Tanya Holland brings TV glitz to West Oakland

West Oakland twice struck out landing the Wayans Brothers, who were going to build a movie studio thing on the old Army Base until they realized their children's "fun zone" would be right next to toxic emissions from giant container ships. Woops.

Now the neighborhood has finally landed a development from a TV star, albeit on a slightly smaller scale and a lot more healthy: Tanya Holland, who previously hosted "Melting Pot" on the Food Network and ran the kitchen at Le Theatre in Berkeley, is opening Brown Sugar Kitchen next month at the former home of Triangle Cafe at Mandela and 26th.

The concept is "cooking with soul" using "locally grown, organic and seasonal ingredients whenever possible." Wines are from African American California vintners -- and from the South of France. There will be microbrews -- and Blue Bottle Coffee.

Think of soul food combined with formal French training. The recipes in Holland's cookbook should give you some idea.

Holland is doing a cooking demo Friday night at the Museum of California (in Oakland).

More in my Business Times update: Food Network star to open West Oakland restaurant (free link)

Kuleto restaurants delayed, over budget

Pat Kuleto's two waterfront restaurants, WaterBar and Epic Roasthouse, have fallen two months and at least $2 million behind schedule, I reported in the Business Times on Friday (free link!).

Also, some of the ceilings are going to be pretty low (8 feet).

On the plus side: lots of outdoor terrace seating, high ceilings over the dining room, and both restaurants are pretty far along.

The project was already dropping jaws at its $18 million cost, now the cost is somewhere over $20 million.

Exclusive Flora pic! (... link. Exclusive Flora pic LINK. Still exclamation-mark worthy!)

The team behind high-end Mexican restaurants Dona Tomas in Oakland and Tacubaya in Berkeley are close to opening their Uptown Oakland joint, Flora.

I walked past the restaurant last night and spied a small group inside, putting on the finishing touches. It is looking like the casual cocktail cafe we were promised last year, with a definite Raymond Chandler, late 1940s feel.

My cell phone shots are awful, so go check out this picture, taken by one of my companions last night.

Foie gras is back at Jardiniere

SF Chronicle, August 2003, following attacks on chef Laurent Manrique of Aqua:

Jardiniere's Traci Des Jardins ... said she will discontinue her signature foie gras and see how customers respond. Although she, like many chefs, wonders if her restaurant will be the next target, Des Jardins says her decision is not about fear. Ever since she visited a foie gras farm in 1995, Des Jardins said she's been "haunted by the image of those ducks."

Jardiniere menu, November 2007:

***
Liberty Farms Duck Breast,
Fuyu Persimmon, Chestnuts and Foie Gras Beignet, Huckleberry Jus
Emeritus Pinot Noir, Russian River Valley, California 2005
***

And from the Jardiniere New Year's Eve menu (PDF) for later this year:

Terrine of Foie Gras
Ginger Gelée and Toasted
Prum Riesling Auslese “Wehlener
Mosel-Saar-Ruwer, Germany 1997

Jardinier's opera-loving customers, it would appear, are quite fond of foie gras, and not particularly concerned with Traci Des Jardins' traumatic, terrifying nightmares.

Tough crowd!

Truffle crisis means you should probably skip the supplement

Not only do California chefs have to buy truffles with worthless American dollars, but it's pretty much no use even trying, according to my awesome chef tipster writes:

Truffles. Theoretically this is their time. There was no late-summer rain in Piemonte, or most of Italy for that matter and so there are no truffles. Some are popping up in the March, Tuscany, Umbria, northern Campania and Lazio, but they're weak and ridiculously expensive. I've got about the best truffle connection you can get and I'd have to pay 2700/lb for little fucking marbles with precious little perfume. I was in Rome two weeks ago and had some - they were ok, but hardly worth it. After three days of packing, traveling and getting into the states, they'll be pointless and most people will probably have to help them along with truffle oil and other such tricks. ... So far, this is a bad year.

The little ones seem to work well enough in special cheeses and macarons, but point taken!

Michael Mina brasserie -- may yet be (Or: My seduction by Laurence Geller)

Last week I had a date with Laurence Geller, CEO of Strategic Hotels & Resorts and, by extension, the owner of the Westin Saint Francis hotel here in San Francisco. He put me in an apron, plied me with wine, cooked for me in a rooftop kitchen, gave me a signed copy of his rather purple novel "Do Not Disturb" and entertained me with the most delightful story about Michael Mina.

Michael Mina was going to make him a brasserie, in his hotel. Michael Mina was going to put it in the old Oak Room. Michael Mina was going to also make a bakery inside the brasserie and give it a window onto Post Street, somehow, and everyone was going to come and it was going to be awesome.

Laurence told me this, and gave me champagne, which made me happy, and then later he told as much to his 10 other guests, even though he did not care for them in that special way in which he cared for me, and he poured us more wine, and we were happy.

There were warning signs. When, the next day, I called the general manager of the St. Francis, a reliable and trustworthy fellow, he let on that the brasserie plans were, well, in the conceptual stage, but still "likely." And that Michael Mina was in talks but not, shall we say, signed on the dotted line. Michael Mina could not be reached for comment.

Actually, Michael Mina was reached for comment, the day after we went to press. Telling me that the plan for a brasserie was very preliminary, one among perhaps 15 projects Mina's company (total restaurants: 10) is weighing at any given time. But he was fairly certain he'd be running the St. Francis' new bar, the Clock Bar. But writing about the brasserie would be, uh, premature.

Well, Michael, you'll have to call Laurence about that one. Careful -- he's a sweet talker.

SF Business Times: St. Francis sees $150M hotel upgrade: CEO: But first, fix tourism (free link)

SF hotels face capital famine

Hi!

Hope you had a GREAT summer!

Did you have a GREAT summer?

Hope so!

Because now the money is gone!

Yup!

Gone!

Probably not a big deal. The money went away for the month of August, and may return in September, or October, or sometime in the fall, or maybe next year, or maybe not quite ever, but everyone expects it will probably come back.

But for now it's taken a little vacation. Or an extended sabbatical. Whatever.

Don't want to overstate things. By "the money," I just mean the commercial paper that underwrote 80 percent of all hotel finance. And by "gone," I just mean not being given out to anyone, anywhere, anymore.

This really is not a big deal, unless you're a hotelier. Or a restaurateur. Or in the construction industry.

Or a broker, or in interior design, or an architect.

Or in the hospitality industry. Or in a business impacted by the hospitality industry. Or in a business that touches in some way on real estate.

Or in a business that needs, like, capital.

In a nutshell, the problem is that most commercial lending was done through supposedly very safe "commercial paper," or short-term loans to reliable businesses.

But Jim Cramer's hedge fund buddies took some of these loans and invested them in subprime mortgages, junk bonds and probably high-grade Columbian cocaine, no is really sure at this point because we're only talking about hundreds of billions of dollars and who really tracks that sort of pocket change.

Mainstream banks like the one that runs your checking account thought this all sounded swell and started borrowing and lending money this way too.

No one worried too much because as soon as someone made one of these insane loans he could then chop it up into a million pieces and sell the pieces to other investors who didn't know or care much about what they were buying.

They just cared that the loan had been stamped "AAA" by the ratings agencies, who of course valued the loans using computers, esoteric math no one understood and inputs no one could agree on.

About a month ago, everyone finally realized that some of this paper was not backed by operationally sound businesses but instead by people lending money to typical American homeowners which, as you might imagine, is a batshit crazy business to be in. Then they realized they couldn't tell which commercial paper was being used badly and which was sound. Then they stopped issuing commercial paper, which is a way of saying they stopped loaning anyone any money.

Commercial paper underwrites 80 percent of hotel deals, according to Jones Lang LaSalle. Ha ha, pretty hilarious madcap situation, right?

So now hotels, who by the way were sort of supposed to be the saviors of the hard-pressed local restaurant industry, can't get cash and have lost about 20 percent of their total value in like a month or two.

A small fraction of the top hotels can still get money from what are known as "balance sheet lenders," aka people who actually have cash money to lend and aren't counting on reselling the debt to others to offload the risk and aren't like panicking or whatever. Also, if you had a deal closed -- truly closed, not just nonrefundable -- before the meltdown, it will generally still go through, which is why you will still see deals being announced.

The whole capital crunch nearly derailed the recent Hotel Palomar sale a couple of times, all the principals told me, but luckily it was far enough along to make it to the finish line.

More in the ...

Business Times: Credit crunch leaves S.F. hoteliers hungry (free link)

Aqua taking Fifth Floor in 'very French direction,' source says

Griffin Capital's $58 million acquisition of Hotel Palomar from Kimpton included a detailed agreement on how the Fifth Floor restaurant would evolve, a source close to the deal told me, including Aqua Development Corp. running the restaurant, a female chef who has already been specified and an overhaul that takes the restaurant in "a very French direction."

This is all from my Business Times story Friday.

More and more hotel managers are entirely outsourcing restaurant operations. Ducca at Westin Market Street is being run by Puccini Group, who will also run Eno, the wine, cheese and chocolate bar in the Westin St. Francis.

Kimpton also plans to tweak the menu under the new executive chef at Scala's, Patrick Robertson, and as reported here previously, at Grand Cafe to renovate the bar and take the menu in a more French and casual direction.

Business Times: Kimpton spices up hotel restaurants (free link)

Ogden has 'less active role' in Lark Creek Restaurant Group, Dellar says

My coworker Elizabeth Browne at the Business Times reports in this week's issue on all the growth at Lark Creek Restaurant Group, and interestingly gets co-founder Michael Dellar to admit that his partner, chef Bradley Ogden, has taken a big step back from the business.

It seems Ogden is especially uninvolved in Bay Area restaurants like Yankee Pier and Lark Creek Steak, according to money man Dellar. From the story:

The 8,000-square-foot Bradley Ogden opened at Caesar's Palace in Las Vegas in 2003, and was named best new restaurant for 2004 by the prestigious James Beard Foundation. Ogden moved to Las Vegas to start the venture and has since taken a less active role in the company, Dellar said, with culinary efforts now headed by Adrian Hoffman, former chef at One Market.

I asked Dellar about his relationship with Ogden in February. He said Ogden was still with the company but had pulled back:

He's just not here very much ... He's here occaissionally -- he makes regular visits here, but his time is spent more and more with our business partners [for example in Las Vegas].

In the Meantime, Dellar is growing the company from 11 restaurants now to 13 in 2008 and 16 in 2009, in the greater Bay Area and "Southern California, Phoenix, Scottsdale, Ariz. and the Seattle area." Revenue companywide will be around $45 million this year.

Business Times: Lark Creek is flowing into new locations (subscriber-only link for three weeks)

Chow eyeing Jack London Square in Oakland, even as food hall shrinks

San Francisco restaurant Chow is interested in a location in Oakland's Jack London Square, the East Bay Express reported Wednesday, even as the square's developers struggle to attract other food tenants.

Meanwhile, the developers have cut way back on the restaurant and food component of the so-called "Harvest Hall" at the center of the Jack London Square expansion, I reported Friday. It was going to be 185,000 square feet of sit-down restaurants, food stalls, produce shops, meat markets, a cooking school, exhibitions and other food attractions.

Now it's two-thirds offices, with only the lower two of six floors dedicated to food. Apparently this was allowed under the entitlements approved by the city council a couple of years ago.

The changes were put forward after the developers closed on $200 million in construction financing for the first half of the development. Office is easier to fund these days than food, particularly if you are taking a Slow Food approach.

Business Times: Oakland's Harvest Hall will be mostly offices / Developers line up $200M to begin (free link)
East Bay Express: Back to Square One

UC Berkeley to finally get a decent hotel

Chip Conley's Joie de Vivre Hospitality is opening its first hotel in the East Bay following its takeover and planned $9 million renovation of the historic Hotel Durant, one block from the UC Berkeley campus.

Joie de Vivre is also poised to takeover the Waterfront Plaza hotel at Jack London Square in conjunction with Ellis Partners LLC, which owns Jack London Square.

Based in San Francisco, Joie de Vivre is expanding aggressively throughout California. It entered the Los Angeles market just two years ago and now has four hotels there, including the recently-acquired Sportsmen's Lodge in Studio City. Conley told me the company is finishing negotiations with two more LA-area hotels. (None of this LA stuff made it into my story).

The Durant in Berkeley is an interesting buy for Joie de Vivre. The company may finally give the University of California the hotel it so richly deserves.

I have lived in Berkeley for 13 years, including 9 years within a block of this hotel, and my wedding guests lodged at the Durant this past June. The hotel has a lot of potential, with great bones, a rich history and a bustling bar.

But like the other major hotel near campus, Hotel Shattuck, it lacks in both amenities and service. The Durant is 80 years old and it shows, from the creaky elevators to the lack of air conditioning to the unreliable plumbing.

If you want a better hotel, you have to go to the Claremont, an expensive resort up in the hills, or to the DoubleTree at the Berkeley Marina. Neither are within easy walking distance of the campus.

The Faculty Club on campus has just 10 spartan rooms. The Bancroft Hotel across the street from campus looks nice from the outside but only has about two dozen rooms.

The university wants to partner with Carpenter & Co. on a fancy hotel and conference center just west of campus, a better location than the Durant from both the freeway and BART, but there is skepticism over whether this plan will ever happen at all.

Business Times: Hotel firm Joie de Vivre makes first East Bay foray (free link)

Straits looking to conquer world, cash out

Chris Yeo of Straits, who mints money out of his Santana Row and Westfield SF Center locations, is closing on a lease in Las Vegas and is in talks with Host Hotels about a hotel in Newport Beach, a deal that could potentially lead to a partnership or acquisition.

Yeo wants to get bought or go public in four years, so brought in nightlife and front-of-the-house restaurant guru Parnell Delchan, who, random trivia, at one point was Matthew McConaughey's boss at Kwanzaa in New York. [Can we play this up for our LA readers?? -ed.]

He's also looking at mall deals in the Midwest and some other deals in Vegas. Not bad for a former hairdresser.

More in the ...

Business Times: Straits owner brings on manager to grow chain (free link)

Bijou for sale

Joie de Vivre and its partners have put the 65-room Bijou on Union Square on the market for close to $10 milion, I reported in Friday's Business Times.

Kimpton still has Palomar on the market, and the Crowne Plaza future flag or owner is still up in the air.

Subscriber-only link until July: Bijou the latest to ride the wave of hotel sales

Michael Bauer gets his Izakaya

What Michael Bauer wants, Michael Bauer gets!

Well, except for a decent table where other patrons don't brush against him a million times an hour, or a small plates restaurant with any sense of pacing, or a respectful hostess half the time, or ... well ... maybe he can't exactly snap his fingers and get whatever he wants.

But he's getting Izakaya!

And the news comes within just two months after Bauer noted on his blog that "the Japanese izakaya way of dining has largely passed us by" in the Bay Area. Izakaya is Japanese bar food.

Exhibit A: The planned Japanese restaurant and baseball lounge at O (free link, see fourth paragraph) in the Japantown Miyako Hotel, soon to be renamed Kabuki Hotel, is supposed to focus on Izakaya dishes. Supposedly they have the designer who did Bix and Myth, they had not named the chef by the time I wrote that story but supposedly were excited about a local up and comer. This is a Joie de Vivre property -- look for close to a dozen new restaurants from them over the next two years, openings overseen by their new food and beverage director David Hoemann.

Exhibit B: SF restaurant Ozumo, which is planning two distinct restaurants in Oakland, is planning an Izakaya menu (free link) at the one carrying the Ozumo name, at Broadway and Grand Ave.


(Photo courtesy SiFu Renka)

New hotel and restaurant in old Pac Bell tower will be nicer than St. Regis, says architect

When the St. Regis hotel opened in San Francisco in 2005, its general manager said it would be more luxurious than anything else in town -- past the Four Seasons, past the Ritz, "top top ... really superior."

The hotel has been charging $400-500 a night and, from what I hear, not negotiating that rate down significantly for anyone.

Now there's another contender -- the "Jazz Era" Pac Bell building, which will become a hotel and condos under a plan from Wilson Meany Sullivan, which is about to pay $118 million for it (free link).

The architect for the building says the 70-80 hotel rooms will be "more intimate than the St. Regis with an even higher level of service." Perhaps they already have a hotel operator lined up, then, since there are a only a handful of companies that would fit that bill.

This is a Biz Times scoop but not by me: real estate reporter JK Dineen gets the credit.

Full story: S.F. tower to become luxe hotel / Wilson Meany Sullivan recasts AT&T building

(free link)

Larry Ellison would like to see other cities. It's not us, it's him.

San Francisco's most financially lucrative convention is called OpenWorld and is run by Oracle, a massive business software company that could buy and sell you like, well, like all the people they have already bought and sold.

OpenWorld has been in San Francisco every year for at least five years, but city officials believe the company is shopping around, looking at younger, "trophy" convention centers (with bigger exhibit spaces, naturally) in places like Las Vegas and Chicago, where CEO Larry Ellison grew up.

Oracle kinda sorta denies it, and San Francisco is totally not impressed.

The good news is, Mayor Newsom led 70 people down to Redwood City to win Oracle back for 2008. The bad news is that there is a significant chance they will leave in the next several years, as I was told by both the CEO of the convention and visitors bureau and the city's head of convention facilities.

The trouble is, the show has grown so large it fills up hotel rooms in the city and they have to put people in rooms as far north as Petaluma and as far south a Santa Cruz and then bus them in. We're close to Oracle HQ and a great lure for attendees, but it would be nice to fit the whole thing in one or two cities, apparently.

I broke this Oracle story (free link) last Friday in the Business Times, and on Saturday it was picked up by that Chronicle column, I think it's called Matier & Ross & What We Read in The Business Times This Morning.

Ozumo on a roll in Oakland. Get it?? Shut up.

Ozumo is doing it YET AGAIN -- going for a new location in Oakland. They can't get enough of the Uptown district!

This is in addition to the new, second Ozumo at Signature Properties' Broadway Grand condo project.

Going beyond that done deal, the team behind Ozumo told me they plan -- but had not yet signed the lease to -- do a wine bar, wine shop and restaurant concept in the large basement of the historic (and attractive) Cathedral Building just a few blocks away from Broadway Grand. They have already applied for a liquor license.

My understanding, by the way, is that Ozumo will not be using the name "Ozumo" in connection with the new location, per agreement with their original Oakland sugar daddy/landlord Signature Properties.

For those who don't know, Ozumo is a swanky sushi place on the San Francisco Embarcadero near the financial district. Owner Jeremy James has been drawn to Oakland in part by lower costs there as the minimum wage rises in San Francisco.

I was tipped off to this story by The DTO, the Web site that broke the news. Go check it out! I'm still marking this "scoop" because I confirmed the advanced negotiations and plans and got details on the concept. Plus I'm MSM -- I'm evil like that. Muhahahaahahaa!

Business Times: S.F. sushi place plans second Oakland spot (free link)

San Francisco to remind you it was gay before gay was cool

In case gay and lesbian travelers forgot how fabulously pro-gay San Francisco has been since forever, the city's convention and visitors bureau is launching its first ever (wha?) ad campaign targeted at gays and lesbians.

It seems that now that "Will and Grace" is in syndication, pretty much every dusty two-bit town in the country is now claiming/acknowledging it has a gay district and spending money on ads in gay travel mags like Passport, gay papers like the Advocate and gay TV channels like ESPNLogo, trying to get a piece of our action.

The big spender is Philadelphia, whose ad campaign stretches to the UK and includes TV commercials showing two men trading impassioned letters and converging for a tryst in ye olde colonial times.

Houston just jumped in the game with a series of "Not So Straight Facts" about Houston. Phoenix is trading on the alleged hotness of professional baseball players and their butts (really? seriously?).

Atlanta, Dallas, Phoenix, Bloomington Indiana -- everyone's gay friendly now and safe and diverse has been forever and ever really!

The Atlanta guy told me he only got a handful of hateful disturbing phone calls about the campaign and said you are perfectly safe from those people if you stay within the city limits or something. So there! (I kid, but Atlanta is actually the gay capital of the Southeast. Or so I was told.)

San Francisco is worried people will come visit less often and spend more time in, say, sweaty Houston if they are not reminded to come "home" to San Francisco, as the convention and visitors bureau put it. Its initial spend is $100,000 per year for print ads in gay and lesbian magazines and newspapers, perhaps a quarter of what Philly spends.

And city officials insist they aren't too worried -- the Travel Industry Association's first-ever gay travel survey found San Francisco ranked number one in percentage of gay travelers who rated it gay-friendly, with 76 percent compared with 57 percent for number-two Key West.

But just to be safe they put five shirtless, muscular men in their first ad. Eat your heart out Fire Island New York!

Business Times: S.F. steps up gay tourism efforts (free link)

SF gay ad: PDF

SF lesbian ad: PDF

Metreon could become convention center; humans, cylons would meet for peaceful dialog

The San Franciscan fable of Metreon has a familiar ring to it: Humans devise a grand utopian project that will weave technology into their lives as never before, but despite a supposedly failsafe architecture end up with a cybernetic hell spawn threatening to coldly exterminate life as they know it.

The Metreon hasn't extinguished all vital signs inside its brutal walls quite yet. The Yerba Buena arts district shopping center retains the most primordial forms of mall life: food court restaurants and a movie theater. Plus it's got two electronics stores operated by Metreon's original developer, Sony.

But the project is hardly the bustling theme park envisioned when Metreon opened eight years ago. Anchor shop spaces remain open, and the building often has a deserted feel to it.

So the city's convention and visitors bureau now proposes Metreon be used as a conference center and merged into the Moscone Convention Center, which it sits on top of. The idea was a suggestion from convention planners -- Moscone customers.

Apparently they have been forced to send some convention "breakout" meetings to hotels like the Hilton and Marriott due to lack of available meeting rooms. They have also been grumbling about shabby carpets and non-soundproof room dividers in the main Moscone Center, plus a lack of WiFi and cellphone coverage, so the bureau is also asking for money to fix that up as well.

Westfield, which took over Metreon last year, did not rule out the idea, but says it is focused on a retail turnaround.

Full story from Friday's Business Times: Officials eye Metreon for Moscone expansion (free link)

San Francisco to ride this whole 'peaceful tolerance' image out, see where it takes us

Like the teenager who has put his awkward high school days behind him, San Francisco is realizing that maybe it shouldn't be quite so ashamed of its insane crazy radical left-wing ideas like believing in global warming, welcoming gays and lesbians and asking if maybe we should think this Iraq thing through.

Maybe these "San Francisco values" might not look so bad to potential tourists, what with Al Gore winning the Oscar, the gay community basically rescuing from instant bankruptcy all network and cable TV channels -- oh and with the whole San Francisco-led takeover of Congress following a Democratic landslide election victory thanks to apparently widespread voter concerns about the war and corruption and the deficit and the planet melting and World War 3 with Iran.

Could the city draw tourists by promoting its wacky values of peace and tolerance?

Mayor Gavin Newsom thinks the idea is so crazy it just might work! Appearing to be quite sober, he told the San Francisco Hotel Council recently:

These are the values that make us so culturally vibrant and economically vibrant, and so these are the values that we need to promote ... We are competing in an industry that is the No. 1 growth industry in the world.

Plus the rest of the world is kind of upset with America for the whole (alleged!) arrogant warmaking hegemony thing, and the whole treating them like terrorists at our airports thing, and it would be nice to have them as tourists since their currencies are worth on average about a hundred million times more than the dollar. So highlighting San Francisco's differences with the rest of the country could yet again prove highly lucrative.

Full story in my Business Times report: 'San Francisco values' to woo foreign visitors / City to stress its differences from U.S. (free link)

Campton Place for sale

When Kor Group bought Campton Place a year and a half ago, it had four stars from Michael Bauer, ranking it among the top four restaurants within city limits, at least by the Chronicle's standards.

Campton Place's restaurant arguably made the reputation of the hotel, and was a key reason that Kor paid $400,000 for each of its 110 rooms, the city's richest hotel deal in seven years.

Things went downhill quickly after Los Angeles-based Kor started running Campton Place, its first SF hotel:

• chef Daniel Humm left for New York;
  
• Michael Bauer gave the restaurant a devastating review that cut it to two and a half stars and said, "it's clear that Campton Place is no longer playing in the big leagues;" and
  
• the city's debut Michelin Guide said the kitchen had "floundered" and did not award it a single star.

Now Kor has put the hotel up for sale, I reported in Friday's Business Times (free link). Given the hyperactive market for San Francisco hotels lately, Campton hopes to earn a profit on the property despite the fortunes of its restaurant.

If a sale occurs, Kor's experience in San Francisco will have been brief. If the price isn't right, it will clearly have been bitter. Campton is Kor's last hotel in the city. The company briefly owned, then sold, the shuttered Canterbury Hotel.

To be fair, Humm said his departure had was not a result of the hotel sale to Kor. Also, whatever faults the restaurant may have, its pastry chef seems to have developed a loyal following in some circles.

Full story: Los Angeles group to sell lone S.F. hotel (free link)

Cap on minimum wage for tipped employees

San Francisco restaurants have been pushing for a statewide tip credit for many years now, which would allow them to count tips toward the minimum wage they pay waiters, at least partly.

Now they are trying to get something similar done on the city level. The idea is to freeze the minimum wage at $9.14 for tipped workers, so they would not get the annual cost of living increases.

The idea is that waiters, bartenders and bussers are making so much money on tips that they can afford to give up their annual minimum wage hikes. Restaurant owners would then have money to give delayed raises to their back-of-the-house workers and to stay afloat, the thinking goes.

A Golden Gate Restaurant Association study two years ago put typical waiter tips at $22-30 per hour, with bussers making an estimated 20 percent of that. The accuracy of such figures could become a key point in determining whether the wage cap idea gains political currency among the Board of Supervisors; whether they see a freeze of the minimum wage, which won't sell, or a freeze in raises for well-off workers, which will sell.

Another idea is to support the gross receipts tax plan floated by Board of Supervisors president Aaron Peskin, who shows his love for both caps and freezing in the picture at right. Peskin wants a gross receipts tax in place of the payroll tax, a move that would benefit restaurants since their biggest cost is labor.

Either way, restaurants clearly want to put some ideas behind the possible one-day restaurant shutdown I reported more than a week ago.

Full details in my Business Times update today:

S.F. restaurants may push for minimum wage freeze for workers who get tips (free link)

Tyler Florence moving to Bay Area from NY, is talking to Kimpton

Because I'm cheap, I haven't had cable at home for a few years now, prefering to watch my favorite shows on DVD from Netflix. This led to an awkward situation when I interviewed Tom Colicchio at 'wichraft SF and he had to explain to me that he was on TV and what Top Chef is, by way of answering a question about traffic to his restaurant.

I am similarly not sure how to play Tyler Florence's move to Mill Valley from New York, confirmed for me just now by his wife (and press contact), since I am not well acquainted with any of his three Food Network shows -- Food 911, Tyler's Ultimate and How to Boil Water.

Will this be giddy news, as the accompanying photo suggests, to all of Tyler's female fans in the Bay Area? Is he admired by local chefs despite his partnership with Applebee's? After all, he was listed in Bill Buford's New Yorker takedown of the Food Network as part of the more credible first wave of hosts on that channel, as opposed to the more telegenic later waves.

In any case, I note in my Business Times Web update on Tyler's move, where you can get more info on this, that:

Florence could likely pick his opportunities in San Francisco. In addition to the three Kimpton openings, the 1,900-room downtown Hilton needs a chef for its planned gourmet tavern; the Argent/Westin is putting in a high-end Italian restaurant and has held talks with PBS chef Nick Stellino; the 1,500-room downtown Marriott has announced it will overhaul its restaurant; the InterContinental hotel under construction next to the Moscone Convention Center will have a 24-hour Italian restaurant and has announced no chef; and HEI Holdings is redoing the restaurant at Le Meridien.

GraceAnn Walden, by the way, broke news of Tyler's move in a brief mention in her monthly e-mail newsletter earlier this week, so consider signing up for that on her website. I am the first to report he is in talks with Kimpton though, so I'm going to mark this as "scoop."

My full story: TV chef moving to Bay Area

Restaurants may shut down in protest

San Francisco restaurateurs are enthusiastic about a possible day of protest in which they all close their doors in opposition to the city's minimum wage and other mandates.

The protest idea came out of a meeting attended by close to 100 restaurateurs at Tres Agaves Thursday, about twice as many people as expected.

It looks like restaurants interested in adding service charges to their bills will not be coordinating with one another, to avoid charges of collusion.

More in my Business Times Web update: Restaurants ponder shutdown protest (free link)

5% service charge topic of big restaurant meeting

Restaurateurs around the city are seriously considering adding a 5% service charge to cover minimum wage increases, I reported in Friday's Business Times (free link).

Dozens of owners, along with the head of the Golden Gate Restaurant Association, are expected to meet this Thursday at Tres Agaves to talk about the issue and possibly coordinate a strategy. Either that or just drink some delicious margaritas at three in the afternoon, but far be it from anyone in the industry to consume alcohol during working hours.

This service charge idea is not new in San Francisco. It surfaced (free link) back in 2004, when the city's higher minimum wage first went into effect, but it turned out to be a false alarm.

But allegedly it's for real this time. Since going into effect in 2004, the minimum wage has since increased three times.

Meanwhile, restaurant owners said they can't hike menu prices any higher -- diners have started ordering cheaper items, cutting back how often they eat out and, horror of horrors, taken to drinking less.

So the restaurateurs have taken up what some of them concede is a bit of psychological trickery: a bill surcharge that could range from 3-18%, depending on the restaurant, but would probably end up being around 5% most of the time.

Technically this can be deducted from the tip. But Mark Pastore at Incanto, who imposed a 5 percent service charge back in 2004, told me that "people rarely do" deduct it from the
tip, even though his menu description of the fee as a "partial service charge" is designed to imply they may do so.

Someone asked me on email this weekend whether this could amount to collusion. In short, the restaurants don't think so. When I asked Kevin Westlye of the restaurant association about this in the course of reporting my story, he said the association attorney believes the meetings are fine because restaurants are not setting prices per se but instead discussing a percentage surcharge. In other words, they are not talking about setting the price of a steak or certain kind of wine, things that would continue to vary widely, but about a percentage on top of these prices.

Full story: 'Service charge' on the boil at S.F. restaurants (free link)

Chris Yeo may expand to Vegas, once had three struggling businesses, aspires to be like Kimpton

I profiled Chris Yeo of Straits (free link) in Friday's Business Times, and if you can't write an interesting profile of this guy you don't belong in journalism.

The story writes itself: After training at Vidal Sassoon in London, Singaporean hairdresser immigrates to the U.S. He starts a successful hair salon by lying to his landlord and working long hours. Parlays his haircutting profits and clients into a restaurant serving his native cuisine. Signs the restaurant lease as his wife is in labor.

The restaurant is failing, so he gambles on a move to a larger space. Then he gambles on a nightclub. Nightclub tanks, but luckily the restaurant takes off.

The restaurant becomes two, then three, then four, now five, with a deal "95 percent" likely in Las Vegas and expansion to Southern California and Seattle on the horizon.

Oh, and it's a total cash machine, with low food costs and high drinks tabs.

I hope I did Chris some justice.

Full story, including some hard revenue numbers:

A long Strait journey / Restaurateur Chris Yeo's story (free link)

Gordon Biersch founder ditches SF for new restaurant

Gordon Biersch co-founder Dean Biersch initially wanted to put his new beer restaurant in San Francisco, but says he has decided to put it in the city of Sonoma due to spiraling costs in SF.

Biersch's tavern is to be called Hopmonk. The place is optimized for serving beer -- each beer is to be carefully selected, served in traditional glassware appropriate to that particular brew, and paired carefully with food.

The beers will be imported from Europe and selected from regional craft brewers in the U.S. Biersch will also brew a house pilsner of his own design, under contract to a brewer (likely Gordon Biersch).

The idea is to have a constantly-changing lineup of beers by category, for example during a winter month Hopmunk might feature bocks and dunkelweizens.

The food and decor is to be locally-inspired, with a Northern California flavor, rather than an imitation of the sort of pub and pub food one might find in Europe. Though it will use local ingredients, Biersch is not aiming for a high-end "gastropub" type menu as at, for example, Salt House, but more of the traditional bar foods -- sandwiches, burgers, soups, salads.

I have the full story in the Business Times:

Biersch taps out in S.F. (free link)

Hilton's $13m Gramercy Tavern lookalike

The monstrous San Francisco Hilton can't stop eating. So it's building an "urban tavern" to lure gullible prey (free link).

Traumatized onlookers will remember that the 1,900-room beast ritually devoured three general managers in as many years. But the hotel is still hungry and must be fed, so out come the barrels of delicious, sweet cash money to fill its belly -- for now.

Hotel owners have set aside $13 million to build a restaurant and bar with 240 seats, plus 20,000 square feet of adjoining meeting space.

The place has no chef or name yet, but Hilton has a pretty developed idea of what the place will be.

It's a gastropub, a bar serving gourmet renditions of hearty foods. It's supposed to lure in unsuspecting businessmen for lunch or dinner. Before they know what's happened, they will be handing over their Amex Black cards for backslapping parties in the private wine room, global arbitrage lectures in the meeting hall and client suites in the hotel tower.

Ideally, they won't emerge from the hotel for several years, confused and destitute. Hotels around town have become increasingly adept at this game in recent years, leading to a slew of new high-end hotel restaurants (free link).

Hilton's restaurant is designed to mimic the investment banker's natural habitat: clubby, with dark woods, faux leather, copper and these medieval looking chandeliers. Engstrom Design Group has been working on the interior and expects to begin demolition in August.

The place was built with an eye toward Gramercy Tavern in New York, according to Hilton's new Food and Beverage Director Stefan Gruvberger. But it's unlike anything else in the Hilton chain and is supposed to feel very separate from the hotel.

It will even have its own entrance, near the corner of Mason and O'Farrell, and the Hilton logo will be banished from the premises. It is set to open in March 2008.

Full story:

Hilton to spend $13M to build new restaurant (free link)

Monster hotel consumes yet another GM

The San Francisco Hilton must be fed!

The beast is the largest hotel on the West Coast, with 1,900 rooms, and demands human sacrifice, specifically General Managers.

It just chewed up and spit out John Mazzoni -- for the second time! Mazzoni lasted less than two months before throwing in the towel ... err, towels.

He's off to a job at Hilton corporate, a promotion. And his first term lasted for more than three years, starting in 2003. So I'm not saying it didn't go well for him, all 42 days of it.

But it's starting to look like musical chairs over there.

In between Mazzoni's two terms was Karima Zaki, a warm and charismatic woman who was charming hospitality types all over town starting last March, and breaking new ground as a female hotel executive. But she announced her departure in November after it became clear her predecessor Mazzoni was not going to be needed any longer as the national union negotiator for the chain, contract talks having gone better than expected.

So Mazzoni returned, and Zaki went off to open a giant new Hilton in San Diego, nearer her extended family and her young daughter's old Southern California friends.

The hotel has just begun its search for a new leader. I write about this on the Business Times website today (free link).

Farmer Brown wants to reap new place

Farmer Brown chef-owner Jay Foster wants to take over the Plush Room in the York Hotel, the hotel's new owner told me.

Personality Hotels is buying the York from CTwo hotels, plus the Maxwell Hotel from Joie de Vivre Hospitality, bringing its total stable of Union Square hotels to seven.

Personality is already landlord to Farmer Brown: the neo-soul food restaurant is located in the company's Metropolis hotel.

I learned all this at a party for the Diva hotel, which was recently renovated with the help of a bunch of up-and-coming artists. Personality Hotels founder Yvonne Lembi-Detert was excited about the new hotels, but gave no indication on how likely she is to let Farmer Brown run the Plush Room.

Prior to writing my story, I confirmed the hotel sales with CTwo and Joie de Vivre. But after we went to press, someone from Personality called to tell me that the loans for the acquisitions are not fully nailed down yet, so these are not quite done deals at the moment.

The Plush Room, aka Empire Plush Room, is now run by Razz Productions.

This all comes from a story I wrote on Personality Hotels (free link) in Friday's Business Times.

Burger Bar story online for free

My story on Hubert Keller bringing his Burger Bar concept back to his culinary hometown of San Francisco from Las Vegas is now online for free.

(This post was corrected Feb. 9: it originally had the wrong link.)

Vessel charging $500 per table; new age of excess

I almost forgot to post my front page story from Friday's Business Times:

A spate of new bars are riding the second dot-com wave, targeting conspicuous consumers with new fees and rules.

My lead example is Vessel, already open many nights as part of its "soft opening" and set to formally open Feb. 22. Vessel is on Campton Place, across from the hotel and next door to Alfred's steakhouse.

The bar cost $1 million - $5 million to build but is hoping to swiftly recoup that from consumers, charging nighttime rates of $500 for a full, 12-person table and $250 for a half table. That's just to sit down, not including bottle service or other drinks.

I also mention the Ambassador, opened in January and reserving booths for people spending hundreds of dollars on bottle service, and of course Bourbon and Branch, where you need a reservation in advance and have a time limit on your visit.

Finally, there's "Mister," a forthcoming Financial District barbershop-and-bar, which targets affluent young financial services types and offers memberships at the "player," "hitter" and "mogul" level.

Hubert Keller's Burger Bar coming to SF

Fleur de Lys chef-owner Hubert Keller is bringing his Las Vegas concept Burger Bar back home to San Francisco, though he has not yet picked out a location.

Keller is also spreading Burger Bar to St. Louis, where one is already under construction as part of a casino project, and possibly to Hawaii.

Keller told me Burger Bar is doing close to 1,000 covers per day in Las Vegas and that he is hoping it will soon cross the $7 million per year revenue mark. Bon Apetit credits the ultra-luxe hamburger joint with spawning a long line of imitators after it opened in March 2004. High end burger places have since opened from chefs like Laurent Tourondel and David Burke in New York, Bobby Flay in Las Vegas (reportedly) and of course Thomas Keller in Napa Valley, who is hoping to soon uncork his burger place.

(Of course New York chef Daniel Boulud was serving a high-end burger at his DB Bistro Moderne by the start of 2003, before Keller’s Burger Bar, but that was not a standalone burger joint.)

I report all this in today's Business Times, along with what neighborhoods Hubert is looking in, what other restaurateurs think of the idea and why SF may be more perfect for Burger Bar than Las Vegas.

Aqua closing Pisces

Thanks to the Covers operative who tipped me off to the fact that Aqua is closing their Pisces seafood restaurant in Burlingame. I got into details on the Business Times website this morning.

While flagship Aqua was the two-Michelin-starred alpharaunt of San Francisco, Pisces did not even merit a mention in the redcoated guidebook's "South of San Francisco" section. People writing in to Zagat rated it a middling 22/30, with one providing the not-so-ringing endorsement "more charming than annoying." The Chronicle gave it two stars in its last review two and a half years ago.

Meanwhile, Pisces was not profitable and needed a facelift that the landlord would not underwrite. So, according to Laurent Manrique, the restaurant is set to close within the week ending Monday.