Big Corona Beach Loses Fuji Grill

posted: November 17th, 2010 09:47 am | 6Comments

The Fuji Grill at Big Corona State Beach closed earlier this month, the victim of the bad economy and the city’s increase in parking fees at the beach.

“The parking really hit me,” said owner John Lee in an interview today. “The parking system should transition to usage based billing system by using parking meter or some type of paid-by-hour system. This issues been requested City ever since we opened to the public. The road block was the parking fee. It’s a shame. I learned a good lesson. I am sure I can’t win all.”

Lee, who owns several other Fuji Grill restaurants, was awarded the beach concessions contract in February 2008. He said he had a ten-year contract and was to pay 15 percent of gross sales.

During the summer seasons, he said, business was fine. But in the winter, or on rainy days, business was “really bad.”

Parking and the parking fee increase was a major problem, he said. During winter months, customers had 16 spaces available to them in the beach lot, although customers had to buy at least $15 of food to get two free hours. But in the summer season, the validation and parking system was unavailable, and nothing resulted from his discussions asking the city to consider creating a validation system for his customers, or adding metered parking to the lot. Then in February this year, the CIty Council increased parking fees at the lot from $8 to $10 weekday/weekend rate, to $15 with a $25 peak rate for Memorial Day, July 4 and Labor Day holidays. (Read our stories here and here.)

“I don’t think the city realized the parking increase would hit me,” he said. “I told the city I can’t continue business any longer.”

City officials, he said, were understanding when he closed on Nov. 8 and returned his key to City Hall. They also appreciated that he made more than $300,000 in improvements to the restaurant, including adding a bathroom, which will make the space more appealing to the next business that takes over the space.

“He decided that his model just wasn’t working there,” CIty Manager Dave Kiff said in an email. “We amicably settled and he vacated as of early November. He invested a lot in tenant improvements, some of which we will keep.”

The City Council will formally approve the termination of lease it the Nov. 23 meeting, he said.

The City also will do a request for proposal for a new concession business, he said.

“Any model/concept welcomed,” he said, “but it should be more beach fare to be successful.”

Meanwhile, the Fuji Grill sign is gone from the top of the ramp leading to the beach and from the top of the building by the volleyball courts.

A sign in the window directs customers to other locations and thanks its customers.

“(W)e have enjoyed being part of this community,” it says.

“I wanted to retire from this location,” Lee said. “It’s really sad.”

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