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Why are so many State College bars and restaurants going out of business?

The Panera Bread restaurant on Beaver always seems busy and this chain appears to have the staying power many others don’t. I credit their branding and positioning with unique menu items, subtle seasonings, and good price point. When traveling If there is a Panera at a rest stop, I generally will stop as my choice for lunch.

Agree. Panera can appeal to a lot of different people, Vegans, Vegetarians, Keto Diet...
and their stuff is usually very good.
 
Is it a market thing or just individual businesses either poorly run or owners retiring?

"Going out of business" makes it sound like they are failing which I don't think accurately defines what's happening. Many of them are being forced to up their game in order to compete. Some of the older owners are simply electing to sell rather than invest the time and money to keep pace with their competition. Pretty much all of those closed businesses are reopening after going through remodeling or rebranding.
 
Slightly off topic...

But if I have to call a sub/wrap place to prepare hoagies/wraps for the Appalachian State game for 20 people, who would locals recommend?

I was assuming Wegman's but am open to other ideas. We will pay a premium for quality... so doesn't need to be the cheapest...
 
Slightly off topic...

But if I have to call a sub/wrap place to prepare hoagies/wraps for the Appalachian State game for 20 people, who would locals recommend?

I was assuming Wegman's but am open to other ideas. We will pay a premium for quality... so doesn't need to be the cheapest...

I'd go with one of the specialty hoagie shops before a supermarket. As good as Wegman's is as a grocery store, I wouldn't rave about their subs at all.

I'd suggest Jersey's Mike's, Jimmy John's, or Bradley's Steaks and Hoagies.
 
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Slightly off topic...

But if I have to call a sub/wrap place to prepare hoagies/wraps for the Appalachian State game for 20 people, who would locals recommend?

I was assuming Wegman's but am open to other ideas. We will pay a premium for quality... so doesn't need to be the cheapest...
Best hoagies in Happy Valley these days is Jersey Mike's. No local shops anymore.
 
Is "Mr C's" still there?

$1 Long Island Ice Teas on Thursday night. Boy, could I dance at 2am.

They are about to reopen under their fourth name. Mr. C's became Players which turned into Indigo and will rebrand as The Basement Nightspot and open back up next Thursday,
 
Roy's took up a pretty good square footage footprint.
Slightly off topic...

But if I have to call a sub/wrap place to prepare hoagies/wraps for the Appalachian State game for 20 people, who would locals recommend?

I was assuming Wegman's but am open to other ideas. We will pay a premium for quality... so doesn't need to be the cheapest...
Without question Wegman's. They have the game day platter/sub pickup thing down to a science. Don't roll the dice w/ anyone else. Place the order online and go pick it up. Easy beans.
 
Best hoagies in Happy Valley these days is Jersey Mike's. No local shops anymore.
How is that Scott L. has done so well in SC? I believe he has at least 5 very successful restaurants that are doing quite well.

For one thing, he knows how to pick his partners. His operations are always well-funded. He and his partners are not afraid to spend money to raise the (no pun intended) bar. The job that they have done with Champs Downtown is one of the things that's forcing the hand of other downtown bar owners.
 
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Slightly off topic...

But if I have to call a sub/wrap place to prepare hoagies/wraps for the Appalachian State game for 20 people, who would locals recommend?

I was assuming Wegman's but am open to other ideas. We will pay a premium for quality... so doesn't need to be the cheapest...

I recommend Troy's, which gets my vote for the best hoagies in town. https://www.troysphilly.com/catering-menu
 
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I'd go with one of the specialty hoagie shops before a supermarket. As good as Wegman's is as a grocery store, I wouldn't rave about their subs at all.

I'd suggest Jersey's Mike's, Jimmy John's, or Bradley's Steaks and Hoagies.
Finally had a cheesesteak at Bradley's a couple of months ago. Wasn't bad at all. Jimmy John's, no way.
 
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For all of the greedy lessors, it does seem like there are people willing to take up the new lease. There are other contributing factors as well, for example:

  • Herwig's: health issues of the owners, they just announced their first pop-up event for this month
  • Darkhorse: owners retired
  • The Diner: incredibly poor management for years as the owner focused his attention on his catering business
  • Bank next to the Diner: moved to a smaller location a few blocks away - with all of the banks in town, I don't see how they all stay in business. Even the Gratz Bank, based out of tiny Gratz, PA, has opened up a branch in State College
  • The Apple Tree: even though the evil, greedy mustard cartel offered what the owner publicly admitted was a fair lease, he said that he could not longer compete with the online marketplace. The owner will be trying to make a go at it online
  • Indigo: temporarily closed as the owners are remodeling and rebranding as a different venue
The bottom line is that running a restaurant or bar is a tough business with historically low profit margins. In an area like State College where a huge portion of your target market disappears for four months every year, it is even tougher to run any business.

Herwig's pop-up will be at Zeno's a week from tomorrow.
The Darkhorse has been taken over by the building owners (the Sapias) and will be rebranding and reopening soon.
The Diner has been bought by Eat N Park which will substantially remodel it and open it as a burger and salad joint called Hello Bistro
The Bank next to the Diner has been bought by another Pittsburgh Group, the owners of BRGR, and is being turned into a gourmet burger and shake joint.
The Herlochers say that they have received offers for the Apple Tree property by national chains but that they want to hold out for a local proprietor.
Indigo reopens next Thursday as The Basement Nightspot.

You overlooked Old State Clothing on the corner of Beaver and Allen Street. Local Whiskey will be expanding into them.
 
Slightly off topic...

But if I have to call a sub/wrap place to prepare hoagies/wraps for the Appalachian State game for 20 people, who would locals recommend?

I was assuming Wegman's but am open to other ideas. We will pay a premium for quality... so doesn't need to be the cheapest...

I echo what others have said with Wegmans's being be best for that number of people, especially with the sides they provide when ordering large quantities of food. Great packages and prices.

I also wouldn't trust the judgement of anyone putting Jersey Mike's above Jimmy John's.
 
I've lived and worked in and around State College for the last 30 years, working food/bev/hospitality service. I have recently moved to the Pittsburgh area to settle in greener pastures.

There is a mixture of reasons why there is recent turnover in retail/food/bev/hosp. First, business is seasonal. State College is a beach town without the beach, except it starves in the summer. For decades much of the revenue generated stayed in the area. More and more of operating expenses are ending up out of town. Much of the lending for properties and business loans are originating out of the area. Rents are being siphoned out of the area not to return and not reinvested in the community. Business services like food vendors are basically national. Food delivery has been taken over by Grubhub, and up to 30 percent of what you pay online is lost and taken out of town as a fee for providing the customer. Customers are transient so they are more comfortable paying extra for the guarantee of a national service rather than establishing a local relationship. Revenue is being pulled out of the area by the truckload.

In order to survive prices have had to rise, and wages have remained the same. Jobs are plentiful in the area, but workers can't afford to live in the area with wages that are paid. Although the trailer parks were an eyesore, cooks and dishwashers couldn't afford anything else. Small operations are forced to rely on family members or illegals. Maintaining a staff is the number one headache. There aren't enough students who are willing to work nights and weekends.

Block by block downtown is being developed. Rents are going up and wages are flat. It is little wonder that there was a lot of movement after the students left for summer break. Only outfits with deep pockets and secure leases can endure.

Harvesting the student dollar just isn't easy anymore unless you own your place of business outright.
 
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AKA capitalism. Pay the market rate or someone else will.
This. I don't worship at the altar of Capitalism, but it's ridiculous to think that the rent won't go up at the end of a lease- especially if it's been a long lease. If a business can't absorb the increase then they aren't viable.
 
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For one thing, he knows how to pick his partners. His operations are always well-funded. He and his partners are not afraid to spend money to raise the (no pun intended) bar. The job that they have done with Champs Downtown is one of the things that's forcing the hand of other downtown bar owners.

WRT his partners: What happened to Linda S. from the AAH?
 
I've lived and worked in and around State College for the last 30 years, working food/bev/hospitality service. I have recently moved to the Pittsburgh area to settle in greener pastures.

There is a mixture of reasons why there is recent turnover in retail/food/bev/hosp. First, business is seasonal. State College is a beach town without the beach, except it starves in the summer. For decades much of the revenue generated stayed in the area. More and more of operating expenses are ending up out of town. Much of the lending for properties and business loans are originating out of the area. Rents are being siphoned out of the area not to return and not reinvested in the community. Business services like food vendors are basically national. Food delivery has been taken over by Grubhub, and up to 30 percent of what you pay online is lost and taken out of town as a fee for providing the customer. Customers are transient so they are more comfortable paying extra for the guarantee of a national service rather than establishing a local relationship. Revenue is being pulled out of the area by the truckload.

In order to survive prices have had to rise, and wages have remained the same. Jobs are plentiful in the area, but workers can't afford to live in the area with wages that are paid. Although the trailer parks were an eyesore, cooks and dishwashers couldn't afford anything else. Small operations are forced to rely on family members or illegals. Maintaining a staff is the number one headache. There aren't enough students who are willing to work nights and weekends.

Block by block downtown is being developed. Rents are going up and wages are flat. It is little wonder that there was a lot of movement after the students left for summer break. Only outfits with deep pockets and secure leases can endure.

Harvesting the student dollar just isn't easy anymore unless you own your place of business outright.
True! Don’t forget that meter parking downtown now has taken away customers from downtown. At least 10 percent of not more.
 
This. I don't worship at the altar of Capitalism, but it's ridiculous to think that the rent won't go up at the end of a lease- especially if it's been a long lease. If a business can't absorb the increase then they aren't viable.
The old saying goes. You won’t pay 100 dollars for a cheeseburger!
 
This. I don't worship at the altar of Capitalism, but it's ridiculous to think that the rent won't go up at the end of a lease- especially if it's been a long lease. If a business can't absorb the increase then they aren't viable.

Likewise, it's ridiculous to think that property taxes, insurance rates, etc. won't go up for the property owner.
 
Herwig's pop-up will be at Zeno's a week from tomorrow.
The Darkhorse has been taken over by the building owners (the Sapias) and will be rebranding and reopening soon.
The Diner has been bought by Eat N Park which will substantially remodel it and open it as a burger and salad joint called Hello Bistro
The Bank next to the Diner has been bought by another Pittsburgh Group, the owners of BRGR, and is being turned into a gourmet burger and shake joint.
The Herlochers say that they have received offers for the Apple Tree property by national chains but that they want to hold out for a local proprietor.
Indigo reopens next Thursday as The Basement Nightspot.

You overlooked Old State Clothing on the corner of Beaver and Allen Street. Local Whiskey will be expanding into them.
Eat N Park and their Bistro concept are owned by the Broadhurst family. I wouldn't spend a dime at their restaurants.
 
I echo what others have said with Wegmans's being be best for that number of people, especially with the sides they provide when ordering large quantities of food. Great packages and prices.

I also wouldn't trust the judgement of anyone putting Jersey Mike's above Jimmy John's.
Jimmy John's has as many cases of food poisoning as anyone........not sure I'd climb on to that bandwagon........
 
One can laugh about a $100 cheeseburger, but one cheesesteak or cheeseburger delivered can run $15 or more before tip. Out of which the restaurant owner will see only about $8 after an out of town delivery service takes its cut.

The closest grocery store to campus is the ghetto Weis on Westerly. I don’t count McClanihan’s as the markups make a low end loaf of bread cost around $3.50. If you have a car it will cost to park it, and parking enforcement downtown is vulture-like.

It’s a nice place to visit, but downtown students are bled dry.
 
I have a friend who has kids who have a restaurant in Bolasburg. He does their books for them and told me their profit margin, which he said was average for most restaurants, was about 5%.

My co-worker was a Chef and has been in the restaurant business for over 40 years. He informed that when he priced items on his menu; it was as follows: 1/3 cost of ingredients, 1/3 overhead, and 1/3 profit.
 
I
Just as long as the Tavern and the Corner Room keep going all else will work out.
And I loved the Allen street grill[e] on non-football weekends/weeknights when we could get a table on the glass “patio”. Haven’t been there in forever since I mostly only return on football weekends. But the place was a classic.

Embarrassed to say I either forgot or didn’t know the diner shut down. Was a good greasy [filthy] spoon. Stickies were good but IMO their ham and cheese omlette was what I went for. Was particularly choice in the wee hours after one of those late nights at zeno’s or the ASG.
 
I thought there was a Target on Beaver Ave.?

The Target downtown has limited space and is not “full service”. The availability of items there is much less than that of McClanahan’s and not much better than Rite Aid. No deli, produce, limited meats and frozen, etc. There is also a noticeable markup of prices than at a normal Target by about 25% on non sale items. If you have no other options then I guess one could survive, but it isn’t close to being a “grocery store”. It is outclassed in every way except location and housekeeping by the ghetto Weis on Westerly. It is far less trouble and almost as cost effective for the kids to hit the low end restaurant options like pizza (dollar slices), tacos (the taco shed in McCalister Alley is the new thing), or the pie tin Chinese places scattered around town. This rolls into the volatility issue as kids look for bang for buck and effort, and frequent low profit margin places. If you are counting on selling 500 dollar slices, and you forget that it is a Thon canning weekend or there is a heavy rain, the receipts are going to come up short. If a student is going to cook for himself without spending a significant amount of time chasing things down on CATA, a vehicle is needed. Now the student has to park it somewhere and that gets expensive as well. The only other options for a student without a car are to bus to campus from apartment complexes located on Waupalani, Martin St, or Vairo, to be close to retail centers. Those places aren’t cheap. Sending a kid to college is a hard thing to pay for, but the town is set up to shake every last cent out of a students pocket, and it has become significantly worse in just the last few years.
 
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State College was too expensive when I was in school (class of 1972), and I'm sure it's too expensive now. One of the disadvantages of having a big school in a small town (not that there aren't also advantages, but cost of living isn't one of them)
 
The Target downtown has limited space and is not “full service”. The availability of items there is much less than that of McClanahan’s and not much better than Rite Aid. No deli, produce, limited meats and frozen, etc. There is also a noticeable markup of prices than at a normal Target by about 25% on non sale items. If you have no other options then I guess one could survive, but it isn’t close to being a “grocery store”. It is outclassed in every way except location and housekeeping by the ghetto Weis on Westerly. It is far less trouble and almost as cost effective for the kids to hit the low end restaurant options like pizza (dollar slices), tacos (the taco shed in McCalister Alley is the new thing), or the pie tin Chinese places scattered around town. This rolls into the volatility issue as kids look for bang for buck and effort, and frequent low profit margin places. If you are counting on selling 500 dollar slices, and you forget that it is a Thon canning weekend or there is a heavy rain, the receipts are going to come up short. If a student is going to cook for himself without spending a significant amount of time chasing things down on CATA, a vehicle is needed. Now the student has to park it somewhere and that gets expensive as well. The only other options for a student without a car are to bus to campus from apartment complexes located on Waupalani, Martin St, or Vairo, to be close to retail centers. Those places aren’t cheap. Sending a kid to college is a hard thing to pay for, but the town is set up to shake every last cent out of a students pocket, and it has become significantly worse in just the last few years.
That's too bad. Target should operate that location as a near loss leader and give students whatever they want for whatever the market says you should pay for it. It would turn some into Target shoppers for life.
 
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