HomeMy WebLinkAboutSEOPW-CRA-2002-01-28-Discussion 2DITEM 2D
REPORT ON W. H.E. ENTERPRISE
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January 16, 2002
Ms. Annette Lewis
Acting Executive Director
City of Miami
Community Redevelopment Agency
300 Biscayne Blvd. Way, Suite 430
Miami. Fl. 33131
Dear Ms. Lewis:
My partner, Richard Haylor, and I are proud owners of a new music bar called SAX on the
Beach located in the lobby of the Bay Parc Plaza Building at 1756 North Bayshore Drive.
We have been open since November 161h, 2001. The Club features American, Latin, Caribbean
and Brazilian Jazz and Blues entertainment from Tuesday through Sunday. There is weeknight
happy hour entertainment with well-known local artist Nathaniel Reed at the baby grand. We
also have a full kitchen open from 11:30am, seven days a week.
Our concept for the Club was to model the interior after the old Soho and Chicago jazz clubs of
the `30s and `40s with brick and plaster walls. A mural, painted by a local artist, has abstract jazz
figures playing real instruments imbedded in the wall. Our desire is to project a warm and
comfortable feeling through the ambience, entertainment, food and service, realizing that we
appeal to the jazz and blues aficionados and not the mass market. One of the more important
nights we feature is on Tuesdays with `Open Mic' Night. The stage and our sound system are
turned over for a jam session to local upcoming artists and university students majoring in music.
This gives these gifted musicians the opportunity to display their talents and `fantasize' about
their futures. It has become a great success, producing as many as 9 musicians on the stage at one
time.
As an added idea, we also hope to develop a weekend Jazz Festival in Margaret Pace Park,
across the street from our building. With its anticipated success, we hope to make this an annual
event which should bring interested people to the area.
We are strategically located in downtown Miami near Venetia, the upcoming Performing Arts
Center and the AA Arena. We have advertised with Love94, WDNA, The New Times, The
Weekend of the Herald and Heat Beat Magazine. We have also been fortunate to have both the
New Times and the Herald write recent articles about the Club. We have hired many of the
former bartenders, waitresses and kitchen staff from the old 1800 Club. We employ 12 service
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1756 North Bayshore Drive, # 119
Miami, Fl. 33132
786-924-5535
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industry personnel with a wide range of ethnic backgrounds. We welcome the opportunity to be a
part of the New Miami, which we feel will draw prospective clients away from South Beach. We
are easily accessible from Biscayne Blvd., have free parking, a minimal cover charge on
weekends, and reasonable food and drink prices.
The existing problem is that our lease includes 4700 sq.ft. Due to the initial costs of construction,
permits and impact fees for water and sewer, we have only been able to open 2700 sq.ft.
Additionally, the excessive impact fees forced us to change the concept of the club from regular
tables and chairs, to stools and high tables. We desperately need to open the remaining 2000
sq.ft., but find that this is presently a financial hardship and we are not in a position to do so
without monetary assistance in the form of loans or funds that may be available for our project.
With the opening of the remaining 2000 sq.ft, we anticipate creating an additional 11 job
positions. This would include an assistant manager and bar and waitress staff.
Costs for new construction are as follows:
$72,228.00 — Includes labor and material for build out, erection of bar, and connection to
existing plumbing, electrical and mechanical.
This figure excludes architectural fees, engineering fees, permit fees, utility fees and upgrade to
code of any kind. The estimated cost for the aforementioned is approximately $26,000. Impact
fees are in addition to the above figures, which we estimate will be $25,000.
Our present labor costs are as follows:
General Manager $30,000
Head Bartender $4.20 per hour plus tips (approx. 45 hours per week)
Chef $10.00 per hour (approx. 55 hours per week)
Kitchen Asst. $7.00 per hour (approx. 35 hours per week)
Kitchen Asst. $7.00 per hour (approx. 35 hours per week)
4 Bartenders and 3 Waitress staff are on hourly rates varying from $2.20 to $4.00 per hour plus
tips. Hours vary from 30 to 50 hours per week.
Not included - FICA and Workmen's Compensation
With the opening of the additional space, we anticipate the following labor costs:
Assistant Manager $24,000
Assistant Bartender $3.50 per hour plus tips (approx. 45 hours per week)
Kitchen Asst. $7.00 per hour (approx. 35 hours per week)
Busboy $7.00 per hour (approx. 50 hours per week)
4 Bartenders and 3 Waitress staff at an hourly rate of $2.20 to $4.00 per hour plus tips.
Your invaluable assistance is greatly needed to help us move forward with this project which would
not only create new jobs, but lend itself to the revitalization taking place in downtown Miami. We
appreciate your time and attention to this matter and look forward to a successful outcome for both
SAX on the Beach and the City of Miami.
Sincerely,
Karen E. Segalla