Restaurant group behind Portland City Grill, other local eateries files for bankruptcy

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PORTLAND, OR (KPTV) – The company behind some popular Portland restaurants, including Portland City Grill, has filed for Chapter 11 bankruptcy. The move comes as many local eateries say they are having to change the way they do business.

For many locally-owned restaurants, like Mother’s Bistro, the price of doing business is going up, in part because of the increase in minimum wage.

“You’ve got computers now taking your order,” Lisa Schroeder, executive chef and owner, said. “You have to line up at a cash register instead of sitting at a table and giving your order. I vow never to go that way, but this is how restaurants are dealing with this minimum wage situation.”

Schroeder has been running Mother’s Bistro in Portland for nearly two decades, watching other hot spots come and go and observing the changing landscape of Portland’s dining scene.

Seattle-based Restaurants Unlimited recently filed for bankruptcy, citing wage hikes as the reason. The company operates restaurants, including Portland City Grill, Stanfords, and Henry’s Tavern. In a statement, Restaurants Unlimited said it is planning to sell and filing bankruptcy could secure it $10 million until it finds the right buyer.

Meanwhile, Schroeder says other local restaurant owners are raising their prices and cutting jobs, though she has opted to give herself a pay cut. She says the changes in the industry could have a ripple effect on other industries; for instance, if a restaurant closes down, all of its suppliers will be impacted.

Copyright 2019 KPTV-KPDX Broadcasting Corporation. All rights reserved.

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(3) comments

Alexander Marinesko

Odd, there are 1,000's of minimum wage workers crossing our borders each week........[beam][beam][beam]

Terrell Higgs

Gee the proponents of the minimum wage hike promised this would not happen...

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