ENVIRONMENT
The Final Denny's in San Francisco Falls Prey to Dine-and-Dashers and Soaring Costs
Tue Aug 27 2024
In the heart of the once-thriving city of San Francisco, the last remaining Denny's has closed its doors, a victim of rising crime and the escalating cost of doing business.
Chris Haque, the owner of this 24-hour diner, made the difficult decision to shutter the restaurant located at 816 Mission St. near Union Square after 25 years of service. The crime rate, coupled with the absence of business conventions (a significant source of revenue) due to the shift towards hybrid work during the pandemic, ultimately sealed the fate of this beloved establishment.
Haque expressed his love for the city, but also his concern about its current state, urging officials to make it more business-friendly. The Denny's in San Francisco was notorious for being the most expensive in California, with the cheapest meal costing $17. 99, $5 more than in other major cities like San Diego or Los Angeles. This exorbitant pricing was a direct result of the challenging business environment.
Sadly, this closure is not an isolated incident. Earlier this year, another Denny's diner in Oakland closed down after 54 years due to a surge in crime. Fast food chain In-N-Out also shuttered its Oakland location for the same reasons. Since 2020, numerous companies have relocated their headquarters from the San Francisco Bay Area to low-tax jurisdictions in states like Texas and Florida, citing a decline in quality of life, rising cost of living, and soaring crime rates.
Denny's, a global franchise with over 1,700 restaurants in several countries, including the US, Canada, Mexico, Puerto Rico, the Philippines, United Arab Emirates, and Honduras, continues to thrive elsewhere. However, the situation in San Francisco serves as a stark reminder of the impact that crime and the high cost of doing business can have on even have on even the most
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questions
How can cities balance the need for business growth with the need to address crime and other social issues?
How does the rising crime rate in San Francisco and other major cities impact local businesses and the economy?
What role do powerful corporations and politicians play in the gentrification and eventual decline of urban areas, and how does it affect businesses like Denny's?
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