Cathay Palisades, the only Chinese restaurant in Pacific Palisades, has learned that its lease will not be renewed, after 33 years on Antioch in the Business Block Building.
Owner David Leung was informed by the landlord, Anderson Real Estate, that his popular eatery must close in June.
“I was never late for rent,” Leung told Circling the News on March 15. He said he had been looking for a new space since late last year, and that he had asked the landlord for a short extension. He even offered to pay more rent, but was turned down.
“Anderson Real Estate has no comment,” was the March 21 email that CTN received when it reached out to the landlord. The Business Block Building and Palisades La Cruz (the Chase building) are under the ownership of the Anderson Company. Topa Property Management takes care of the commercial properties and is under the Anderson umbrella.
Leung looked in the Marquez area, but was only offered a three-year lease. He said that after a space is tailored to a restaurant, an owner needs at least a five-year lease to make it work.
Leung said he ALSO looked at the second-floor space above Citibank on Sunset, but admitted that with so many seniors among his clientele, he needs a first-floor space.
On Nextdoor Palisades, Leung posted that he had been told that his family-style restaurant doesn’t fit the “tenant mix” and that Anderson wants to “upscale” the building.
CTN asked Leung about Caruso’s Palisades Village, since there are several empty spaces, and Leung said, “We have never considered there because first of all, if Topa considers us a bad fit for tenant mix, we can imagine Caruso’s. Then there is sky-high rent, and an astronomical management fee.”
Leung said he also looked at the former Ritrovo space (next to Shell) but was told it has been rented out. He looked at the former Sweet Rose Creamery on Monument, but was told the manager would not rent out existing first-floor for food service, given that there are already three restaurants in the building.
He said he inquired about the space next to Pearl Dragon, which housed Elizabeth Lamont (home goods), but the landlord was already considering a lady’s apparel or a home furnishing store.
“I know with the stringent parking requirement, it is impossible to find space for a full-service restaurant,” Leung said. “I am pivoting to a takeout/delivery mode and I am looking for a space about 1,000 sq. ft. on a ground floor that allows food use.”
He also reached out to the Methodist Church, which had not renewed the lease for Puzzle Zoo on Sunset, across from Ralphs.
CTN asked a manager at Cafe Vida (adjacent to Cathay Palisades), which is owned by Luis Castaneda, about its lease, which was up in 2021. It was renewed for five years.