In a bid to fend off last call for Bryant Park Grill, which is set to close at the end of April, the restaurant late last week filed a spicy lawsuit accusing landlord Bryant Park Corp. of tilting the tables in favor of a new restaurant operator who will pay the park less in rent.
The fight marks an escalation in the battle by restaurateur Michael Weinsteins to keep his 1,000-seat restaurant that grosses about $25 million in annual revenue. Park officials describe the restaurant as “tired” and think a new operator can produce up to $40 million a year in sales. They recently chose restaurateur Jean-Georges Vongerichten to take over the grill’s prime Bryant Park space.
In a lawsuit filed in New York state court, Weinstein claimed Bryant Park executive director Dan Biederman conducted a “sham process” and steered the contract to Jean-Georges even though that firm offered at least $1 million less “guaranteed rent” to the park than the grill proposed. Weinstein said Biederman went with Jean-Georges anyway because he was “conflicted” and hopes his personal consulting firm will get paid for providing services to a newly public company called Seaport Entertainment Group, which owns a 25% stake in Jean-Georges.
“Bryant Park is not private property to do as you wish. You have to follow the law,” Weinstein said in a statement.
Biederman, reached by email Monday, said Bryant Park’s attorneys haven’t had a chance to review the allegations.
“In the meantime, Bryant Park Corporation looks forward to welcoming Seaport Entertainment Group/Jean Georges once the current lease expires,” he said.
Seaport Entertainment has owned the South Street Seaport since it was spun off from developer Howard Hughes Holdings a year ago. It disclosed this month it would sell a parcel of land at 250 Water St. so it could focus on the hospitality and entertainment business. Seaport officials said on an earnings call this month that a lease with Bryant Park hasn’t been finalized.
If a deal is reached, Weinstein argued it’s in the best interest of the city and the park to reject it because Seaport isn’t a successful restaurant operator and would not produce as much revenue for the park as his grill. Seaport lost $41 million last quarter, and officials unveiled plans to restructure the unprofitable Tin Building food hall by slimming down offerings and reducing the number of kitchens to one from two.
