According to Zack Matheny, president of Downtown Greensboro Inc. (DGI), there are multiple reasons for recent restaurant closings in the municipal district his tax-funded organization administers.
“Rising food cost, labor cost, and economic challenges including tariffs, along with the rise of GLP-1 injections changing eating habits, are all mitigating factors.”
Glucagon-Like Peptide-1 medications, such as Ozempic, treat obesity and type 2 diabetes by mimicking a naturally occurring hormone to reduce appetite.
Matheny emailed that statement after being asked to comment on the closings of four popular downtown restaurants.
Liberty Oak at 100 West Washington St. shut its doors sometime before Christmas. A sign on the front door stated CLOSED FOR UPDATING.
On Jan. 16, Sean and Tara Reaves, owners of Cille and Scoe at 112 S. Elm St., announced they will not be renewing their lease when it expires in July. The restaurant opened in 2021 and was featured on the Food Network’s Chopped in 2023. In a video posted to social media, Tara stated she and her husband want to spend more time with their five children.
Cille & Scoe
On Jan. 26, Dame’s Chicken and Waffles at 301 Martin Luther King Drive closed after nearly 14 years. Owners Damion Moore and Randy Wadsworth told Triad Business Journal that declining foot traffic and sales caused them to close their Greensboro restaurant in order to focus on their Durham location.
On Jan. 27, M’Coul’s Public House at 110 W. McGee St. closed its doors after nearly 24 years of business. Owner Simonne Ritchy has not stated the reason for the closing.
Dame’s
In his email, Matheny wrote, “I find it of great interest how many local restaurants are chiming in on the hardships of running a restaurant the last few years.” He also noted that these challenges are not confined to either the downtown area or its restaurants, as Red Cinemas at 1305 Battleground Ave. announced its immediate closing on Jan. 28.
“From a downtown perspective, we are losing long-standing restaurants that have been a staple in the fabric of our community. For our city and nation, the last few years have been extremely difficult. The uncertainty with government shutdowns and the national sentiment and concern add to less consumer spending.”
Due to these trends, wrote Matheny, “DGI implemented a restaurant-specific marketing campaign late last year. We continue to hold monthly business owner meetings, the last one being at the Civil Rights museum a few weeks ago, with the goal of open dialogue. DGI will continue to seek feedback on how we can aid the downtown small businesses and restaurants, but all our Greensboro and Triad businesses need support now.”
M’Coul’s
Matheny also forwarded an email he sent to the News & Record, in which he linked to reports of restaurant closings in Durham and Charlotte and included “a focused look at downtown Winston-Salem restaurants that have permanently closed in roughly the last 18 months.”
According to DGI Vice President Rob Overman, Matheny also wrote a statement posted to the DGI Facebook page on Jan. 27, which, 48 hours later, had received over 450 comments, the bulk of them negative.
The post stated that DGI was launching “a proactive marketing campaign encouraging the community to support downtown Greensboro restaurants,” including “a digital marketing campaign with a local news affiliate” and “collaborating with more than 27 downtown restaurants to promote Chow Downtown, a restaurant week featuring special menus, discounts, and new offerings.”
Easa Hanhan, who co-owns Jerusalem Market at 310 S. Elm St., said that he is not happy with DGI’s statements.
“We’ve been talking to them for the past six months and voicing the same concerns and issues, like the unhoused and the new parking regulations that are confusing and kind of went into effect overnight. And they just say, well, we’re listening and we’re considering, but it’s just canned responses over and over.”
Liberty Oak
Hanhan asked what the special taxes on downtown businesses that help fund DGI are paying for.
“We’re paying your [DGI’s] salaries. Your offices are a block down the street, and we don’t ever see your faces. Feel free to walk in.”
In a viral Instagram video, Kathryn Hubert, owner and chef of Chez Genèse at 616 S. Elm St., stated that Greensboro’s restaurants, like so much of the nation, have never truly recovered from the pandemic, and that the current political climate has only made this worse.
“Restaurants that are still here today are often told, ‘Wow, you survived COVID, but in reality, it has been a daily thing since 2020,” Hubert said that in the seven years since she opened, she’s only paid income taxes twice. “Not because I’m cheating on my taxes, but because there literally has been no income to pay taxes on.”
She reminded her viewers that local restaurants are community hubs. “When our communities don’t feel safe, they stop coming out. There are a lot of different factors that play into public safety, but the ICE raids that are happening in our country right now are definitely at the top of that list.”
And unforeseen variables like snowstorms, said Hubert, “can absolutely be the straw that broke the camel’s back.”
She asked her viewers to “vote, use your voice, call your representative, take time to educate yourself about the political landscape,” and “become a regular by using restaurants as the community hubs that they are.”
“Pick two or three that you deeply care about and make them yours. You are not responsible for keeping every business in your town alive and afloat, but you can make a really big difference by becoming a regular at a select few.”
Brian Lampkin, co-owner of Scuppernong Books at 304 S. Elm St, said there’s no single reason for the closings.
“We all want something simple and concrete to say, but I don’t know what it is. Obviously, things could be improved downtown, but name a place where it can’t.”
He cautioned against assigning blame to the businesses themselves, as some on social media have done.
“M’Coul’s put in 25 damn good years. When do you say, this is hard, I’ve worked so hard all this time, but enough. I don’t know why they left, but let’s think about that, too.”
In a text message, Mayor Marikay Abuzuaiter expressed sorrow over recent closings, citing her 22 years as owner of Mahi’s Seafood, which closed in 2014.
“I can’t tell you how heartbroken I am to hear of the many good restaurants downtown that are closing. Because downtown IS the heart of Greensboro, this is a time we need to pull together and support one another. The city plans on working with DGI, Inc., to determine best steps to provide paths to success for restaurants and businesses alike.”
She stressed the importance of supporting businesses downtown and throughout the city.
“I did so by dining downtown last evening. The more of us who go to dine, shop, and visit downtown, the stronger our downtown will be.”
