Poor economy led to closure of Niko’s in Huntley
Three things forced Niko Kanakaris to close Niko’s Grill and Pub in Huntley, an eatery that specialized in steaks, seafood and pasta.
They would be the lousy economy, the Route 47 interchange that won’t appear until late 2013 and slower traffic at the nearby Prime Outlets Mall.
Kanakaris, also a Huntley village trustee, closed the restaurant Oct. 6 after an eight-year run. He says the past 12 months were particularly rough.
Business was getting slower and regulars who dined there three times a week were only showing up once a week, he said. Niko’s also depended on traffic from the outlet mall but increased vacancies there didn’t help. He’d also opened the restaurant, thinking the new Route 47 interchange would open a lot sooner.
In the end, the eatery, which staffed 20 employees, was $400,000 in red at the time of its closure, Kanakaris said.
“We’re not going to keep on feeding it,” Kanakaris said. “I think if the economic downturn didn’t happen, I think we would be able to sustain it.”
The Huntley closure, Kanakaris said, had absolutely nothing to do with pending litigation against the restaurant’s property and against another Niko’s in Wasco.
“The restaurant closed because the business was slow and we had to stop the bleeding,” he said.
According to court documents, Kanakaris and his father George owe $67,374.06 in liens to the Huntley Village Green Association for the eatery’s property at 11900 Freeman Road, which is listed for rent. The money is related to unpaid monthly assessments from Jan. 1, 2004, through May 31, 2010, that deal with maintaining common areas within the retail development, said John Kennelly, the attorney representing the association.
In June 2010, the property association filed a complaint to foreclose on its lien. A judgment for the money owed was entered against the Kanakarises in August 2011, and documents say the Kanakarises have not paid anything down on the debt.
“I think they’re good people and just got in over their heads,” Kennelly said, adding that he is researching the Kanakarises assets.
The father-and-son team also owe money related to their Niko’s Lodge Restaurant in Wasco, which remains open.
A judgment for $129,979.66 was entered against that eatery and the pair in June 2010. It was brought to the court by Iowa-based Tri City Equipment Co., which says the Kanakarises failed to pay for or to return the equipment and supplies they ordered from the company for the eatery. Those nearly 300 items included exhaust fans, tables, sinks and faucets.
This summer, Sysco Chicago Inc., another supplier, sought arbitration against the Wasco restaurant, Niko Kanakaris and his partner Tom Vasiliou over a $34,382.37 bill for “goods, services and merchandise sold to the defendant by the plaintiff.”
Parker McMahan, the attorney representing Sysco, declined to discuss the case. As well, the firm that is representing Kanakaris in all of his cases said it could not comment on pending litigation.
Ÿ Staff writer Susan Sarkauskas contributed to this report.