Pho Saigon closed - what's next for that building?

Merlin99

Visualize whirled peas
PREMO Member
It is very, very common practice. Nothing "insane" about it.

http://www.nolo.com/legal-encyclopedia/clb-percentage-rent.html
Given the example that they used,
Moonbucks Coffee leases space in a shopping center and pays $5,000 a month ($60,000 a year) on a gross lease. In addition, Moonbucks is subject to percentage rent of 7%, with a natural breakpoint.

The natural breakpoint is the point where the base rent equals the percentage rent. To calculate it, divide the base rent by the percentage. In this case: $5,000 ÷ 7% = $71,428. When Moonbucks’ sales exceed $71,428, it must pay the landlord 7% of every dollar it brings in as sales.

What would the percentage be for $100K in sales?
 

Bonehead

Well-Known Member
Sign says "closed for renovation" but Pho signs removed and people working there today. Wonder what the true story is ?
 
Reopening as "The Bottom of the Hill". Like I said earlier.

But... the bottom of the hill is further down the road just past the traffic light. The restaurant is kinda "somewhere around the middle of the hill".

Or is it named after a failing member of the Hill family?
 

kom526

They call me ... Sarcasmo
But... the bottom of the hill is further down the road just past the traffic light. The restaurant is kinda "somewhere around the middle of the hill".

Or is it named after a failing member of the Hill family?

The new owners dad had a bar called the top of the hill. No relation to the Hill family.
 

BernieP

Resident PIA
All excellent points. I had a long talk with one of the Pho Saigon people, and I'd like to add another: cost per seat. Evidently the rent on that location is very high, and the capacity for seats is pretty small. So you either have to sell a LOT of 9 dollar bowls of soup (Pho Saigon) or charge a LOT for one plate (Sakura / Rustic River). Either way it's a very dicey game. The Pho manager I was talking to made the point "I have seats for 40 and parking for 300".

Demo the building, and build one with twice as many seats and half the parking.

I was gong to comment on the same points. A LOT of these places are rentals and the upkeep is on the landlord. Rent is high and the landlord is cheap.
Thai Inter suffered through the heating / cooling problems that ran Three Brothers Pizza out of business.
But terrible management, inconsistent quality of food are killers as well as the atmosphere.
Also consider location, location, location. County has jammed a large portion of the population of the county on the eastern side, below RT 245.
Café De Artiste did as well as it did because it was simply that good. Good to the point people would go out of their way.
Plus there is knowing who your customers are and what it is they want.
Again, using CDA as an example, the atmosphere in the restaurant, the service and food were to address what a small segment of the population wanted.
But that small segment was willing to spend the money and were loyal customers.
Everything was what you would expect in a classic, "fine dining" setting.
 

Gilligan

#*! boat!
PREMO Member
Café De Artiste did as well as it did because it was simply that good. Good to the point people would go out of their way.
Plus there is knowing who your customers are and what it is they want.
Again, using CDA as an example, the atmosphere in the restaurant, the service and food were to address what a small segment of the population wanted.
But that small segment was willing to spend the money and were loyal customers.
Everything was what you would expect in a classic, "fine dining" setting.

Exactly. I would meet there for "business lunch" with other BoD members of our island club, that came all the way down from the DC area. For them it was a treat and an excuse to get outa town....but a 2-hour ride to do it, too.
 

BernieP

Resident PIA
Exactly. I would meet there for "business lunch" with other BoD members of our island club, that came all the way down from the DC area. For them it was a treat and an excuse to get outa town....but a 2-hour ride to do it, too.

I'm going to miss that place. I liked his idea of working with local sources as well.
Food, service was always excellent and if it wasn't they'd make it right - no questions asked.
Meals were perfectly paced, never felt rushed out the door.

How many places can you go where you can have a conversation with your table mates?
 

TheLibertonian

New Member
Speaking of cursed food business locations, theirs that one diner style place not far from Spring Ridge Middle School. That one never seems to last super long either.
 

BernieP

Resident PIA
Speaking of cursed food business locations, theirs that one diner style place not far from Spring Ridge Middle School. That one never seems to last super long either.

location, location, location. How much business do you expect to do there?
Might get some lunch and after work, but unless it's worth the drive it's just out of sight, out of mind and mostly out of the way.
That pretty much applies to places in "the park". Just who do you expect to draw in and when? How much business do you need to stay profitable in that location.
Don't forget, location also comes with a cost.
 

Gilligan

#*! boat!
PREMO Member
:ohwell: I'd travel down from NY on business, and that was a mandatory goto. The $12 AYCE was the best.

Years ago, I was coming back from some overseas job or another (That's all I've done for 30 years..work overseas) and as we were landing in DC, I overheard some people with Brit accents talking a couple seats forward of me..an exchange I'll never forget. "I'm over here for a couple days..have heard the seafood is great. Where's the best?" The response (couldn't see either person..but still a Brit accent): " well...if you've got the time, there's this place a couple hours south on a little island that has the best seafood I've found on the planet".
 

Tito

Donkey Smell
Years ago, I was coming back from some overseas job or another (That's all I've done for 30 years..work overseas) and as we were landing in DC, I overheard some people with Brit accents talking a couple seats forward of me..an exchange I'll never forget. "I'm over here for a couple days..have heard the seafood is great. Where's the best?" The response (couldn't see either person..but still a Brit accent): " well...if you've got the time, there's this place a couple hours south on a little island that has the best seafood I've found on the planet".

Link?
 
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