Flexible and nimble – two words not always associated with restaurants.
They should be, says Mike Labus, one of three partners in Edr, a restaurant management group based in Kalamazoo.
"Restaurants fail because they get stubborn and don't want to change," Labus says. "We'll get our arms around what the customer wants."
Since 2005, Edr Group (that stands for eat, drink, relax) has opened a new restaurant in the greater Kalamazoo area about every 18 months.
This fall, Labus and his partners -- wife Nancy, and Craig Suyak -- will open a breakfast and lunch eatery called East Egg and a restaurant serving lunch and dinner called Tavern on Michigan. Both restaurants will be in downtown Battle Creek across West Michigan Avenue from
Arcadia Brewing Co.Edr Group already operates East Eggs in Mattawan, Portage and Richland. And Labus and company also have two restaurants for lunch and dinner: Mission Pointe Steak & Seafood House in Richland and
Craftsman Chop Company Steak & Seafood House, located next to
East Egg in Portage. A third -- Tavern on McGillen in Mattawan -- will open as soon as the state approves its liquor license.
The East Egg restaurants are modeled after a restaurant in Chicago called West Egg, a spot Labus and his wife used to frequent. With its images of sunny-side-up eggs on the walls and representations of the eggs in the pattern of the floor tile, the interior of the Portage East Egg location has been likened by one reviewer to an "Easter basket explosion."
By design, each East Egg is similar in decor and size. They seat 80 and offer dishes all priced under $7. Labus says this is part of a successful financial model he and his partners have worked out.
"The East Eggs look like a franchise and we want to keep them that way because we want to develop a reputation along the I-94 corridor," Labus says.
Discussions are under way to locate East Eggs in Jackson and Marshall, too.
"We key in on areas we feel are under-served," Labus says.
Edr's entry into the Battle Creek market began two years ago when Labus and Suyak were approached by the owners of McCamly Plaza Hotel and asked to take over operations at J.W. Barleycorn's, a restaurant in the hotel. Labus says he and his partners took a pass because Barleycorn's didn't fit the Edr business model of efficient, low-cost operations.
During discussions with McCamly representatives, Labus says, he and his partners took a look at downtown Battle Creek and decided there was a niche they could fill.
"They got us over there," Labus says. "We got in touch with Battle Creek Unlimited and they got us in touch with the right people."
The addition of two new restaurants into the city's retail mix bodes well for long-term plans to transform downtown into a vibrant and thriving part of Battle Creek, not just during work hours, but well into the evening. City officials hope the influx of 600 Kellogg employees into the downtown area will go a long way to supporting existing businesses as well as new ones.
In addition to the Kellogg Co., the presence of Covance and the International Food Protection Safety Institute, both involved in food science and safety, is expected to have a major impact on the bottom lines of downtown businesses.
"There's always that question of which comes first -- do you get the businesses or the people," says
Battle Creek Mayor Susan Baldwin. "I'm hopeful that as these businesses step up and are willing to take a bit of a risk that there will be a new change in the direction of the downtown area which will make them successful."
In 2008, officials from the local economic development organization Battle Creek Unlimited unveiled redevelopment plans for the city's downtown business district that call for leveraging current and future investments in food science, technology, and education to revitalize downtown. Infrastructure improvements to enhance the downtown's appearance, including a gateway enhancement project on M-66, better lighting and easier to use public spaces, are all part of the plan.
Baldwin says, although some community residents still expect to see a downtown made up primarily of stores, they need to recognize the downtown is transforming into something new with dining and entertainment options that will attract not only employees of downtown businesses, but also area residents.
Such changes in focus and direction are necessary for the long-term survival and success of the downtown, Baldwin says.
For the folks at Edr, these changes present opportunities that oddly enough are enhanced by the current lackluster economy.
"The timing is good with the price of commercial real estate down," Labus says. "Landlords are dying to get people into these vacant properties."
Opening a restaurant and making it financially successful are two separate issues, however.
One of the main reasons restaurants fail, Labus says, is that "you've got one person trying to do everything." For Edr, once a restaurant is up and running, Nancy Labus steps in to stabilize operations. That allows her husband and Suyak to concentrate on making improvements or expansion plans.
Currently Edr employs about 100 people and has about $4 million in annual sales. Once the Mattawan and Battle Creek restaurants open, Labus says Edr will likely have close to 200 employees and sales of more than $6 million annually.
Everything from the eggs and bacon and served at the East Egg locations to the vegetables and breads served in the lunch and dinner restaurants is bought locally or made from scratch. Labus says the few exceptions include steak and seafood, which are not readily available at prices that fit their keep-costs-down policy.
The model for the restaurants may be the same, but the menus at each eatery are different based on what the customers want.
"In all honesty, we start out with a basic menu and tailor it from there," Labus says. "Craig and I are very hands-on. If there's something people don't like, or something they want, we'll change it."
As with any service-oriented business, reinvention is the name of the game.
"We never know if we're 100 percent doing the right thing. We'll continue to focus on high-quality food at the right price with quality service. People still have to entertain themselves somehow," Labus says. "We try to make it as much of an experience as we can."
Jane C. Parikh is a freelance reporter and writer with more than 20 years of experience. She is the owner of In So Many Words, based in Battle Creek.
Photos by Erik Holladay. Jill Hess finishes up some work during her breakfast at Egg East in Portage, Mich.
Bright colors decorate the interior of Egg East in Portage, Mich.
Cozy and affordable Egg East offers affordable meals to customers in the Portage and Kalamazoo areas.
Eggs decorate the interior of Egg East in Portage, Mich.
A colorful stack of plates awaits in the kitchen at Egg East.
Keith Weber, left, and Zak Hubbard, serve delicious breakfasts to their customers at Egg East.
Egg East is located off Romence Road near the mall in Portage, Mich.
The Craftsman Chop Company is located next door to Egg East in Portage, Mich.