Restaurants expect full tables in 2005

Alicia Robinson

Restaurant-industry experts are predicting a gut-busting year in

2005, and local restaurateurs also are loosening their belts for

expected profits.

The National Restaurant Assn. last week projected total sales of

$476 billion for next year, a 4.9% increase over 2004 sales.

Restaurant-industry observers in Newport-Mesa were cautious but also

positive in their predictions.

“I expect a modest increase just because product costs are going

up, so somehow those prices are going to be reflected on menus,” said

Dave Salisbury, co-owner of the Newport Landing and Harborside

restaurants in Newport Beach.

“I’m forecasting between a 3% and 5% increase [next] year.”

This year’s sales were about on par with 2003 for Salisbury, but

he had enough confidence in the market to open Harborside this spring

in a Balboa Pavilion space he renovated.

His banquet business has taken off, and he attributes it to his

location.

“It’s [had] double-digit increases because of our uniqueness,”

Salisbury said.

“There’s really no other facility in Newport Bay that can take on

500 people and be on the water.”

Others are even more optimistic. Business at Plums Restaurant in

Costa Mesa was up about 16% this year, and owner Kim Jorgenson

expects more of the same in 2005, barring a recession or problems

with the dollar, she said.

In some cases, restaurant sales success in 2004 has not been

limited to a specific concept or price range.

The Irvine Co. has opened eight restaurants at its properties in

Newport Beach, including a deli and a sushi and sake joint, and all

have done well, said Nina Robinson, vice president of marketing for

the Irvine Co.’s retail properties.

“It just shows us that our customer is looking for a variety of

experiences,” she said.

“It’s about the experience as a whole as opposed to a certain type

of cuisine.”

In Costa Mesa, sales-tax figures for April through June of 2004

show fast-food sales were flat compared with the same period in 2003,

while restaurants that serve beer and wine saw sales grow close to

2%, and eateries with full-service bars boosted sales 11.5% over the

same quarter of 2003, Costa Mesa Chamber of Commerce President Ed

Fawcett said.

Individual style was key to 2004’s average sales increase of 20%

at sit-down restaurants at the Camp and the Lab in Costa Mesa.

“I think people are looking for these specialty restaurants that

are more personalized, that they can feel comfortable in,” said

Shaheen Sadeghi, developer of the Camp and the Lab.

“Last year was our best year, and this year will outperform last

year.”

* ALICIA ROBINSON covers business, politics and the environment.

She may be reached at (714) 966-4626 or by e-mail at

alicia.robinson@latimes.com.