Two restaurant-chain operators, Falls Caf Inc., of Edmonton, Alberta, and Mad Anthonys Inc., of Bellevue, Wash., have submitted proposals to the city of Spokane to lease the former Saltys at the Falls restaurant building, at 510 N. Lincoln, when it becomes available Sept. 1.
Falls Caf is the franchiser of a chain of Cheesecake Caf restaurants, and Mad Anthonys operates a chain of Anthonys restaurants.
The citys staff is reviewing the two proposals, submitted late last month, and is expected to make a recommendation to the City Council within about a week. Both restaurant companies have proposed making improvements to the building, says Dave Mandyke, the citys deputy director of public works and utilities. The Spokane Tribe of Indians, meanwhile, didnt submit a proposal for a multitribal Native American cultural center at the site, despite announcing plans this spring to do so, he says.
Fugazzi Inc., of Spokane, currently leases the riverfront building, which the city bought for $2.775 million in 1997, and didnt submit a proposal to renew that lease. For the last year, it has been operating a catering business there, renting the space out for wedding receptions, private parties, and other events.
Their lease expires at the end of August, and wed like to get somebody in as close to that time as possible, Mandyke says.
Falls Caf franchisees operate five restaurants in Canada, and the chain would be entering the U.S. market for the first time if the city of Spokane approves its proposal, Mandyke says. Connie Weber, of Spokane, would be the franchisee here, he says.
The Cheesecake Caf, which serves chicken, steak, and salads, among other dishes, has proposed investing $325,000 in the building for interior improvements, Mandyke says. It has proposed to pay an annual rent of about $121,000, except during the renovation phase, which would last four months, when it would pay $3,000 a month, he says.
The Cheesecake Caf expressed an interest in leasing the Saltys building in March of last year, but the city already had made a verbal agreement to lease the space to Fugazzidespite the Cheesecake Cafs offer to pay almost triple Fugazzis monthly rent payment.
Mad Anthonys operates 18 seafood restaurants in the greater Puget Sound area. They range from fish bars to casual cafes to the companys still casual, but more upscale line of restaurants called Anthonys HomePort, which is what Mad Anthonys has proposed to open here, Mandyke says.
Anthonys has proposed spending $650,000 to make interior improvements in the building, he says. It has proposed to pay annual rent of $78,000 for its first and second years in the building and $84,000or three percent of sales if that percentage exceeded $84,000for years three through five. Mandyke says Anthonys told the city it would need five weeks to renovate the building and train employees.
Mandyke says the citys staff is researching the financial stability of each company before making a recommendation to the City Council.
Were interested in the ability of the lessee to make those payments, he says. Thats what were doing nowrequesting additional data.
Mandyke had said in April that the city is looking to maximize our return on the structure.
The Spokane Tribe of Indians had announced in April that it hoped to open an American Indian cultural center and caf in the former Saltys building. Although the two werent dependent on one another, the project would have tied into plans for a Great Gorge Park, on the Spokane River, which a group here has proposed to develop just west of Riverfront Park.
Mandyke says the tribe, as well as several other companies and parties interested in the former Saltys building, asked the city to extend its deadline for proposals, but all such requests were denied.
Fugazzi chose not to submit a proposal because of the lag time between when clients schedule events and when they occur. Since Fugazzi wasnt certain it would retain the lease, the catering company had to stop booking events scheduled after Aug. 31, says Doug Griepp, Fugazzis general manager.
If we were going to stay, wed have to stay a whole year without any bookings, he says.