In a sudden move that seemed to catch everybody by surprise, Kalloway’s Restaurant and Pub closed its doors Sunday night, another victim of the troubled economic times.
‘It was a very sad day,? said Kalloway’s owner Gary Lepak, who made the difficult decision after looking over the books and talking with his accountant. ‘Nine years of your life you put into something. Everyday you live, eat, sleep and breathe it. It’s hard to let it go.?
‘Sunday, I spent three hours digesting everything that I was given. The bottom-line was I had to make a decision. If I had known sooner, we would have done things differently.?
On Monday, the Oakland County Treasurer posted a ‘notice of seizure? at the 595 N. Lapeer Rd. restaurant which laid legal claim to however much in ‘furniture, fixtures, machinery and equipment? is needed to satisfy $6,616 in delinquent personal property taxes, interest and penalties plus the cost of the seizure.
Open since April 2000, Kalloway’s quickly became a community favorite known for its great food, wonderful customer service, delightful family atmosphere and the always energetic and friendly Lepak, who never failed to shake a hand and knew every customer’s name.
Over the years, Kalloway’s sterling reputation grew as the restaurant hosted community fund-raisers, a weekly car cruise in the summer, murder mysteries, banquets, showers, Sunday brunch, comedy shows, class reunions, service club meetings and variety shows for senior citizens.
‘We brought the circus to town,? Lepak said. ‘You name it, we did it. We promoted everything and brought a lot of good things to the community. Kalloway’s was always a destination.?
For his efforts, Lepak was honored by the Oxford Area Chamber of Commerce as Business Person of the Year in 2001 and received the G.E. Meads Award from the Rotary Club of Oxford in 2006.
But unfortunately all that Lepak did wasn’t enough to offset the state’s economic decline, the effects of which hit Kalloway’s hard over the last two years.
‘Look at the economy,? Lepak said. ‘It’s been like the perfect storm.?
High gas prices, rising home foreclosures, job losses, the bottom falling out of the housing market, Lepak said it was all these things and more that led his customers to tighten their belts and not eat out as often.
Lepak said he tried to keep a positive attitude and ‘my staff did their best everyday,? but ‘it just got too tough.?
‘Sales were down drastically in the double-digit numbers this whole year.?
Lepak said he did what he could to make adjustments to controllable costs, like labor, but in the end it was the fixed costs ? particularly those associated with being housed in an old three-level, 10,500-square-foot building ? that proved to be too much in the face of declining revenues.
‘We did all the things you’re supposed to do when it’s crunch time but unfortunately there were other factors,? he said, noting he’s appreciative of Oxford Bank’s efforts to help keep the business going.
At the time of its closing, Kalloway’s employed 44 staff members.
Lepak said a party is interested in purchasing the nearly 3 acres Kalloway’s sits on and perhaps developing it, but nothing’s definite.
‘They’re working on it, that’s all I can say.?
If such a sale were to occur, Lepak’s contemplating reopening Kalloway’s on the east side of M-24 as part of The Promenade at Waterstone shopping center being developed by the Clinton Township-based Aragona Properties, Inc.
Currently, the shopping center consists of a Chili’s Grill & Bar, Tim Horton’s and a BoRics Haircare.
‘I’ve had a number of discussions with Mr. (Paul) Aragona and his son, Francis over the past year-and-a-half,? Lepak said.
If Lepak did reopen Kalloway’s, it would be in a one-level, 6,000-square-foot space that he leased from the Aragonas.
Although it’s too late for him, Lepak urged the community to rally together to support its other local eateries.
‘I just hope that those who supported us will at least go out to support Red Knapp’s and Victoria’s so they can make it through this economic crunch,? he said.
In the end, Lepak’s grateful to the community for all its patronage and referrals over the last nine years, particularly the senior citizens who really spread the word and brought their families in to eat.
‘I just want to thank everybody who came in from Day One and throughout the years to support us,? he said. ‘This experience has been the best out of all my 26 years in the business.?
‘My life is in Oxford. If I walk through that town, I know everybody by name and that’s the thing that I’ll miss the most.?