Palo Alto fixture Mike's Diner Bar faces sudden threat of eviction

Longtime Palo Alto restaurateur faces sudden eviction

PALO ALTO - A Palo Alto restaurant that's been a longtime mainstay in the community is suddenly facing permanent closure.

Mike's Diner Bar has been a fixture in Midtown Palo Alto for the past 29 years, but now owner Mike Wallau finds himself in trouble. 

On July 20th, he received a letter from Ventana Property Service, Inc., the property owners' agent, informing him that they were returning his July rent check amounting to $22,000. 

"We were informed that they had already started the eviction process. That they requested the sheriff to give me a date to be out... this is a fluid situation. I don't know...every time I come to work, I don't know if there's gonna be a note on the door saying you know..." Wallau said.

The returned check came with a letter, claiming that the eviction process was initiated after Wallau delivered the rent one day after it was due.  

"It was because I have a disabled daughter that was in the emergency room in El Camino Hospital that day, so we were getting her admitted to the hospital and I brought the check the next day," Wall said.

Ventana Property Service, Inc. was contacted for comments regarding the situation, but the declined to respond to our inquiries via both phone and email.

Over the years, Wallau has invested at least $2 million in an expansion project for the restaurant. However, the pandemic took a significant toll on his business, leaving him struggling to recover. In response, Wallau collaborated with his friend Len Filppu and the City of Palo Alto to organize events aimed at revitalizing the area.

"People come to Palo Alto, and they think about Gucci, Tesla, and Prada, but what this is is a neighborhood shopping center. These are unique to Palo Alto, small business districts that are for the convenience of the neighbors to be able to walk and bike local businesses without getting in their cars," explained Len Filppu.

Despite their efforts to support the local community, both Wallau and Filppu are concerned about the challenges faced by small merchants in the area. Wallau emphasized the need to protect small businesses before they are squeezed out by the financial burdens associated with such situations.

"We're gonna try to do everything we can to mediate this situation and have a resolution equitable for the property owners and me," Wallau said.

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