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Clubhouse Kitchen To Close

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By KENNETH KNIGHT

kknight@tampatrib.com

Published: November 12, 2008

HERITAGE ISLES - The Heritage Isles Community Development District board has decided to shut down the kitchen at the clubhouse restaurant this winter but keep the dining room open for business.

The Seabreeze Cafe at the Heritage Isles Clubhouse will remain open daily from 11 a.m. to 4 p.m. but offer a limited menu of sandwiches, hot dogs and beverages.

The five-member board of supervisors authorized the management team hired to run the community golf course and restaurant to move forward on making the change without reducing the restaurant's hours of operation.

They hope it will be a temporarily move to reduce financial losses until a new restaurant operator is found to take over the lease.

Dempsey Resorts Management Inc, or DRMI, which also operates Saddlebrook Resort in Wesley Chapel, offered the district an opportunity to modify the terms of its golf course and restaurant operations agreement to help stem the restaurant's mounting losses, said Pat Ciaccio, the food and beverage director at DRMI.

"It's a goodwill gesture," Ciaccio said. "We are trying to put a positive cash flow into the business.
Ciaccio estimates the deal could save the district more than $100,000 annually for the remainder of the 18-month contract.

The change would not limit the restaurant's ability to host events such as weddings, banquets or golf tournaments, he said. DRMI would cater the food events. The company would seek reimbursement for food preparation costs and split profits with the district.

The restaurant bar would stay open and a beverage cart would continue to operate.
Ciaccio said DRMI President Tom Dempsey proposed modifying his company's contract with the district after a recent meeting with CDD supervisor Dan Barravecchio.

"They gave me insight on how to restructure the restaurant to produce cost efficiencies," Barravecchio said.

Heritage Isles is in danger of defaulting on its bonds. The golf course and underperforming restaurant have taken a toll, preventing the district from meeting its financial obligations to the bondholders.

"Mr. Dempsey is willing to work with you," Ciaccio told the district supervisors at the Nov. 5 meeting.

The scaled-down restaurant operation would have an immediate effect on the restaurant's payroll, saving the district more than $50,000 annually, he said.

The kitchen staff - an executive chef and part-time cook - would return to work at Saddlebrook full-time, Ciaccio said. The sandwiches would be prepared at the DRMI headquarters at Saddlebrook and delivered to the restaurant at Heritage Isles.

DRMI also has offered to reduce its $105,000 annual fee by 40 percent, Ciaccio said.

While all of the district board members would prefer leasing the restaurant, most said the management company's offer would provide room to cut expenses.

The district supervisors voted 4-1 to direct board attorney Tracy Robin to work out the financial terms with DRMI. Supervisor Sherry Parrish was the lone dissenter.

District supervisors have pondered leasing or selling the restaurant operation. They directed district manager John Ricciardi last week to place a local newspaper advertisement seeking proposals from companies interested in leasing the restaurant.

DRMI took over management of the golf course and restaurant in June 2007. Dempsey and Executive Vice President Greg Riehle have said they would be willing to let Heritage Isles out of the contract if the board decides to go in a different location.

DRMI is the third golf course management company to operate it. None has made the restaurant profitable.

DRMI closed the restaurant last summer to stem the losses and reopened it as a full-serve dining hall this fall, when the number of tee times increased at the course.

In other news, the district board granted supervisor Frank Camara's request to launch "good neighbor" discussions with CDD representatives at neighboring Cory Lakes Isles and Arbor Greene.

Reporter Kenneth Knight can be reached at (813) 865-4842.

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