Montpelier restaurants are reopening after July flood, but at a cost.
Leslie Haviland and Derek Temple have been spending nearly every day for the last three weeks getting a new space ready for the reopening of Hugo’s, the Montpelier fine dining restaurant destroyed by the July flood, as early as next week.
The reopening of Hugo’s and several other restaurants is part of the restitching of Montpelier’s lively bar and dining scene, which went quiet after the floodwaters moved in and the debris piled up on the city’s deserted sidewalks.
“It’ll feel like Montpelier is becoming Montpelier again,” said Hugo’s owner, Tom Greene.
Over at Enna, her restaurant on State Street, Shannon Bates was painting when she spoke to VTDigger Monday. She, too, hoped to reopen sometime next week.
Bates said she had expected to reopen within weeks of the flood — before she realized her building would have to be stripped down to studs. She said she is grateful to have a landlord who took care of and paid for reconstruction. She got the keys to go back into her place last week, she said.
All her kitchen equipment was contaminated by the toxic floodwaters and had to be replaced, she said.
After seeing an outpouring of volunteers in the first weeks after the flood, Bates said she began to feel in the dark as time went by because there was no contact from the state or from city officials. Only in the last few weeks, she said, did she receive disaster unemployment assistance and a grant from the state’s $20 million Business Emergency Gap Assistance Program, known as BEGAP.
Bates has been busy organizing an Oct. 28 Oktoberfest event at Farr’s Field in Waterbury, with other Montpelier restaurant owners that will help offset the costs of reconstruction.
Across the street, Julia Watson, the owner of Capitol Grounds, is getting ready to reopen her coffee shop, which at times, especially when the Legislature is in session, can feel like the main gathering spot in Montpelier. She hopes to reopen in the next two weeks.
It has taken three months, Watson said, in part because it was impossible to line up carpenters, plumbers and electricians when everyone else also needed them, but also because she had to figure out with her landlord who was responsible for what part of the rebuilding.
Most of her 26 employees have found other jobs and will not be returning. Joe McHugh, the cook, is one of the few who are coming back.
“It’s like having your life turned upside down indefinitely,” McHugh said of the three months since the flood, during which time securing unemployment compensation proved to be a big hurdle.
“It was a complete failure,” he said, explaining that his claim was lost and then a hold was put on it. It took him about a month before he could start collecting unemployment, he said.
He has been back on payroll for about a week, he said, getting the walls and floors finished and the equipment cleaned and wrapped in plastic until it gets put in place for the reopening.
“I’m just looking forward to being back in a functional kitchen, having some sense of order restored,” he said.
Inside Three Penny
Wes Hamilton, one of the owners of Three Penny Taproom on Main Street, has already opened a small indoor space occupying about one-third the size of the restaurant and bar. The restaurant is serving cans of beer, not its famed list of beers on tap, and a limited selection of sandwiches and soup. He hopes to reopen fully by early November.
Hamilton calls the last three months “one giant nightmare.”
It was not until the end of August that the place was properly dried out, he said. He and a business partner would come in once a day to empty out the dehumidifiers.
“It just really felt like nothing was happening,” Hamilton said.
Once the contractor was satisfied that the humidity level was low enough, the rebuilding began, he said, though all the equipment had been lost.
Hamilton said he is waiting for a second round of BEGAP grants to come in. Flood insurance covered only a fraction of the rebuilding costs, he said. The business had $100,000 in insurance coverage, but the lost inventory alone was $50,000. It cost $60,000 to replace the equipment, not to mention paying contractors. He credits Montpelier Alive for coming through with grants.
Montpelier Alive is the downtown Montpelier business association. Together with the Montpelier Foundation, it has been a major source of fundraising for businesses affected by the July flooding, and helped to organize volunteers to help with cleanup and rebuilding.
Hamilton also applied for a disaster loan from the Small Business Administration. He recommends that the federal government make grants available to businesses in times of disaster, rather than loans.
“This is like my daughter’s future that I rolled the dice on in order to reopen the restaurant,” Hamilton said. “If something happens to me, my daughter’s got 30 years of payments to the feds to make.”
Upstairs at Hugo’s
Haviland, the general manager at Hugo’s, has been loading the new menu into the computer system, working on charts for the layout of tables at the new restaurant, which will fill the second and third floors of the Main Street space once occupied by the old Black Door, across from City Hall.
“It’s definitely outside the floodplain,” Greene said of the upper-floor location of the new space, but he said he had no choice but to move, as his old landlord decided not to rebuild Hugo’s old space as a restaurant.
Greene said the new incarnation of his restaurant will be more affordable, less fine dining and more Asian fusion meets classic bistro.
He said that, for a long time after the flood, he was working alone, as he could not afford to keep people on payroll.
“We would not be reopening without the support of Montpelier Alive and the Montpelier Foundation,” Greene said, along with people who contributed more than $9,000 to the restaurant’s GoFundMe campaign, and the support of the state’s BEGAP. The state will close applications for the $20 million grant program for flood-damaged businesses and nonprofits Oct. 23. As of earlier this week, it had received more than 700 applications.
Haviland has been deep in “the scheduling nightmare” of assigning shifts for new and returning employees, she said.
Temple has been reupholstering the tattered barstools that had not been sat on since 2018, when the last restaurant at that location closed. He has also been buffing the old tables to a new shine. Temple said he has also been working part-time, mostly as a bartender at catering events for Woodbelly Pizza.
“It’s been rough,” Haviland said of the three months since the flood. “We’re used to making a lot more than unemployment.”
Still, she said, staff members have held on to their friendships.
A food truck in the meantime
If some restaurants are rushing toward reopening, for others, that goal remains months away.
Melissa Whittaker and Carlo Rovetto, the manager and the owner, respectively, of Positive Pie on State Street, were driving to Atlanta to pick up a food truck when VTDigger reached them Monday.
Whittaker said they had little savings when the flood hit, and it took months for much of their funding to come in. A $4,000 grant from Montpelier Alive arrived within two weeks of the flood, but no other funding came in until three weeks ago, she said.
“We had all our volunteers clean it out, and then the restaurant basically just sat there,” she said.
Positive Pie received an initial $20,000 grant from BEGAP and is expecting a second grant, but Whittaker said she does not know the size of that grant. The business also received a second grant for $20,000 from Montpelier Alive.
Positive Pie owns its building and received an insurance settlement of $100,000, she said. All told, including more than $6,000 from a GoFundMe campaign, the business has received $170,000, but she estimates $600,000 will be needed to rebuild. She said the business has been approved for a $500,000 loan from the Small Business Administration, but that money has yet to arrive.
“I feel like I’m ice climbing with no ice picks,” said Rovetto.
Whittaker said she’s mindful that her 65 employees can only be on unemployment for so long before accepting other jobs. A food truck would enable her to rehire most of the kitchen staff, she said, and Montpelier’s city government has agreed to allow the truck to be parked in front of Positive Pie, on State Street.
Whittaker said the goal is to open the food truck in the next two weeks. But they are months away from being able to reopen the restaurant.
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