Riverside Sushi Cafe closing

[simms3]

Sorry, I do this for a living and I too often hear someone say a tenant left because of rent when that is hardly ever the case.  Obviously whatever happened is so much more complicated than what is being discussed here, but it's perpetually lazy for people to just assume that rent must have gotten too high -Retail Rents across 100% of markets in this country are still falling and are not what they were 1, 2, 3, and certainly not 4 years ago.  If rents are rising in Riverside submarket, they are probably going from $20 to $21 psf, on a simplified basis.  They aren't like Fifth Ave rents above 50th, which are going from $1,000 to $5,000 psf in one year (again, simplified example).

You're right.  After further thought, I agree that Sushi Cafe would be able to pay any rent for that space because they are killing it most nights of the week.  It would be better to see a regional chain on a rent roll.  Sorry, after hearing Ron Chamblin's account of what happened to Magnificat, I just have rent increases on the brain.

There are 1 or 2 open storefronts in that center.  What I would love to see is Quizno's move out of their space and into one of the middle spaces and have Sushi Cafe take over their space.  Quizno's has a huge patio that never gets utilized.  It's not likely that the tenants will all shuffle around, but I can dream can't I?  Given that Sushi Cafe has been so successful, I do hope they move to another location nearby. 

NP I'm just having a slow day at work - my first in over half a year!

Quizno's may not last much longer as a company, period.  They are an example of a national tenant that no landlord really wants right now.

[ben says]

Sorry, I do this for a living and I too often hear someone say a tenant left because of rent when that is hardly ever the case.  Obviously whatever happened is so much more complicated than what is being discussed here, but it's perpetually lazy for people to just assume that rent must have gotten too high -Retail Rents across 100% of markets in this country are still falling and are not what they were 1, 2, 3, and certainly not 4 years ago.  If rents are rising in Riverside submarket, they are probably going from $20 to $21 psf, on a simplified basis.  They aren't like Fifth Ave rents above 50th, which are going from $1,000 to $5,000 psf in one year (again, simplified example).

You're right.  After further thought, I agree that Sushi Cafe would be able to pay any rent for that space because they are killing it most nights of the week.  It would be better to see a regional chain on a rent roll.  Sorry, after hearing Ron Chamblin's account of what happened to Magnificat, I just have rent increases on the brain.

There are 1 or 2 open storefronts in that center.  What I would love to see is Quizno's move out of their space and into one of the middle spaces and have Sushi Cafe take over their space.  Quizno's has a huge patio that never gets utilized.  It's not likely that the tenants will all shuffle around, but I can dream can't I?  Given that Sushi Cafe has been so successful, I do hope they move to another location nearby.

Quizno's sucks, and you're right, someone needs to utilize that patio.

Sorry, I do this for a living and I too often hear someone say a tenant left because of rent when that is hardly ever the case.  Obviously whatever happened is so much more complicated than what is being discussed here, but it's perpetually lazy for people to just assume that rent must have gotten too high -Retail Rents across 100% of markets in this country are still falling and are not what they were 1, 2, 3, and certainly not 4 years ago.  If rents are rising in Riverside submarket, they are probably going from $20 to $21 psf, on a simplified basis.  They aren't like Fifth Ave rents above 50th, which are going from $1,000 to $5,000 psf in one year (again, simplified example).

You're right.  After further thought, I agree that Sushi Cafe would be able to pay any rent for that space because they are killing it most nights of the week.  It would be better to see a regional chain on a rent roll.  Sorry, after hearing Ron Chamblin's account of what happened to Magnificat, I just have rent increases on the brain.

There are 1 or 2 open storefronts in that center.  What I would love to see is Quizno's move out of their space and into one of the middle spaces and have Sushi Cafe take over their space.  Quizno's has a huge patio that never gets utilized.  It's not likely that the tenants will all shuffle around, but I can dream can't I?  Given that Sushi Cafe has been so successful, I do hope they move to another location nearby. 

NP I'm just having a slow day at work - my first in over half a year!

Quizno's may not last much longer as a company, period.  They are an example of a national tenant that no landlord really wants right now.

I hear the same thing about Quizno's right now. Not only do landlords not want them, but I've heard franchisees are turning on their own parent company. Bar none one of the worst franchises to own.

[Captain Zissou]

Simms you may not be privy to this as an out-of-towner, but that strip at JTB and Philips is hilarious.  Jimmy Johns opened next door to a Quiznos and has basically turned Quiznos into a ghost town.  The owner/managers of that quiznos stunk anyway.  If they aren't closed yet, they will be soon

[Live_Oak]

Yep, that Quizno's is closed.  Jimmy Johns killed them.  The Jimmy Johns that is coming to Park St might be the last straw for the riverside Quiznos.

[JaxDiablo]

Pretty sure the Quizno's there will be closing within the next 2-3 weeks.  An employee is a friend of mine, and they have been told they are not getting scheduled more than 1 week out.

[simms3]

Jimmy John's is still a relatively new concept to Jax.  I don't know anything about their financials or much about the company, but I have eaten JJ a few times.  The food is totally mediocre, but it's the delivery that sets them apart.  JJ does well in dense areas where they can easily deliver without having to drive a million miles to their destinations.  In the Midtown Atlanta area there are a few JJ (probably like 1 per 20,000 residents and 40,000 office workers), and they are walkup stores.  Nobody actually eats *in* the JJ.  They have a policy whereby they must deliver in some sort of fast time or else...Don't try to win a sidewalk shoulder rub with a Jimmy Johns delivery guy - he will mow you over no matter how skinny and frail he looks.

JJ will do well in Riverside for sure.

[fsquid]

The Jimmy Johns on Phillips will deliver free to any of the work places in the baymeadows area.  Love the model.

[ben says]

Jimmy John's is still a relatively new concept to Jax.  I don't know anything about their financials or much about the company, but I have eaten JJ a few times.  The food is totally mediocre, but it's the delivery that sets them apart.  JJ does well in dense areas where they can easily deliver without having to drive a million miles to their destinations.  In the Midtown Atlanta area there are a few JJ (probably like 1 per 20,000 residents and 40,000 office workers), and they are walkup stores.  Nobody actually eats *in* the JJ.  They have a policy whereby they must deliver in some sort of fast time or else...Don't try to win a sidewalk shoulder rub with a Jimmy Johns delivery guy - he will mow you over no matter how skinny and frail he looks.

JJ will do well in Riverside for sure.

Agree that they're mediocre, and the main plus is fast delivery. My step-father has worked in the franchising/food industry over the past 35 years, and I can tell you: JJ's financials are insanely good. Mediocrity + popularity = $$. Less on ingredients, overhead, and rent, more noise coming from the cash register (again, if you can maintain popularity).

[Debbie Thompson]

We drove on by Sushi Cafe after Publix last week after work, hoping to eat there, and it looked like it was already closed.  I assumed it was, and that's a shame, because we like it too.  I hope they do re-open elsewhere, although if the owner was shipped back to China, then probably not. 

Oh, and when we eat there, we order sushi rolls.  My son orders sushimi (sp?) a/k/a raw fish on top of sticky rice.  Usually the sampler with salmon, whitefish and eel.  I order tempura or a roll of something steamed or cooked because I don't care for the temperature or texture of cold, raw fish. 

[cayohueso]

Tijuana Flats should be a good fit there. They have fun trivia nights too so I can see the patio filled! I can't remember the last time I even thought about Quizno's overpriced burnt sandwiches. Same for Jimmy John's...too expensive.  My favorite subs have always come from Publix Deli and Firehouse.

Now if we could just get a good old nasty Weinershnitzel in town, that would be awesome!

[cityimrov]

There are so many empty storefronts in town, why do these two restaurants have to fight over this one?? I like Tijuana Flats, but I like Sushi Cafe far more. 

I'm guessing higher rent was the culprit for the tenant change.

Many memories from Sushi Cafe.  I say it had nothing to do with rent and all to do with mixing up the tenant roster, getting somebody new for the neighborhood, creating a little buzz, and pulling in a tenant that has some credit and 70 locations.  Sushi Cafe probably could have paid any sort of market rent there, but haven't they worn their welcome thin by now?  How many sushi restaurants are there anyway?  Also, if the landlord ever expects to sell that place they are going to need more credit tenants.  A sushi place with one location and questionable managers (albeit good sushi) occupying the most visible endcap is not going to look good to any potential buyers.  A fresh Tijuana Flats lease will look much better.

Wait a minute, are you saying that if I own a piece of property and get some of the top chefs in Florida to locate there, I would be at a disadvantage in selling that lot because they each only own one restaurant?  If I wanted to really sell that lot, I would have to kick them up and fill  that property with mediocre but famous chain restaurants? 

[ben says]

Tijuana Flats should be a good fit there. They have fun trivia nights too so I can see the patio filled! I can't remember the last time I even thought about Quizno's overpriced burnt sandwiches. Same for Jimmy John's...too expensive.  My favorite subs have always come from Publix Deli and Firehouse.

Now if we could just get a good old nasty Weinershnitzel in town, that would be awesome!

Jimmy John's...too expensive? That'd probably be my last complaint.

[simms3]

There are so many empty storefronts in town, why do these two restaurants have to fight over this one?? I like Tijuana Flats, but I like Sushi Cafe far more. 

I'm guessing higher rent was the culprit for the tenant change.

Many memories from Sushi Cafe.  I say it had nothing to do with rent and all to do with mixing up the tenant roster, getting somebody new for the neighborhood, creating a little buzz, and pulling in a tenant that has some credit and 70 locations.  Sushi Cafe probably could have paid any sort of market rent there, but haven't they worn their welcome thin by now?  How many sushi restaurants are there anyway?  Also, if the landlord ever expects to sell that place they are going to need more credit tenants.  A sushi place with one location and questionable managers (albeit good sushi) occupying the most visible endcap is not going to look good to any potential buyers.  A fresh Tijuana Flats lease will look much better.

Wait a minute, are you saying that if I own a piece of property and get some of the top chefs in Florida to locate there, I would be at a disadvantage in selling that lot because they each only own one restaurant?  If I wanted to really sell that lot, I would have to kick them up and fill  that property with mediocre but famous chain restaurants? 

We're talking shopping centers here, not anything else.  I could really get into how destination/chef-driven dining works, but that's for another discussion.

Your question is an example of the oversimplification of real estate in Jacksonville.  Obiously each situation is highly unique (well most situations are somewhat similar in Jax, which leads to that simplification).  When Jacksonville gets anything high end and starts getting on some radar screens, then we can have that discussion.  When there are places to shop that aren't suburban in nature and aren't made of stucco, then we can talk.

[The Compound]

I refused to eat Quiznos after they had that series of commercials with the dead talking rat or whatever it was. Not very appetizing.

[Captain Zissou]

I ate at Sushi Cafe last night, it was as crowded as ever.  They even had a 'hiring' sign up on the door.

Wait a minute, are you saying that if I own a piece of property and get some of the top chefs in Florida to locate there, I would be at a disadvantage in selling that lot because they each only own one restaurant?  If I wanted to really sell that lot, I would have to kick them up and fill  that property with mediocre but famous chain restaurants?

You're really making yourself look bad here.  Obviously if it was a great chef and a regionally known restaurant, that would be very different.  Sushi Cafe is tasty and cheap, but otherwise unremarkable.  It doesn't compare to something like Aix or Orsay.  Also, if you were just trying to make Simms look bad, you better bring your A game.  He is the most knowledgeable real estate person on the forum.