Rising inflation doing a number on already-struggling Tri-State Area restaurants
NEW YORK -- With inflation above 9 percent, many restaurants in our area are feeling the squeeze.
On Tuesday, CBS2's Jenna DeAngelis visited some making changes or closing down for good.
Since Robert McCaroll's grandfather started The Good Steer 65 years ago, it has become a Lake Grove landmark.
"To say it's a big part of our lives is an understatement," McCarroll said.
But its booths -- full of memories -- now remain empty. The decades-old restaurant closed Saturday.
"We were doing okay until the end of March and things really started to go south," McCarroll said.
McCarroll said rising food costs -- in some cases more than doubling -- paired with high taxes and utilities made it tough to stay open.
"It just didn't make sense because the volume had dropped off so drastically we were off about 60 percent. We had depleted some of our personal resources just to keep the place open," he said. "If it costs you $125 to put gas in your car, you run out of money for cheeseburgers real quick."
Another restaurant is among the many across our area making difficult decisions during these trying times.
"We've had to adjust our menu, reduce our menu items, take off things that are just two high of a food cost," said Gene Lum of Baby Duke's Kitchen.
Since opening in Mamaroneck a year ago, Lum said he has has seen a huge change in food costs.
"King crab legs were as high as $50 a pound at one point, so those are off the menu," Lum said.
That was done to avoid passing the cost onto the consumer.
Melissa Fleischut, president of the New York State Restaurant Association, says restaurants are trying not to put the pressure on the patrons.
"Menu prices have only increased 7-8 percent; whereas wholesale food costs have increased 17-18 percent, so that just further backs up the argument," Fleischut said.
Andrew Rigie works with city establishments as the executive director of the NYC Hospitality Alliance.
"There's a lot of restaurants that are still kind of teetering on the edge and the increased cost due inflation and all the labor challenges certainly are not helping. So, I'm not going to be surprised [if] we hear about more restaurants closing," Rigie said.
Sadly, that was the case at The Good Steer, but it closed with gratitude to all its customers.
"It's just so nice to hear how much we've meant to people," McCarroll said.
He's hoping for continued support for the industry.
The McCarrolls own The Good Steer property, so he's leaving the door open to the possibility of returning, one day, in a scaled-down capacity.