Microbrewery taps city for startup funds
Council steps up to ‘prime the pump’
By Anne Krueger
Union-Tribune Staff Writer
2:00 a.m. September 12, 2009
EL CAJON — A new microbrewery restaurant may open in downtown El Cajon in the spring, fulfilling a long-held dream of city and redevelopment officials.
The El Cajon City Council agreed this week to negotiate an agreement with Stephan and David Meadows, two brothers who want to operate the Downtown El Cajon Brewing Co. The restaurant would be in a building at Main Street and Magnolia Avenue that once housed a Hollywood Video store.
City officials are proposing to advance up to $420,000 for the project, including a $200,000 loan to the Meadows brothers. The money would be paid back at 3 percent interest, and the length of the loan and other terms still need to be negotiated.
The city would spend $145,000 on improvements to the property, including installation of plumbing, electrical, lighting and fire-sprinkler systems. The rest of the money might be needed for staff time and legal expenses, said David Cooksy, El Cajon\'s housing and redevelopment director.
Stephan Meadows, 57, of Kensington said he previously owned a large steak-and-sandwich restaurant in the San Joaquin Valley, while his 48-year-old brother, a Solana Beach resident, was trained as a brewmaster with the Danish-based Carlsberg Brewery.
He said they decided to locate in El Cajon because they won\'t compete with other nearby microbreweries and because of the city\'s financial assistance for new business.
“There\'s nothing like it,” Stephan Meadows said. “It\'s a ripe area for it.”
The restaurant is expected to open by May, and the brothers have negotiated a five-year lease with the building\'s owners.
The El Cajon City Council voted 4-1 in favor of the proposal, with Councilman Bob McClellan opposed. McClellan said he thought the city was investing too much in the restaurant compared with the business owners.
“They\'re putting in peanuts, and we\'re putting in the whole thing,” the councilman said.
McClellan repeatedly referred to a figure of $1.15 million that was included in a city budget document for the total cost of recruiting businesses to El Cajon instead of the $420,000 involved in this project.
Councilman Gary Kendrick said the restaurant would enhance downtown El Cajon. “Sometimes in a situation like this, we have to prime the pump a bit,” he said.
Councilman Bill Wells said he supported the project after city officials promised to return to the council with specifics of the negotiations. Mayor Mark Lewis said the project is expected to bring 40 jobs to El Cajon and will bring more visitors downtown.
“It\'s something we\'ve talked about for many, many years,” Lewis said.
Downtown El Cajon has seen a string of restaurants that have failed, but Claire Carpenter, chief executive officer of El Cajon\'s Community Development Corp., said she\'s impressed by the Meadowses\' background and business plan.
“It\'s such a caliber of experience,” Carpenter said. “We get a lot of mom-and-pops who\'ve never done it before.”
Stephan Meadows said that in addition to the microbrewed beers, the restaurant will specialize in steaks, prime rib, sandwiches, and fish and chips.
“I really think this will be the biggest and most popular and busiest restaurant that El Cajon has ever seen,” he said.
Union-Tribune
Anne Krueger: (619) 542-4575;
http://www3.signonsandiego.com/stories/2009/sep/12/microbrewery-taps-city-startup-funds/
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