A little while ago I wrote this thread on Twitter about how chefs with a dream need to approach design and construction of their first restaurant (or one of their first few, for that matter). I was triggered by a story in the local news about yet another chef teaming up with a firm that has a long history of shaming chefs into spending more money than they should (or even have) on elaborate, crazy expensive designs with almost no project management to steer those designs to reality on schedule and on budget.
Now I’m triggered to expand on my Twitter thread by a tweet from Carl Quintanilla about restaurant chains gaining while independents are losing during this pandemic-induced recession. Not to digress (too much), but what it’s really about regardless of whether we’re talking chains or independents is places that serve amazing food (or even just so-so food) and make it effortless to get delivered or picked up curbside will kick ass right now, no matter if they’re big or small. For example, independent fine dining will suffer if they turn their nose up at this notion of delivery/takeout. Or big chain fast/casual will suffer if they don’t quickly pivot to a tightly integrated delivery experiences with phone apps and fast, reliable service. Almost everyone will suffer this winter, so we need to float restaurants during these months of shitty weather with bailouts too. Just give the people what they want…in a pandemic without any bullshit: restaurant food without the whole going into the restaurant part of it. Anyhoo…
…All of this adds to the pressure of a chef opening a one-off restaurant. Elsewhere, I’ve written about the disciplined approach to restaurant development that’s needed by independent operators, but my Twitter thread reflects what might be a better way of saying essentially the same thing. So let’s dig into the details of that now!
First Thing: The Space You’re Going Into Costs More Than Just the Rent
Setting aside the number one most important rule of real estate (location), the space you’re renting for your restaurant needs to be able to accommodate a restaurant. That’s potentially easier if it’s already been a restaurant in the past, even if the last tenant wasn’t a restaurant. I say potentially because it needs to have the infrastructure in place (presently or at a time in the past) specific to YOUR restaurant — and that infrastructure is driven by your menu, so your architect can help figure out what you’ll need based on what you’re serving. If you’re cooking at all, then like 99% of what fucks up your budget if you pick a space that doesn’t lend itself to restaurants is cooking exhaust — getting all the grease-laden smoke from cooking to the outside. This kind of exhaust is super expensive to design, construct, and maintain, so the shorter the duct going from the cooking appliances to the outside, the better off your budget will be. Spaces that don’t lend themselves to short, straightforward runs of grease exhaust duct get insanely expensive real quick. Another space-related money trap is who’s below your tenant space. If it’s anyone other than dirt and worms, it gets spendy to put in underfloor plumbing and make sure your very wet kitchen doesn’t leak into the neighbors below.
There’s all sorts of things about a space that can make it cheap and easy to build out or expensive and difficult. It’s not sexy, and it gets in the way when all you want to do is start putting your dreams “on paper” with your architect, but having your architect perform a thorough assessment of the premises is like having a mechanic look over a used car that you want to buy before you pull out your wallet. So do this before signing a lease if you can, that way you can talk the landlord down on rent or get other concessions based on what your architect discovers. The architect will also do a regulatory assessment to understand all the red tape that you’ll need to cut through to get this restaurant to the finish line — research that saves you a ton of time down the line when a contractor is engaged and the big bucks are getting spent on the job site. All of this research is the most important (if not glamorous) step in the entire development process. Do it!
Second Thing: Everything You Don’t Want to Talk/Think About is Most Important
More unsexy stuff: plumbing, HVAC, and electrical. Restaurants have gobs of this stuff (only hospitals have more and we all know how expensive they are). Almost your entire budget will be gobbled up by the guts of your restaurant. Cold, hard fact right there. This is another place where if you aren’t careful about how your restaurant gets laid out in the space you could screw your budget up before construction even starts. The most important money-saving moves you can make with expensive plumbing, HVAC, and electrical will be related to the initial design of the restaurant. Never let the contractor design this stuff for you, because not only does that disconnect expensive stuff from a design process that could save money, but very few contractors have the foresight to understand the consequences of their own on-site design decisions, which will have them coming back to you for more moolah after they’ve realized their design choices aren’t going to fit the budget and/or schedule. You always want these systems engineered up front while the restaurant is being designed by your architect. That’s smart spending.
None of this has anything to do with finishes or layout function. An experienced restaurant architect will be able to juggle all the expensive guts while considering finishes and layout function in a way that preserves your budget by planning in great detail up front while things are cheap to do “on paper” so to speak, rather than figuring it out on the fly while you have a dozen or more laborers on site charging you thousands per day even when they have to sit around waiting for a decision to be made. This leads us to the next thing…
Third Thing: Applying Detailed Planning and Thought to Bare Minimum Documentation
Just like everything else, you need to be smart with how you spend your money on architecture and engineering services. We’ve discussed having your architect perform thorough assessments of the premises and regulatory conditions, and this is where you want to concentrate your professional services dollars because these services are all about uncovering as many of the potential money pits and schedule bombs as possible up front so that the rest of the project can be delivered with these hazards in mind and without excuses later on that blow up budget and/or schedule.
But you still need some documentation to go and get a permit and health department plan approval. This is where your architect can develop a bare minimum set of drawings to get you through these pre-construction entitlements. All of the important knowledge gained from the assessments can inform a simple, spartan architectural floor plan, reflected ceiling plan, and room finish schedule. The engineers will add a plumbing plan, HVAC plan, and a power and lighting plan with necessary schedules. That room finish schedule and reflected ceiling plan will include bare minimum finishes for the kitchen and restrooms to appease the health department, with all other finishes to be determined later. Spatially, the architect can still layout an interesting front-of-house in anticipation of finishes. Light fixtures can also be placed based on some desired level of illumination and then left to be specified later. Basically, the last thing that will happen on your restaurant project from a design perspective will be selection of finishes, furniture, and light fixtures because we’ll back into what you can afford for those things after two big milestones: 1.) signing a contract with a GC; and 2.) getting through the rough-in stage of construction. Getting through framing and utility rough-ins is a critical stage of restaurant construction because if there are any more unpleasant surprises to be uncovered once construction starts, they’ll likely all of been found (and more importantly, paid for) by this time. Then, and only then, do you have a sense of what kind of money you’ll have left over for all the fun stuff you envisioned when you first had the idea to open your own restaurant.
A quick note on what happens in between finishing those bare minimum construction documents and starting construction. You’ll go and secure your permits and approvals yourself and you’ll do that feeling well-informed thanks to that regulatory assessment your architect did a while back. At the same time the permitting is happening you’ll want to bid out your project to GCs. Talk to your architect about the pros and cons of having them involved in your bidding process. It all depends on your comfort level and willingness to not bend on the contract after your GC is underway with construction. Sometimes it’s best to have your architect go over bids with a fine tooth comb and make sure there are no omissions or other surprises while also qualifying the GCs. Other times, it’s better to have the owner play “dumb but firm” and if a GC comes back after contract execution saying they didn’t include something that owner can force their hand — it all depends on who you are and how willing you are to be firm.
Fourth Thing: Everything Else That Wasn’t Important Earlier in the Development Process
What the bare minimum construction documentation does is embed all the intelligence gained from detailed research into a quick and cheap set of documentation that can be quickly permitted and built. In a worst case scenario, you use up your entire budget just getting to the point in development of having a built out space with a raw dining room, but you’ll have an operating restaurant — even if you have to start delivery only or fill the dining room with card tables and folding chairs sitting on bare concrete like a garage, this joint will be up and running and able to generate revenue — let your great food and hospitality speak for itself.
But it’s more likely you’ll have a little bit to spend on finishes and furnishings. In exchange for a meal or three at your new joint, your architect would be happy to steer you towards selections that are appropriate to whatever’s left of your budget and schedule at this point. The best part is that this is all stuff you can likely order direct and even install yourself if you have to in order to save time and money. Because your architect planned everything so carefully up to this point, you’ll get good results with their guidance to get you over the finish line too.
In Conclusion: Don’t Fall for the Trap
The trap is anyone: architect, contractor, investor, whoever — that focuses you on the daydreamy part of your restaurant (think: sexy dining rooms with stainless- and copper-clad exhibition cooking lines roaring away in the background) rather than the harsh reality that this shit is expensive; and no, we’re not talking about the contract quality imported furniture (though that’s expensive too). The most important thing when you’re starting out is to get open fast so you can get cooking so you can get revenue so you can stay open. Don’t screw up the opportunity before you serve that first meal because of poor choices in the development process. Let an experienced restaurant architect help you avoid the pitfalls.
Everything in the process outlined here can be done quickly and inexpensively. Remember: the less you have to spend, the more carefully you have to consider and plan out each design decision up front.