place where there was a high chance I didn't see the restaurant lasting.


Tracy's blog: grey issues (Part 1)/ Justin Berry/ intervention/ abortions (badcb.blogspot.com)


Feb. 17, 2023: The above blog post is a news article about a restaurants before the pandemic and there is a high risk of restaurants closing down.

I also wrote about my first hand experience of applying to restaurants that closed down within the first 2 years before the pandemic.



Feb. 24, 2023 Start side hustles: It's fine if you start a side hustle during the pandemic.  There is less risk and money put into starting one.  


Here are my Feb. 2023 blog posts:


"Millennial Money: 5 steps to level up your side hustle"/ "Reaching financial success through a side hustle"


Tracy's blog: "Millennial Money: 5 steps to level up your side hustle"/ "Reaching financial success through a side hustle" (badcb.blogspot.com)


"Pandemic spurs entrepreneurial boom in Canada: Poll"/ "Canadians seeking side hustles amid cooling jobs market: Nextdoor CEO"


Tracy's blog: "Pandemic spurs entrepreneurial boom in Canada: Poll"/ "Canadians seeking side hustles amid cooling jobs market: Nextdoor CEO" (badcb.blogspot.com)


"The best side hustles for earning extra money with little time"/ "How a little hustling on the side can help solve your budget woes as rates and inflation rise"


Tracy's blog: "The best side hustles for earning extra money with little time"/ "How a little hustling on the side can help solve your budget woes as rates and inflation rise" (badcb.blogspot.com)


Jan. 22, 2023 "Missing your favourite lunch spot? How food courts are emerging from the pandemic": Today I found this article by Tara Deschamps on BNN Bloomberg:


As workers in Toronto's Financial District scurry through the Brookfield Place food court on their lunch breaks, the darkened Starbucks at the space's far end looms large.

The coffee shop's stainless steel coffee machines have sat lifeless and its shelves empty since the COVID-19 pandemic pushed the building's denizens to work from home. Adjacent to the Starbucks, a closed Marché's is boarded up, but lines snake in front of McDonald's and Jimmy The Greek, and the building's property owner boasts of rising sales.

The scene is a sign of the crossroads at which food courts have found themselves since the pandemic upended work and shopping habits and stubbornly high inflation and labour shortages began rankling consumers. 

Commercial landlords say they are slowly watching demand for their offerings tick upwards again, although the must still contend with vacancies from tenants that fled during COVID-19 shutdowns and with lower foot traffic due to fewer people in downtown cores amid the rise of remote and hybrid work. 

"There's no doubt there's an immense amount of change that's taking place," said Casdin Parr, vice-president of commercial property manager JLL's retail advisory services.

For Brookfield Place, that includes Marché Movenpick ending Canadian operations and seeking creditor protection in 2020, and Starbucks. The coffee company says that location remains temporarily closed but it would not say when it might reopen.

Andrew Brent, a spokesperson for Brookfield Place's owner Brookfield Properties, said his company is confident both spaces will be reactivated because "food court traffic and sales have increased steadily and continue to climb."

How quickly that growth happens largely depends on how frequently people work from the office. After many desk jobs went fully remote in 2020, the return looks different from workplace to workplace – some employees are in the office full time, others for only part of the week, and some have stayed fully remote. 

As a result, office footprints are shrinking: the national office vacancy rate ticked up to 17.1 per cent in the most recent quarter, the weakest quarter of 2022 and an increase from 16.4 per cent in the two quarters before, commercial real estate firm CBRE said.

Calgary had the highest vacancy rate of Canada's major cities at 30 per cent, while Ottawa had the lowest at 11.2 per cent.

"But while there's less captive audience (at food courts), the dollars being spent haven't been changed to the degree you would expect," said Alex Edmison, a senior vice-president at CBRE.

He believes food court sales are below pre-pandemic levels, but have not completely withered because buildings in prominent locations are starting to draw people once more.

But the gaps left by those who aren't returning as quickly and the restaurants that have already fled are putting pressure on landlords and commercial realtors.

"You have to be more competitive," said Edmison. "We have to try new things, we have to fight harder for market share."

The first step in that fight has often been attracting tenants with fewer locations but a strong local brand that can draw in customers.

Mean Bao, Patties Express, Le Gourmand and KoHa Pacific Kitchen, for example, have all been added to Toronto food courts since the start of the pandemic, while Hurry Curry, Lava Grill and Stuffies Pastries will call Market Mall in Calgary home.


Others are looking beyond the tenant mix to develop a new look and feel.

At the Bay Adelaide Centre food court in Toronto, the typical lineup of quick-serve restaurants huddled around the perimeter of a dining space is gone. Now, sleek wood tables and black chairs fill pockets carved out for dining or working beside spaces promising new options on the way, such as the salad and sandwich shop Pumpernickel's and Asian restaurant Zen Kyoto.

"Many of the landlords are really looking at this type of space much differently than they may have in the past," Parr said.

"There is a place for the traditional food court ... but what I think we're going to start to see a lot more of going forward is a food experience that's driven by ... the wants and needs of the office worker."

Local restaurateurs serving dishes with higher-quality ingredients are at the heart of those wants and needs along with food halls featuring a mix of artisanal restaurants marketed so diners feel there is something to please every palate, Parr said.

A short stroll away from the Bay Adelaide Centre, that strategy is at play in the Eaton Centre, where a Richtree Natural Market is being ripped out, said Sal Iacono, Cadillac Fairview’s executive vice-president of operations. 

Oliver and Bonacini will transform the 19,000-square-foot space into the Queen's Cross Food Hall with 10 brands including Le Petit Cornichon, Captain Neon Sushi + Bowls and Curryosity.

Iacono's goal is to create "an elevated but not unapproachable experience.”

Finance worker Lina Tong will be happy to soon have another option for lunch.

"So many of the places I ate at before COVID are gone and it’s picking up, but it’s not what it used to be," she said, as she tucked into a meal from Mean Bao's Bay Adelaide Centre outpost.

"Lunch is different when the spots you’re used to close, but I guess good things don’t always last forever.”

This report by The Canadian Press was first published Jan. 22, 2023.

Missing your favourite lunch spot? How food courts are emerging from the pandemic - BNN Bloomberg


Jan. 10, 2024 "Popular Edmonton restaurant closes doors due to rising costs":

Today I found this article by Adam Ziccarelli on CityNews: 


Tucked on the side of a busy 124 Street near downtown Edmonton used to be home to one of the city’s most popular chicken stops. But that’s no longer the case as Northern Chicken has suddenly closed their doors to this location. 

According to the association, inflation is one of the main issues for restaurants in 2024. With an increase in costs, restaurants may have issues with increased rent, less staff, higher food costs, and fewer people going out. And for restaurants that have a liquor license, the new federal liquor tax is just an extra point on a long list of issues.

https://edmonton.citynews.ca/2024/01/10/popular-edmonton-restaurant-closes-doors-due-to-rising-costs/


This week's theme is about working at restaurants:

"The pandemic is changing how restaurants do business — and it might be for good"/ "A global ghost-kitchen experiment is growing out of a Vancouver parking empire"





"Coffee shops are raising prices as beans become more costly, workers demand higher wages"/ "Restaurant owners worried about menu inflation, report finds"




My week: 



Mon. Jan. 8, 2024 "Calgary to see payoff this year from incentives to convert aging offices into new homes": Today I found this article by Chris Varcoe in the Calgary Herald.  This is good news.  However, there were some negative comments:



Jan. 10, 2024 "Halle Berry pays tribute to 'X-Men' co-star Adan Canto: 'My dear sweet friend'": Today I found this article by Edward Segarra on Yahoo:

Halle Berry is paying tribute to her co-star Adan Canto, a Mexican actor best known for his roles in "Designated Survivor" and the superhero drama "X-Men: Days of Future Past."

Canto died Monday after succumbing to appendiceal cancer, the actor's publicist Jennifer Allen confirmed to USA TODAY in an emailed statement Tuesday. He was 42.

Most recently, Canto starred as Arman Morales on the Fox crime drama "The Cleaning Lady."

“The Cleaning Lady" is currently filming its third season. Canto was unable to participate in the production due to his illness, but he was hoping to rejoin later in the season.

https://ca.yahoo.com/news/adan-canto-designated-survivor-x-212824322.html

My opinion: I was shocked and saddened that he died.  I didn't know he was sick.  I usually don't read too much about celebrities.  I love him on The Cleaning Lady.  He was hot in the tall, dark, and handsome way.





Fri. Jan. 5, 2023 Board game Night: There was Trevor, Nathan and I.  Then Janet came.


Castle Panic The Wizard's Tower

The Wizard's Tower is an expansion for the board game Castle Panic. It is not a stand-alone game and requires Castle Panic to play. The Wizard's Tower is a cooperative board game for 1 to 6 players ages 12 and up.

Your Castle has been rebuilt, and a friendly Wizard has joined your forces. As long as his Tower stands, you and your friends have access to powerful magic spells...and you'll need them, for the Monsters have returned stronger, faster, smarter, and with new abilities to threaten the Castle.

You'll fight against magical Imps, evasive flying creatures, and more. Make your stand against six dangerous new Mega-Boss Monsters, including the Dragon and the Necromancer. Use fire to attack the Monsters, but beware, your Walls and Towers can be burned down as well!

The challenge is high, but so is the adventure. Can you survive more panic and defend The Wizard's Tower?



My opinion: We thought the game would take an hr to play, but it took 2 hrs.  I thought it was kind of interesting that it was cooperative game to protect the castle.

We weren't playing against each other.  There is strategy.  The tower was still there as all the monsters were killed, so we won.


They talked about their kids that are in sports and becoming pro athletes.  Also how hard it is to be one.

Then we sat around and talked about our jobs and careers. 

I also learned about the Alberta sunshine list 2023.  This is to show how much people get paid in the government.

Salary and severance disclosure table

View salary and severance data for Government of Alberta employees above the annual 

threshold.




Sat. Jan. 6, 2023 Leo opinion: 

Alison Y. from Calgary, AB, would like to know:

Do you find yourself on a tight budget after the holidays are over?

Yes

53.68% (2277)




No        46.32% (1965)


My opinion: No.  I don't exchange gifts with my family (and friends).



Only Murders in the Building: I saw the pilot that I recorded on CTV.  This was average.  I don't like comedies.  I like mysteries and they set the murder out.  I will record the series and I may or may not watch this. 



Jan. 11, 2024 Winter: It's lower than -20.  I've been shoveling snow this week.


Jan. 12, 2024 Polysporin ear drops: I had this ear ache for a week.  I went to Shoppers Drug Mart and the pharmacist told me to buy this.  I put this in my ear a few times for 5 days, and it works so well.

It costs $26.99 for 15 ml.  I'm willing to lend this to you if you need help.




Joey's Seafood: My mom and grandma went there for lunch at the Capilano location.

Mom: It wasn't very good.

Grandma: I prefer to eat the fish burger at McDonald's.

Reflect on 2023: Bring all of that wisdom into your planning for the best 2024.
#8 year:
Organize: There is more flow.
Balance: Aromatherapy, a space to unwind
Wood dragon Year: A year to take charge.
Design your life.
Silver, gold, grey: wear more jewelry.
Details are so vital.
Clear your closets.
Mercury retrogrades: Manifest more.
Treat yourself well.
Jupiter in Gemini: Clear bookshelves.
Create gathering spaces.
Pluto in Aquarius: Jan. 20-Sept. 1, 2024.
Nov. 19, 2024- Mar. 2043
Update your technology and skills.



1. Completely declutter noise an extra screen time to flourish.
2. Nervous system reset: declutter.
3. Planning is the most important: You are the CEO of your life.
Make plans, lists, and a vision board.
4. Innovate- in all ways- including in your home.
5. Go for the new- or do old things in new ways.




Manifesting more.

Bring in abundance: Clear all your clutter.

Be consistent.

Organization: order helps.

Get stronger.

Give: what organization do you want to support?



2024 Forecast - What To Expect From The New Year!
2024 Forecast - What To Expect From The New Year!: This is from Teal Swan
New Thought Leader, Bestselling Author and Public Speaker.


"Coffee shops are raising prices as beans become more costly, workers demand higher wages"/ "Restaurant owners worried about menu inflation, report finds"

Feb. 3, 2022 "Coffee shops are raising prices as beans become more costly, workers demand higher wages": Today I found this article by Archie Hunter on the Financial Post: 


From Seoul to Seattle, the soaring cost of coffee beans is making its way into the cups of consumers.

Some of the world’s biggest roasters and sellers of coffee are upping menu prices, having flagged that customers would be paying more as bean prices began to surge last year. 

Workers demanding higher wages and other costs have also added to the rising charge for a daily cup, which is in turn contributing to inflation pressures felt through much of the global economy.

Futures for arabica coffee, the type used by Starbucks Corp. and other sellers, jumped 76 per cent in 2021, hitting decade highs after droughts and once-in-a-generation frosts severely damaged crops in Brazil, the world’s top producer. Most-active futures this year are up more than 5 per cent. Big roasters will generally buy inventory months or years in advance, meaning a further price onslaught could be in store.

In the U.K., Pret A Manger said Wednesday that it was hiking the price of its monthly subscription from 20 pounds to 25 pounds as a result of inflationary pressures. Customers receive up to five coffees a day through the program.

That comes after Pano Christou, Pret A Manger’s chief executive officer, told Bloomberg in an interview that the cost of the sourced arabica coffee beans that make up the bulk of its blends has risen 40 per cent since 2020.

Starbucks plans to continue raising menu prices again this year, after doing so in October and January, CEO Kevin Johnson told investors on an earnings call Tuesday.

That follows South Korea’s Tom N Toms, which said last week it would be increasing the retail cost of a cappuccinos, lattes and Americanos by 300 won ($0.25), citing the higher price of beans.

Coffee shop chains are raising prices as workers demand higher wages | Financial Post

They are already selling something that costs all of 10 cents to make for way to much money. Will they keep lining up for it?? ;-) they should be able to automate the process of brewing , filling and serving a cup of coffee - that would solve a lot of problems.


My opinion: This reminds me from a joke on Jay Leno: "When Starbucks raises their coffee from $5 to $5.05, people learn that coffee is something you can easily make at home."


I know at Starbucks, they put milk and whip cream, etc. in there.  However, I put milk, hot chocolate powder in my coffee.


You can buy Tim Horton's coffee grounds from their coffee shop and make this at home.


Oct. 23, 2023 "Restaurant owners worried about menu inflation, report finds": Today I found this article by Jordan Fleguel on BNN Bloomberg:


Restaurants in Canada are dealing with a crippling shortage of workers, according to a new industry report, and the food service industry is suffering as a result.

Restaurants Canada, a non-profit association that represents restaurants across the country, released its annual Foodservice Facts report on Monday, which examines the current state of the food service industry.


LABOUR SHORTAGE

One of the main concerns flagged in the report is a chronic labour shortage. The report claims that total employment at restaurants remains 173,700 jobs below 2019 levels. 

Vacancies in 2022 were “double” pre-pandemic levels, with an average of 135,000 job vacancies that year, the report said.

“Restaurants have the highest job vacancy rates of any industry, accounting for one of every six private-sector job vacancies in Canada,” the report said.

The report cited declining participation of 15 to 24-year-olds in the industry as a main reason for current shortages, noting that many young people are postponing entering the work force to focus on post-secondary education.

The report also said that the shortage of labour has disproportionately affected the food service industry, as significantly more employees are required to run a restaurant than other businesses such as grocery or retail stores.

Diners have also been directly affected by the shortage in recent years. The report cited an Angus Reid survey conducted in May of this year that found nearly 40 per cent of Canadians said they wait longer for food at restaurants than they did before the pandemic.

“Looking at the statistics, we can safely say this is due in large part to labour shortages,” the report read.


MENU PRICES UP

Another factor affecting restaurant profitability post-pandemic is the rising cost of food and supplies, which has led to higher menu prices nation-wide, according to the report.

Menu inflation has fallen significantly since reaching a record-high of 8.2 per cent in January, the report said. But overall, menu prices are still expected to rise this year by more than five per cent compared to 2022.

Restaurant owners, meanwhile, are wary about how much of their financial burden they can reasonably pass on to their customers, according to the report.

“Many restaurant owners have stated that they can’t continue to raise menu prices or they will lose customers,” the report said, “which is especially true given the current financial situation of households.”


HIGHER SALES, LOWER PROFIT

The report also found that despite nominal sales in the food service industry reaching a record-high $100 billion in 2022, 51 per cent of restaurant owners are either currently operating at a loss, or just breaking even.

Before the pandemic, only seven per cent of owners operated at a loss, and five per cent broke even, according to the report, while 36 per cent earned a pre-tax profit of 10 per cent or more.

Today, just 12 per cent of restaurants see double-digit profit margins, the report said.

“While sales have improved, operators are unable to be profitable due to soaring operating costs and customer traffic that remains stuck below pre-pandemic levels,” the report read.

“All of this highlights that, while most of the economy has moved on from the pandemic, the food service industry has a long way to go.”

https://www.bnnbloomberg.ca/bnn-bloomberg/restaurant-owners-worried-about-menu-inflation-report-finds-1.1988360


"The pandemic is changing how restaurants do business — and it might be for good"/ "A global ghost-kitchen experiment is growing out of a Vancouver parking empire"

Jan. 5, 2022 "The pandemic is changing how restaurants do business — and it might be for good": Today I found this article by Roberto Rocha, Albert Leung, and Judy Trinh on CBC news:


Beckta, a storied upscale restaurant in downtown Ottawa, was buzzing one recent day — but it wasn't because of diners. The second-floor dining room was converted into an assembly line where staff were packing three-course dinners into paper boxes.

Dozens of these kits — with lamb shank confit, prawn lettuce wraps and espresso tarts, along with a wine pairing — stood ready to be delivered to diners' homes by one of the restaurant's in-house drivers.

Beckta began offering them in May 2020. They're such a big money-maker that the restaurant cancelled its lunch service and reduced opening hours. It now operates five days a week and is employing a record number of staff.

It's even made restaurant work, usually a gruelling affair with long hours, something with some work-life balance, owner Stephen Beckta said.

"For me personally now, my workday is probably eight to six most days," he said. "I used to do a lot of nights in the restaurant, so I get to see my family a lot more than I used to."

Like other restaurants devastated by the COVID-19 pandemic, Beckta had to adapt.  And like other restaurants, he found that takeout and delivery helped keep his business afloat, mitigating the losses experienced due to lockdowns and capacity limits. When paired with a full return to indoor dining, he said, it meant pulling in more cash than ever.

"Full-service restaurants are adopting the takeout mentality," said Jacob Mancini, associate vice-president for restaurants and breweries at Canadian Western Bank, which lends money to restaurants.

"We're seeing specialized menus specifically for takeout. We're seeing food that's easier to make or have higher margins. These are efforts to encourage customers who can't come to the restaurant."

As the pandemic drags on, with new variants and new restrictions sending Canadians back into lockdowns, it's changing the way restaurants operate and plan for the future, restaurateurs and industry observers say.

And it's heralding big changes to the dining experience, such as 

smaller restaurants, 

dedicated takeout counters, 

and a shift toward snazzier experiences 

to lure back indoor diners.

Restaurants are coming back … but differently

There's good news for restaurants: after a brutal slump and many closures, countrywide sales were nearly back to pre-pandemic levels last summer. 

Limited-service restaurants, such as fast food and takeout counters, hit all-time highs.

But the costs of doing business also shot up. 

Appliances and ingredients are more expensive due to a global supply-chain choke. 

Providing workers with protective equipment

and enforcing vaccine passports 

also costs money.

A severe labour shortage, especially in low-wage jobs, is also pushing restaurants to increase salaries and offer incentives to lure back waiters and cooks.

On top of that, Canadian restaurants have a combined $15 billion of debt from the pandemic, according to Vince Sgabellone, a food industry analyst for NPD Group, a market research firm.

"It's a big hole. Restaurants were already a low-margin business, in the single digits. Now it's even thinner," he said.

Shifting to meal kits has allowed Beckta to continue offering paid sick days and benefits to employees after three months on the job — something he feels is important for the industry.

"Everyone is upping their game from increased wages, increased benefits and just better working conditions. It's wonderful to see because this was long overdue in our industry," Beckta said.

But not every restaurant is in the same position; many are saving costs where they can. In his surveys of sit-down restaurant owners, Sbegallone found that many are in no hurry to reopen for indoor dining.

"They say they're doing OK with delivery, that it's not worth rehiring staff. Why even bother with sit-down dining anymore?"

Redesigning for takeout

With a stronger focus on delivery and takeout, restaurants no longer have to rely on large spaces with many tables to make money. As a result, more restaurants are looking to smaller venues with cheaper rents, said Mancini.

This was already happening before the pandemic, but it turbocharged the trend.

"The need to have huge boxes was already less important," Mancini said. "I don't think it will go back to how it was before."

To make the takeout experience more seamless, sit-down restaurants are rearranging floor plans to create dedicated takeout windows. According to Restaurants Canada, an industry advocacy group, some establishments are adding multiple drive-thru lanes to ease bottlenecks, with dedicated lanes for delivery drivers.

A peek into this future is evident in downtown Toronto at Box'd, a concept for high-density office towers by Middle Eastern chain Paramount. 

Customers order with a mobile app and cooks prepare the food behind a wall of cubbies. 

Customers are notified when the order is ready and they grab their food from one of the cubbies. Throughout the whole process, the customer doesn't talk to anyone.

Box'd owner Ahmad Daify calls it the first automated restaurant experience in Canada. He says he's getting a lot of inquiries around the globe for franchising.

"Once there is some predictability in the downtown core, we would like to continue to expand the brand," Daify said.

The ghost of kitchens yet to come

In a nondescript building on a drab street in the Toronto neighbourhood of Etobicoke is one of the hottest restaurant concepts. 

There are no tables, no wait staff, but it's full of delivery drivers who watch a screen like an arrival board at an airport, waiting for their orders to ring up.

Three dozen cellphones and tablets are constantly pinging, registering new orders from delivery apps.

Kitchen Hub is a ghost kitchen, a service that prepares food for other restaurants solely for delivery orders.

"We're getting rid of a lot of the upfront headaches [for restaurants]," CEO Adam Armeland said. 

"We're dealing with 

the infrastructure. 

We're signing the lease, 

we're financing, 

building everything out. 

All that they're doing is bringing 

their chefs, 

their food 

and their brand."

The company raised $10 million to expand this concept. The company's goal is to open 50 facilities across Canada within five years, Armeland said.

This model will only become more popular, according to food industry analyst Sgabellone, allowing restaurants to serve customers beyond usual business hours.

"It caters to people wanting what they want when they want," he said. "They're enabled by digital orders."

Luring diners with the experience factor

Does this push toward smaller restaurants that prioritize delivery over indoor dining sound the death knell to dining out? Hardly, analysts say. There will always be a place for celebrations and romantic dates.

But the dining experience won't be just about the food. Restaurants, especially full-service ones, will have to stand out by offering other sensorial experiences, Mancini predicts.

"They'll need to have an environment that's engaging, whether it's trivia night or a patio with games, or some kind of engaging activities inside."

What's happening with restaurants is, in many ways, what happened with movie theatres in the last decade as streaming services took over and large screens became affordable.

Theatres had to offer an enhanced experience with rumbling chairs, 3D and immersive sound.

"When you're at home, there's a million ways to get good food," Mancini said. "To encourage people to come out, you have to offer something they can't get."

The pandemic is changing how restaurants do business — and it might be for good | CBC News


Jan. 27, 2022 "A global ghost-kitchen experiment is growing out of a Vancouver parking empire": Today I found this article by David Reevly on the Financial Post:


OTTAWA — When bylaw officers checked out the Wendy’s delivery kitchen, operating in a trailer in a parking lot in Little Italy west of Ottawa’s downtown, they shut it down.

The trailer was operated by Florida-based Reef Technology. Backed by Japanese conglomerate SoftBank and an Abu Dhabi sovereign wealth fund, Reef owns thousands of parking lots in the U.S. and Canada, and it’s trying out many, many, many different uses for its urban spaces as the whole industry struggles with a pandemic-driven collapse in demand for downtown parking.

In Reef’s hands, a bare, boring, minor eyesore is a potential community hub, solving “last-mile” problems for multiple industries. But finding new uses for old asphalt can be fraught, with bylaws and regulations insisting, for instance, that a kitchen have running water and a power source other than a big diesel generator that exasperates the neighbours.

Reef bills itself as “The Neighborhood Company,” transforming “open spaces into multi-purpose places that create jobs and bring new goods, services and experiences to your neighbourhood.”

So far, maybe its most visible venture has been with Wendy’s. In November 2020, the burger company announced its first “neighbourhood kitchen” experiment with Reef, in Toronto. Last summer, that blew up into a five-year, 700-location deal covering Canada, the U.S. and the U.K.

“This partnership with Reef is testimony to our ambitions, the potential we see to grow our beloved brand and our quest to reach more customers in more ways,” the announcement of the expanded partnership quoted Wendy’s executive Abigail Pringle as saying.

But those trailers are just one of the uses Reef is proposing for its parking lots. Its website is dizzying. 

It’s in the microwarehouse business. 

Health care

 . E-bike charging 

. Vertiports 

. DJ Khaled is selling chicken wings via its kitchens after “the biggest restaurant launch in history” that did not involve what you’d ordinarily think of as a restaurant (via online delivery services, Reef sells fast food with numerous brands besides Wendy’s). All in addition to offering technical services like pay-by-app to other parking operators.

“Reef’s origins were in making parking lots more efficient, but the company’s mission grew to include supporting other applications that make sense for commercial lots and benefit local neighbourhoods,” Reef’s California-based head of global communications, Mason Harrison, told The Logic by email. Besides all the above, the company is excited about the potential of vegetable farming in shipping containers, to address food deserts.

At its core, though, Reef remains in the parking business: Harrison wrote that kitchens are its fastest-growing segment, but parking “continues to drive the largest amount of the company’s revenue.”

What’s now Reef began in 2013 as ParkJockey, a company with a smartphone app that was meant to make it easier to find and pay for parking, directing users to spaces in members’ lots and handling the payments.

But in 2018, ParkJockey made a gigantic splash. Armed with investments from SoftBank — best known for its high-profile backing of disruptive businesses like WeWork and Uber — as well as Abu Dhabi’s sovereign wealth fund Mubadala, reportedly totalling as much as US$1 billion, it bought two of North America’s large parking concerns at once.

Vancouver-based Imperial Parking, known better as Impark, with 3,600 properties in 330 cities, went to ParkJockey from the Ontario Teachers’ Pension Plan for an undisclosed sum. 

ParkJockey also acquired Citizens Parking, itself an agglomeration of Lanier, Ameripark and ParkOne parking brands.

The next year, ParkJockey rebranded itself as Reef Technology. In late 2020, it raised another US$700 million, again drawing on Mubadala and SoftBank, for its vision of itself as a “proximity platform,” offering its urban lands for multiple uses.

Then COVID-19 knocked the struts out of downtowns.

“With so many people working or attending school from home, driving significantly decreased during the pandemic. Of course, fewer people driving meant fewer people parking, leaving some parking lots vacant for months on end,” the company said in a meditation on the state of the parking industry posted this month.

Removing friction from finding and using paid lots is a no-brainer for increasing those lots’ value to their owners, but there’s a lot more to try, the web post reads.

Unlike Uber or Airbnb — famously the biggest taxi company with no cabs and the biggest hotel company with no hotels — Reef owns an awful lot. It claims 18,000 workers and 5,000-plus locations now.

So it has boots on the ground throughout North America and abroad. But food service is an industry full of complex regulations that vary from municipality to municipality, let alone country to country.

In November 2021, The Wall Street Journal reported on Reef’s problems with its kitchens in cities across the United States. Those have included shutdowns over the company’s failure to secure permits for its trailers, and workers injured by fireballs blown out of the trailers’ propane equipment.

In Ottawa, it ran into regulators who don’t have a scheme for a semi-permanent trailer kitchen on wheels, catering only to app-based delivery services like SkipTheDishes and DoorDash.

“It could be one of two things,” Catherine McKenney, the city councillor who represents the area, told The Logic. “It could be a food premise, in which case you would need site-plan approval … it needs to be licensed, it cannot run a diesel generator [and] it has to have a water source, which this one didn’t have.”

Or it could be a “mobile refreshment vehicle.”

“To be a food truck, you cannot take up any parking spots. Oddly enough, that’s the rule,” McKenney said. “You would need a zoning amendment.”

This kitchen trailer has been stationed against the wall of a building with a dentist office and yoga studio. When The Logic went to see it, it had a big generator on a separate trailer and a line from two large gas cylinders on the asphalt several metres away. Plus two big waste bins and a portable toilet outside its door. Residents had complained about the generator and about litter on a nearby path.

Wendy’s told The Logic that three Reef-operated trailers with its smiling-redhead logo on them in Ottawa have clean health inspections. But two have had to be closed “due to a power supply issue only, and not related to any health or safety concerns,” wrote vice-president Heidi Schauer, in an email. (The third is powered without a generator, a fat cable plugging into a box on a nearby retaining wall.)

“It’s another one of those disruptive businesses,” said McKenney. “Similar to Uber or Airbnb, now we have these ghost kitchens.”

“Creating a new category of anything comes with its fair share of obstacles, especially for a business as operationally intensive as restaurants,” Harrison told The Logic. 

“When we’ve stumbled, we’ve succeeded in learning, adapting and improving as we’ll continue to do. We welcome the scrutiny that comes with being a market leader because it helps us continue to improve.”

Toronto lists 16 duly inspected Reef kitchens. Edmonton has seven, Calgary eight, Vancouver one. Reef has openings across Canada in the “parking field” and “kitchens field.”

These experiments with underused parking properties aren’t unique to Reef, and the pandemic has increased the urgency.

The board chair of the International Parking & Mobility Institute, a trade group, is Dave Onorato, whose day job is heading the Pittsburgh Parking Authority. Before COVID-19, he said, his agency’s garages and surface lots were routinely full by 8:30 a.m. That hasn’t happened in nearly two years.

The Pittsburgh authority projects it’ll be back to 85 per cent utilization by the end of 2023 and that will be the new norm. “We don’t anticipate getting back to where we were in 2019, either for revenues we had or the demand,” Onorato said.

Indigo Group, a French company with extensive Canadian operations, is also rethinking its real estate, in a process begun before the pandemic. 

Indigo’s focus is on its underground garages, but the basic idea is the same as Reef’s: retrofitting them with everything from bike-share stations to kitchens to container farms to delivery warehouses to data centres.

“The entire business model for our industry is transitioning,” said Brett Wood, a consultant based in Charleston, S.C., specializing in parking- and transportation-demand management. Demand for street parking has largely recovered but off-street lots haven’t, he said, and the monthly leases that used to be the core of that business might never.

As crowds returned for pro sports and downtown theatres, Onorato’s agency tried offering the first floors of garages as designated spots for Uber and Lyft drop-offs and pickups, to clear room on streets. They’ve had farmers’ markets — being under cover meant markets could run later in the fall, Onorato said. They’ve set up garage roofs as event venues. They’ve tried using garages as transshipment points for courier services.

Some of these moves have been good for people and neighbourhoods, he said, “but it hasn’t made a significant impact to the authority from a revenue standpoint.”

Wood said many municipalities are repurposing street spaces as restaurant patios or pickup zones for delivery services — since surface lots and garages are underused, people can park in those instead. Finding a way to replace the revenue those street spaces generated for cities and towns is a million-dollar question, though.

“We are now seeing a lot of companies that are beginning to automate that, where they’re working with food-delivery operators to basically determine the number of transactions that are happening at the curb, and then monetizing that, or monetizing it using an interface between the vehicles, GPS, and the curbside environment,” he said. None has been a resounding success, though.

Wood said he’s worked with one Texas town that took a municipal lot and made it a food-truck centre. “We’re seeing communities implement that as a service to their constituents,” he said. “Reef has been out in front with the ghost kitchens.”

Both he and Onorato said Reef’s reputation in the parking business is solid. In Impark and Citizens, it bought established businesses and hasn’t monkeyed with their core activities.

But it’s a tough time, Onorato said. Technology was changing the industry and COVID-19 has increased the pressure. 

He said he’s seen one ticket-processing company try to become a vendor of whole parking meters and meter companies get into pay-by-phone apps, with poor results.

“I do see that once in a while when companies expand beyond their expertise, that they could even weaken what they’ve been strong at doing in the past.”

The Logic

A global ghost-kitchen experiment is growing out of a Vancouver parking empire | Financial Post