Bloomington losing local restaurants

Corporate takeovers forcing restaurants from locations

By Jenn Luechauer

Published Dec. 4, 2006

Halfway down Kirkwood from the Sample Gates stands Jiffy Treet, the red-and-white striped, 50s-style ice cream parlor, Laughing Planet, an eclectic burrito restaurant with organic and vegan options.

Two blocks further west on Kirkwood, at the corner of Washington, is the home of Ladyman’s Café, a small diner serving home-style cooking, and Greek’s Pizzaria offering a variety of pizzas made from scratch and available with vegan ingredients.

Each of these restaurants may have a menu, style and atmosphere that differ completely from the others.  But they have one thing in common.  Each is a small, locally-owned business that may not be in Bloomington much longer. 

These well-known restaurants are not choosing to move on their own, but rather because they are the victims of a trend consuming downtown.  In recent months, the properties many downtown restaurants occupy have been purchased by real estate developers and will be remodeled, leaving the restaurant owners without a building for their business.

“The takeovers are affecting Bloomington in an unfortunate way,” Laughing Planet owner Pete Smith said. “They are homogenizing it.”

Losing Traditions

Some restaurants are facing the takeovers sooner than others.  Ladyman’s Café served its last meal on Dec. 10 after 49 years of business in its location at Washington and Kirkwood. Heartland Development, which bought the building, plans to demolish it and build a new five-story office building to house Finelight Strategic Marketing Communications.

Photo by Jenn Luechauer Notes on the windows of Ladyman's Cafe tell customers the restaurant will be closing on Dec. 10.  The building will be demolished and a new five-story office building will take its place.

When the community heard about Ladyman’s being forced out of its location, friends and customers petitioned by writing comments on the sidewalk outside of the restaurant. But the petitioning was ignored, and now Ladyman’s will close its doors forever, as no future plans for Ladyman’s to relocate exist.

Jiffy Treet has operated out of its Kirkwood location since 1992, but over the summer, Tartan Realty Group of Chicago bought the lot and plans to tear down the original structure and redevelop.  Jiffy Treet served its last ice cream cones and sundaes on Dec. 1.  According to the Tartan's website, the new building will be three stories with retail outlets, offices and apartments.

“I’m sad to see restaurants that have become a part of Bloomington be forced to leave,” IU student Ashley Hughes said.  “My roommate and I come to Kirkwood almost every weekend to go shopping and get Jiffy Treet.  Now all that will change.”

Finding a new home

For some restaurant owners this change has already taken their business away, but others realize that, while the takeover hasn’t happened yet, it’s inevitable.  Kyle Hawkins has owned Greek’s Pizzaria, located next to Ladyman’s, for three years but is unable to renew his lease for the space, which expires in Aug. 2007.  Because Heartland is not allowing renewals of leases, Hawkins has started looking for a new location for his restaurant.

“I have wanted to expand the restaurant for a while anyway,” Hawkins said.  “We are in a small space now, and I want to be closer to a bar.  It’s just happening a lot faster than I thought.”

It will be a few years until Smith has to consider the future of Laughing Planet, as there is still time remaining on his lease.  Currently, he has no plan for the business if his restaurant does experience a takeover, but he assumes that he will relocate the restaurant.

“I wish downtown could stay full of small businesses,” Smith said. “That’s how I feel personally.  Professionally, that’s business.  The land is desirable.  Is it ethical?  No.  Is it legal?  Yes.”

A helping hand

Mayor Mark Kruzan has stepped in to help restaurant owners with the tough situations they are facing.  Danise Alano, his assistant director of economic development, serves as an advocate for small business dealing with the City of Bloomington.  As part of her position, she keeps in contact with the small business owners facing the takeovers and also informs them of programs that may offer assistance when dealing with relocation. 

She provides the business owners with information about a loan program available through the mayor's office and informs them about other resources in the community that may be helpful.

“It must be the decision of the owner of the business whether to take advantage of the tools they are eligible for and the resources offered to them from whatever source,” Alano said.  “Each business is different, and each owner may make different decisions based upon the same information, depending upon their individual goals for their businesses and themselves.”

Changing downtown

From an economic development perspective, Alano thinks it is important for the economy to have a balance of small, locally owned businesses and major downtown employers.  To achieve this balance requires a shift in the number of small and big business, which requires change.

While these changes are saddening for some who are losing their businesses or exciting for others who want to relocate, one thing remains the same, Bloomington is changing.  Bloomington has seen a great deal of change over the last few decades.  Some local restaurants have relocated and succeeded, while other local traditions have been lost.

Photo by Jenn Luechauer Writing on the windows of Ladyman's thanks customers for 49 years of business. Ladyman's is closing on Dec. 10 as a result of big business takeovers.

“There is no doubt that our downtown is changing,” Alano said.  “Although I do not believe that this continued vibrancy of the downtown threatens our hometown character, I do understand that change can certainly be difficult, to say the least.”

Change is hard to understand, especially for restaurant owners losing their business, but some see the positive side.  Hawkins thinks plans for a parking garage are a great idea, and depending on what new businesses come to Kirkwood, theses changes could be great for Bloomington.  While he hates to see other small business owners lose their restaurants, he understands why the changes are occurring.

“Bloomington tries to be different and keep the small-town feeling,” he said.  “Now things are changing a lot here, and it's becoming a small city.  If money keeps coming in the way that it is, these things are going to continue to happen.”

Just because the changes are justified, restaurant owners still find it difficult to see the changes as fair.  Hawkins knows that the owners of Ladyman’s have been` upset with the takeovers because they have been in their location for almost 50 years and don’t want to relocate.  His relocation depends on finding a space he can afford in a good location.

“It's probably going to cost me everything I have to relocate,” Hawkins said. “It takes a lot to move a restaurant.  If you don’t have your heart in it, it’s just a lot of work.”

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