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SAN DIEGO (KGTV) - A pair of recent restaurant closures are highlighting some of the struggles owners are facing as the industry grapples with major shifts in the way it does business.Last month, Brooklyn Girl in Mission Hills and Urban Solace in North Park both closed their doors. Facebook posts thanked long-time customers but gave few answers as to why.Industry experts think it's a sign of bigger problems in the hospitality sector, as rising costs and changes in people's behavior are combining in a "perfect storm" of problems.RELATED: El Pollo Grill to open new location in Chula Vista"These are seasoned operators, people who have been in business for a long time. And for one reason or another they're just stumped," says Stephen Zolezzi, the President and CEO of the Food and Beverage Association of San Diego.His association tracks the total number of licenses given out in San Diego to food and beverage vendors. Zolezzi says over the last three years, there's been an increase of 300 licenses. While that may make it seem like the industry is growing, Zolezzi sees it differently."Previous years, we've seen increases of 1,000 or 2,000 licenses," he says.RELATED: Restaurant closing in Coronado highlights uncertain future for Orange AvenueZolezzi says the cost to operate a restaurant is becoming too expensive to manage. The prices of rent, insurance, and goods have all gone up in the past year. There are also higher labor costs because of minimum wage hikes and low unemployment creating favorable hiring conditions for employees.But cost isn't the only factor."Customer loyalty, today, is really at a low," says Zolezzi. His members say diners now would rather go to multiple places once than become regular, dependable customers at a few spots."You could be doing everything right," he says. "Great food, great service, great value; but the customers just move on because there's something else."RELATED: New east Chula Vista shopping center quickly taking shapeAnother factor is the rise of delivery apps like GrubHub, DoorDash and Postmates. Zolezzi says these apps can charge restaurants as much as 30% of the total bill, plus delivery fees, to carry their food. That cuts into already razor-thin margins and in some cases cause restaurants to lose money on each delivery order."If you don't have that factored into your business plan, it could create a negative," he says.Zolezzi says it's now up to the industry to adapt, as restaurant owners need to constantly reinvent their location, menu, and marketing to bring in more customers. 2568
SAN DIEGO (KGTV) - A hands-on workforce training program is helping people with disabilities land jobs.Hands On @ Hyatt provides two weeks of on-the-job training at the Manchester Grand Hyatt San Diego. Students in the culinary training program get 100 hours of paid training, working with professional chefs.Kyle Lovell was a student in the program and ultimately landed a full-time job at the Hyatt as a cook."We're all here at the end of the day to work, to find a job, to make it on our own," said Lovell, "I hope everyone that has a disability knows they aren't alone."Lovell has a learning disability, but the program works with people ranging from physical disabilities to hearing impairment."I hope employers will see there are people out there with challenges that can work really hard and do a really good job," said Lovell.While unemployment hovers around 4 percent, it's twice as high for people with disabilities.The state-funded program is a partnership of Florida-based company Hands on Educational Services.Anyone interested in applying can learn more here. 1082
SAN DIEGO (KGTV) -- A measure that would increase San Diego's hotel tax is heading to the ballot on March 3 and a recent poll shows how San Diegans feel about Measure C. Measure C would increase San Diego’s hotel visitor tax from 10.5 percent to 11.75, 12.75 and 13.75 percent depending on hotel location through at least 2061.The money would go toward expanding the convention center, funding homelessness programs and fixing San Diego roads. According to the “Yes on C” campaign, the measure would create 7 million for homeless programs in the first five years of the initiative. The campaign also says the measure would create 7,000 jobs. RELATED: Here's what happens if voters approve Measure B - Newland SierraAs far as roads, the measure includes “dedicated finding for fixing our streets.” If passed, money would go toward repaving an additional 150 miles of city streets every year. The measure also includes criminal penalties if politicians misuse the funds, according to the campaign. A new poll shows how San Diegans are feeling about the measure. The measure requires two-thirds supermajority to pass. A 10News-San Diego Union-Tribune poll shows that, as of February, 61 percent support the measure while 21 percent are opposed and 18 percent are undecided. “A majority of San Diegans are uniting behind Measure C because it is straight forward in its approach to tackling the city’s most pressing issues with a tax on tourists, not San Diegans," said Greg Block, a spokesman for the Measure C campaign. "People already know Measure C will help with homelessness, street repair and job creation by expanding of the Convention Center."Michael McConnell, an advocate for the homeless, is leading the opposition and warns the measure has “loopholes and risks.”"They are hiding up to Billion in bonds with no guarantee that money will be spent the right way," he said in a statement. "It does not even guarantee any housing and services for homeless families, seniors or veterans. We can’t trust the supporters who have taken money from a private prison company and been exposed for paying for support."Below is a breakdown of how the money would be spent: From the date the tax takes effect through the city’s fiscal year 2023-2024, the revenue from the tax would be allocated as follows: 59% to Convention Center purposes; and 41% to homelessness programs and services. After Fiscal Year 2023-2024, revenue from the increase would be allocated: 59% to Convention Center purposes; 31% to homelessness programs and services; and 10% for street repairs. 2575
SAN DIEGO (KGTV) -- A man who groped and sexually assaulted four female students as they walked to their off-campus housing near SDSU pleaded guilty Monday.Minda Shewangizaw, 20, pleaded guilty to charges including felony and misdemeanor counts of false imprisonment and sexual battery.All four victims in the case, who ranged in age from 17 to 19, testified during the preliminary hearing.One of the victims said she and her roommate were walking home after midnight when Shewangizaw came up behind her and “grabbed her butt.RELATED: Women testify against UC Riverside student accused of groping near San Diego State”Her roommate said she noticed someone walking behind them before he began to chase them. "I said, You need to leave. He grabbed my hand and pulled me toward him. He pulled my shirt down and grabbed my breast."She said she kicked Shewangizaw and was able to break free.Another victim testified that she and another woman were on a pedestrian bridge heading back to their dorm when she heard footsteps and was smacked on her “behind” by Schewangizaw."I was livid. I said, What are you doing? Don't do that! He laughed it off."She said she kept walking when the defendant made a remark about her breasts before pulling her shirt down and putting his hands on her chest.A witness said Shewangizaw then grabbed her breast and buttocks and trapped her against a rail before laughing and walking away.The sentencing is scheduled for June 12. 1460
SAN DIEGO (KGTV) -- A new poll shows what Californians thought of President Donald Trump’s address to the nation Tuesday night. During the address, the President made an appeal to the American people on border security and a proposed border wall. Of 1,000 people asked for the 10News/Union Tribune poll, 35 percent say they watched the address while 32 percent say they didn’t. Of those who saw the address, a majority say they believe most of what the President said is false, while 23 percent say it was a mix of true and false. 539