The Greens restaurant struggling financially
By Greg Rayburn/Staff Writer
Monday, September 19, 2011 7:35 PM CDT
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| The Bunker’s Bistro, which is located at The Greens at North Hills, is struggling, city officials said Aug. 30 during a city budget meeting. The restaurant leases its space from the city. (Greg Rayburn) |
The Greens at North Hills may be doing fine as a golf course in Sherwood. But its restaurant, the Bunker’s Bistro, isn’t having the same luck.
On Aug. 30, Sherwood Mayor Virginia Hillman and the City Council finance committee convened to discuss plans to adopt a 2012 city budget. They reviewed the city’s finances through the first seven months of 2011.
Through those first seven months, Bunker’s Bistro, which rents The Greens’ restaurant site from the city, has paid $2,274 in rent through the end of July.
Alderman Tim McMinn said restaurant rental fees were to be paid to the city in the amount of $1,333 per month. In the 2011 city budget, Sherwood had expected to collect $13,600 in restaurant rental fees by the end of the year.
“They are behind,” said Alderman Charles Harmon.
Harmon said there have been discussions about what to do about the restaurant rental space in case the current eatery with a liquor license does not remain open.
Hillman said the business is making an effort to pay.
“He is paying a portion of the utilities,” Hillman said.
Hillman said the restaurant site has problem with generating a lot of traffic.
“There is not a lot of potential for a restaurant anyways,” Hillman said. “There is not a lot of potential for outside traffic for the restaurant.”
Hillman said a problem that complicates the restaurant’s financial issue is that the city could not place itself as the owner of the liquor license.
“We have to have all our ducks lined up and there cannot be any lapse,” Harmon said. “We would lose a lot of income on our green fees if we had a lapse of the liquor license.”
Hillman added, “We would have a lot more problems if we had people packing ice chests.”
Another problem the restaurant is facing is the cyclic nature of the golf business, said Harmon.
“One of the big problems is the cyclic nature of the golf business itself,” Harmon said. “There can be a boom period in the summer months. But in the winter, there are no golfers. And the ones who come out live near the golf course and eat at home. So then you have no business but you still have the lease overhead.”
McMinn said: “There is a limited clientele.”
Alderman Kevin Lilly said the city should check out how other area golf courses manage their liquor licenses and golf course eateries.
Harmon said the restaurant liquor license has to be in somebody’s name for the facility to be able to retain liquor liability insurance.
“I don’t think you are going to find somebody who would just put their name on a liquor license,” Hillman said. Brooks agreed, saying, “There is just too much liability that goes along with your name on a liquor license.”
McMinn said it is not a good situation that the restaurant is behind on its city rent.
Hillman said the city has been collecting a portion of the restaurant’s sales.
Sonny Janssen, director of the city’s parks and recreation department, whose office oversees The Greens, acknowledged the restaurant is struggling.
“With the way the economy is right now, this is not the best time to be in the food business,” Janssen said.
Janssen said he believes the restaurant’s current ownership and management team is doing the best it can under current circumstances.
