Special
Note
Due to a request made by Sun City
Anthem Board member, Jim Mayfield, we will publish Parts 3 & 4 of our Series of Restaurant
Articles on Monday, September 12th and Tuesday, September
13th.
Instead, today we will
publish Mr. Mayfleld's Report on the restaurant proposals being
considered.
We believe that it is the duty of a
responsible publication to post Board Member articles over our
own.
Stay tuned....
Monday
Part Three
"Common
Sense...Looking at the Cost of a Self-Managed
Restaurant"
Director Jim Mayfield
Reports
on
Sun City Anthem
Restaurant Alternatives
I am receiving requests for my views concerning food service,
including catering services, in SCA property.
Let me start by saying that I have not formed an assessment on
the issue.
The key issues are complex and interrelated, but having
observed the results, mostly bad, of food service operations for the last six
years, I have formed assessments about the process that should be followed for
the Board to a make proper decisions about the future of food service operations
at SCA.
1. The process
shouldn't start from the assumption that a restaurant and catering operation is
desired, on a realistic basis, by a majority of homeowners ("Members").
Instead, the process should begin with a professional,
independently conducted, statistically valid, objective survey to determine what
SCA Members will support, will be willing to subsidize, and at what level of
subsidy.
No offense meant, but the process needs to start with a blank
sheet of paper, not a bunch of white
papers.
2. Maintaining or losing the 1120H tax filing will affect the
financial viability of a food service operation.
The assumption that the 1120H qualification issue can be
circumnavigated by offering a homeowners only operation creates risks.
First, I do not see sufficient market mass to support such an
operation. Even a bar & grill operation will need more customers (economic
mass) than has been demonstrated will be available.
Trying to skirt the edge of the tax law by supporting
non-homeowner events with guests and homeowner sponsored catering events could
be challenged in a tax investigation.
The loss of the 1120H tax filing status
would cause the revenues to be taxed and dramatically affect the gross profit
margin and amount of subsidy needed to operate the
operation.
3. Gaming as
the savior is full of legal complications and uncertainties.
Using MacDonald Ranch as an example will ultimately disclose
that MacDonald ranch had to donate its restaurant and all of
its equipment to an outside party to maintain its limited food and bar service
and implement gaming.
If its operation ultimately fails, the risk to its homeowners
will be expensive to correct.
4. The
assumption that a limited bar & grill operation can be operated without
substantial Member subsidization is unrealistic.
The level of increase in homeowners assessments needs to be
explored with an objective, detailed, professional analysis of the financial
requirements.
5. Increased
payroll costs and management burden of an SCA managed operation will create both
tangible and intangible costs that must be realistically determined.
The Sun City Anthem General Manager should be required to
provide a straight forward, independent (free of Board or committees influence)
assessment of the increased costs and demands for management of an in-house
operation.
6. If food
service is not continued at SCA, the high conversion costs and difficult Member
approval process required to discontinue food service operations must be
explored.
The fight over what to do with a converted restaurant space
will be ugly as I suspect consensus will be impossible.
I favor starting the exploration process, but, let the
restaurant stay dark for as long as is needed to determine if Member demand has
increased, or if a restaurant, like a SCA owned and operated golf course, is
really a need that most Members will support on a realistic basis.
In any event, the final step in the approval process should be
a public review of a detail financial plan for the implementation of the
decision and a detail business plan for the long-term costs of the
decision.
Another restaurant failure is not a
option.
SCA contains 7,144 units and serves over 12,000 residents. The
support of the majority of the community for retaining or discontinuing food
service operation will be critical.
Therefore, a decision made by a small number of active people
is too risky considering these many concerns, and as a result, must
be thoroughly and properly examined.
- - - - - - - - - - - - - - - - - -
-
We thank Mr. Mayfield for this thoughtful opinion. In our view, he has both enhanced and brought forth additional thoughts that must be properly considered.
Now it's your
turn.
We'd like your thoughts as to the
remarks made by Mr. Mayfield.
Send them
to:
Anthem Opinions
Administration
-
Jim,
Thank you again for your logical analysis of the situation. Keeping emotions out of the discussion and eliminating false assumptions will make for a more intelligent discussion.
Personally, I do not like the idea of gaming. There is plenty of it in Las Vegas. I prefer to dine and have a cocktail without the machine staring me in the face. As an example of my view: I can't imagine Buckman's bar would be nearly as chummy and comfortable with machines.
And lastly, should the small group of activist succeed in pushing through a restaurant there must be financial accountability built in, for the Board and/or the GM, such that a failure comes out of their pockets, not the associations.
With very best regards,
Lawrence -
From Sandy Groth...to...Anthem Opinions
I am glad to read that we are not assuming a restaurant is a given. I would like to see surveys sent to all residents on their thoughts on the use if the space.
Until Liberty Center is reopened, trying to get a table for mah jong or cards has often been difficult. -
From Steve Friedman...to...Anthem Opinions
Thanks to Jim Mayfield, the one person on the board with the guts to call it as he sees it!
If more residents would get involved, the oppressive board members could not ram their desires down out throat. -
From Karla Rounds...to...Anthem Opinions
Simple comments:
Do not want to pay to support it.
Prices have historically been to high for us to use; can get less expensive food elsewhere.
Prices need to be more competitive as evident by lack of people using facility.
All clubs should be required to use it.
Suggest member survey with expectations that responses need to be at least 75-80%.
-
From Harlen Hendrickson...to...Anthem Opinions
If a restaurant is to be at SCA perhaps it should be available for breakfast and a light lunch. if this is to occur the hours could be from 7am to 3 Pm.for breakfast it could be hash browns and several egg dishes along with a variety of meats and of course pancakes and waffles.
A light lunch could be soup and choice of few sandwiches IG Turkey, Roast beef, , Rueben, Tuna served with potato chips, or french fries and a good dill pickle.
They need a liquor license for drinks Bloody Mary for breakfast and beer or a mixed drink for lunch or in some cases for breakfast..
I don't believe dinner is essential since there a plenty of good restaurants around SCA. -
From Donna Krill...to...Anthem Opinions
I have lived in SCA for 17 years and have experienced first hand the sorry state of our restaurant adventures. Back when the restaurant first opened, I met with the food and beverage manager at the time to discuss the overpriced and over hyped restaurant and menu options and prices. I was told that Del Webb wanted a very " gourmet and exclusive " restaurant on site. I predicted failure.
Unfortunately over the years I have noted that a small and vocal number of residents wanted the same thing, a gourmet and exclusive restaurant on site....I could not understand why anyone would frequent a restaurant in a retirement community recreation center located in a city with thousands of more diverse and interesting dining choices.
An unscientific poll of my immediate friends indicated that most wanted what I envisioned for the site: a casual restaurant with sandwiches, soups, salads, burgers and bagels and pastries for breakfast.
I was told at every turn that such a restaurant could not survive and if it could be considered, would have to have gaming.
Each and every operator was doomed to failure from the start with the menu and pricing they were coerced to provide.
Fast forward to 2016.
Kneaders opens on Eastern Avenue and offers exactly the same menu as requested for our site.
They had to build from the ground up and include parking.
And to no ones surprise, they are crowded every day with a majority of diners from Sun City.
Has no one told them they can't survive without gaming?
We supposedly have members of our community with restaurant management experience.....how is it that so many operators have come in here and failed with the incredible opportunity of taking over a fully equipped site with minimal rent?
Are we at fault for demanding a level of dining most of our community won't patronize?
Do the decision makers in our community never poll the community?
The last thing we want here is another restaurant that nobody goes to.....and that includes whether we run it or somebody else.
-
From Carolyn Schmalz...to...Anthem Opinions
I do not support having another restaurant and I strongly object to subsidizing a restaurant.
Nor would I participate in gaming.
I wish the Board would realize that after all the failures of restaurants that it is a losing business.
Good grief! 
September 10, 2016 at 5:13 AM- From Elvira Giannasca...to...Anthem Opinions
Its a beautiful piece of property and the location is the best with a view of the Strip - let's utilize it as an evening lounge (lounge like in the good old days) and special events for all.
As a lounge with entertainment, you will have many people who will spend their evenings there instead of at Casinos or at home watching TV...... -
From Robin Armstrong...to...Anthem Opinions
Regarding Jim Mayfield, boy is he right on!
Especially about getting votes from all SCA residents.
Sick of decisions being made by a few people that effect us all.
Jim, could you expound on the tax filing issue?
And gaming...potentially having to donate its restaurant and equipment to an outside party?
Could you also give us some clarification on that issue as well?
I believe our readers NEED some details on these points.
Thank you.