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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 Lakeside mother made a life-changing sacrifice for a teenager she had never met.“I went into this not knowing if I would ever meet the family,” said Tiffany Jokerst of the surgery.Jokers, a math teacher, has spent her life giving to others. She was web surfing when she noticed a post that would push her to do even more.“I actually saw a story online about a little girl who needed a kidney,” said Jokerst.Without hesitation, Jokerst launched into the process, only to learn she was not a match to the girl. However, Jokerst was a match to 17-year-old Alejandro Hernandez.“Alejandro has been struggling with kidney disease all his life, finally his kidneys failed,” said Dr. Elizabeth Ingulli of Rady Children’s Hospital.The hospital currently has 29 patients on its transplant waiting list.Jokerst agreed to the surgery and Hernandez received the transplant he desperately needed.“I can play soccer, work out, hang out with my friends,” Hernandez said.Jokerst and Hernandez met for the first time Tuesday. Their biological bond is undeniable and they hope their new friendship lasts a lifetime.“I’m so happy,” Hernandez said. 1156
SAN DIEGO (KGTV) - A local contractor is facing criminal charges for allegedly taking customers money and doing little to no work.On Monday Stephen Hage Jr. plead not guilty to charges ranging from grand theft to improper home improvement contract procedures.According to the prosecutor Hage allegedly took down payments on home improvement contracts, and after getting the money disappeared after performing little to no work.In November, a Team 10 investigation discovered some customers who said they signed a contract with American Pride Enterprises, paid thousands of dollars up front and were left with little or nothing. James Francois said he paid Hage more than ,000 for a patio.“He never showed up, never delivered any material, never did an hour of work,” Francois told 10News in November.The Contractors State License Board revoked American Pride Enterprises' license for non-compliance with an arbitration award in July of 2018.After the hearing Team 10 investigator Adam Racusin asked Hage if he had a comment about the allegations. Hage’s attorney said they had no comment. Hage is scheduled to be back in court in May. 1144
SAN DIEGO (KGTV) - A lawsuit has now been filed surrounding the platform collapse that injured 21 children and some adults last November at Vault PK parkour gym inside a Barrio Logan warehouse.Two mothers and six children are represented in the complaint, filed against Vault PK and San Diego's Metropolitan Transportation System (MTS), among other defendants.MTS owned the warehouse and subleased the space to a business that subleased again to Vault PK. A few days after the collapse, MTS was hit with a dozen building code violations.Some of the families are suing MTS and Vault PK for negligence, among other complaints.MTS told 10News it won't comment on pending litigation. 713
SAN DIEGO (KGTV) - A new program is helping San Diegans get back into the classroom without the fear of crippling student loans. Offered through the San Diego Workforce Partnership and UC San Diego Extension, the program costs nothing upfront.It's called an Income Share Agreement (ISA); tuition is covered, and students agree to pay a small proportion of their income for a set period of time after graduating.The programs include front-end web development, Java programming, business intelligence, or digital marketing; each costs ,500.Adam Taylor is part of the first cohort of students. The Marine Corps veteran is still working to pay back student loans from several years ago but wanted to further his education to increase his salary."It seemed like a little more security in taking a chance and investing in yourself, as opposed to the school loans where they really don't care if you get a job or not," said Taylor, who's studying digital marketing. The program is possible thanks to million in grant funding, with Strada Education Network providing an initial .2 million. Strada granted the money to the Workforce to increase access and diversity in tech through ISAs.The program succeeds if students succeed. Those who get a job and pay back into the program will support future students. "The ranges are you pay nothing if you're making under ,000, if you're making over that, you'll pay between 5 and 8 percent of your income, and then you'll never pay more than about 1.6 to 1.8 of what was initially financed for you," said Andy Hall, Chief Operating Officer of the San Diego Workforce Partnership.To learn more or apply for a program click here. 1680