There has been a question about what kind of deal Art Chin and Jerry Gillotti had on their spaces in the Transportation Center.
Now, it appears that a new tenant is getting a “sub-prime” lease from the city- reputed to be around $2 a square foot (extremely low).
Reported in the Dayton Business Journal:
An Asian restaurant, Sa Bai, is opening in the space that formerly housed Chin’s restaurant in the Dayton Transportation Center complex on Jefferson Street. The restaurant and lounge will be open for lunch and dinner seven days a week, and late on weekends.
The casual dining restaurant will be owned and operated by Chanaka DeLanerolle, a restaurateur with several restaurants in the Cincinnati area, including Mt. Adams Fish House, Teak Thai Cuisine and Sushi Bar, The Celestial Steakhouse, Incline Lounge and Longworth’s.
DeLanerolle signed a five-year lease for the space. He plans to invest $250,000 on renovations.
Sa Bai, which will employ about 30 people, is scheduled to open at the end of August.
Sa Bai will feature a casual to upscale feel, with a sushi bar and lounge. The menu will be similar to one of DeLanerolle’s Blue Ash restaurants, Apsara. It will feature a mix of soups and salads, curries, rice and noodle dishes and stir-fry.
The 5,700-square-foot restaurant also will have outdoor seating.
The Dayton Daily News has the entire press release and the lease:
For the remaining seven months of the first year, through June 30, 2010, the restaurant will pay $2 per square foot, or $6,750 over that period. Over the remaining four years of the original term, rent will continue at $2 per square foot, or $11,572 a year.
If I was the owner of Thai 9, I’d be a little ticked-off about having to compete with someone paying an annual rent less than my monthly mortgage (estimate). Or, if I’m Coco’s, which is trying to sell their successful location so they can rehab another business in Dayton.
This is another example of corporate welfare by government, forcing taxpaying businesses to compete on an uneven playing field.