The Grapevine Bar in the Medical District suffered a setback this week after thieves broke in at night and stole a safe, breaking a metal door in the process.
Co-owner Michelle Honea couldn't go into specifics but says the financial hit "was enough to sting," adding that there are now a lot of expensive repairs. Cops told them the thieves were clever, working fast in the dark, leaving little evidence behind.
This comes when restaurants and bars are dealing with a lot of other issues, including the heat of summer, which can slow business, skyrocketing insurance and inflation.
"Prices for liability and property insurance for bars and restaurants has gotten out of control," Honea says. "I don't know how it's legal to raise rates as much as they have. Unless you have over 51% food sales, even serving food doesn't help your rate. It's crazy."
Insurance Journal reported in "Squeezed from All Sides: Restaurants Pressured by Labor, Food, Insurance Costs" that many restaurants can't afford the new high premiums, so they risk it with "bare" coverage on certain things.
Paul DiBenedetto is senior vice president, Franchise/Hospitality Segment leader, at the insurer HUB International Limited. In an interview with Insurance Journal he predicts that 2024 is going to be a banner year for the restaurant industry, "but that will also be coupled with the highest costs in the restaurant industry," adding that more sales often equals more insurance costs.
"Between that, how high property taxes are — tenants have to pay that, too," Honea says, "plus what some landlords are charging for rent, I wouldn't be surprised if places that are struggling start to close. We're fortunate to have a fantastic landlord and business is going great but not everyone is in our position."
She points to a new trend of $20 cocktails: it's just passing along costs.
"Plus inflation has driven up the cost of everything, and supply chain issues are still a problem," she says, adding that if something is difficult to find, such as Topo Chico, the price often skyrockets when it becomes available again.
"Last year we could get a 12-count box of Topo Chico for $8, now it's $12. Plastic cups and paper goods have doubled in price. Trash bags, kitchen and bar equipment, you name it, all costs more," Honea says. "OJ is now $7 or more a gallon. Electric rates are through the roof. Everything that the public is experiencing from inflation is hitting businesses as hard or harder."
And then to get burglarized.
"The thieves were in and out in less than five minutes," Honea says. "People get desperate when it's really hot out and so many people are hurting because of inflation and the cost of housing." She recommends businesses install an alarm and a security system, adding they had just upgraded their system.
A great way to support The Grapevine, one of our favorite local bars, is to head there on Friday, Aug. 16, for their first concert, The Joshua Tree, a U2 cover band. On Sept. 7, The Clinton Years cover band will take the stage. There's bingo every Monday, trivia on Tuesdays, and karaoke on Wednesdays. Starting Sept. 8, they'll have DJ Ruudgurl on the patio every Sunday afternoon.
Also, their kitchen is "super close" to being opened, with a chef fine-tuning the menu now, although Honea says the burglary will likely set them back a bit.
We've said it before: if you love a local restaurant and bar, be sure you patronize it, especially during extreme weather.