'Twilight Zone': Twin Cities Restaurateur Navigating The Pandemic

MENDOTA HEIGHTS, MN — As the owners of Mendoberri Cafe & Wine Bar in Mendota Heights, Ann Ulrich and her husband Robert have seen their share of "mini catastrophes." Power outages, vandalism, break-ins, etc.

But the health and economic crisis brought on by the new coronavirus isn't like anything they've seen before.

"I won't sugarcoat things, this has been the most difficult time financially, mentally and emotionally ever in the 20 years my husband and I have worked in the restaurant business," Ann Ulrich told Patch. "Nothing compares to this."

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Trying to make ends meet as the owners of one restaurant in the time of COVID-19 is enough of a struggle. But Ann and Robert also own FoodSmith Gastro-Pub, which opened in early March. West St. Paul's newest pub was forced to close just nine days after opening as the virus began spreading in Minnesota.

In their first week of business, FoodSmith started running out of food supplies because they were so busy. But then they had to close. On March 16, restaurant spaces were declared to be public health threat in the state of Minnesota.

With no money coming in, all of the staff at FoodSmith and Mendoberri had to be laid off. Most of them have been able to collect unemployment.

Now what?

Mendoberri is now completely closed down, but through FoodSmith, Ann and Robert are offering a weekly take and bake program.

"As owners, we've just been trying to adjust and adapt in ways that keep the business afloat," Ann said. "Each restaurant has a unique situation, financial profile, and demographics so we had to adjust accordingly."

Also read: Mendota Heights Local Business Guide: What's Open Or Closed

Unlike fast food chains like McDonalds — or even fast casual places like Panera Bread or Jimmy Johns — restaurants like Foodsmith and Mendoberri aren't in a position to make much profit from doing take-out, which is the only legal option available to them right now.

The amount of time, preparation, and specialized labor that goes into making the menu items from Ann and Robert's restaurants means they can't produce their food cheaply or at high volumes.

Still, they were able to arrange for a limited take and bake offering. Customers can submit their orders Sunday through Thursday and pick them up Friday. This structure allows Ann and Robert to plan and cook in advance, avoid buying too much or too little food, and still make a bit of money during the shutdown.

Plotting a course for the future

Ann hopes to fully reopen both Mendoberri and FoodSmith when it's safe and advisable to do so, but it's not clear when that time will come. She agrees with the governor's decision to temporarily close down gathering spaces like her restaurants, and thinks Minnesota has done a good job responding to the coronavirus crisis.

But she's worried about what business will be like when the economy begins to reopen. Will the public go back to dining out? If so, will restaurants be put in charge of policing the public so that customers continue to social distance?

Ann says insurance companies are refusing to pay out anything to restaurants right now. She believe it's "frustrating" given how much money they spend on premiums. Additionally, Ann and Robert are still waiting on the state of Minnesota to begin issuing unemployment benefits for restaurant owners.

One business partner Ann is especially thankful right now is Bank Cherokee, located just a few blocks north of FoodSmith up Smith Avenue.

"They believed in us enough to fund the FoodSmith construction project when many lenders run the other direction as soon as the word 'restaurant' is mentioned," she said.

Bank Cherokee has also helped them traverse the tricky world of applying for federal aid as a business owner in the age of coronavirus. "I'm seeing many banks getting a bad rap in the media right now, but just to offer a flip side of that, our experience with Bank Cherokee has been positive" she said, adding that the bank has helped them navigate various programs.

Ann and Robert now have whiteboards up at their home, filled with various scenarios and plans for the uncertain future.

It's like the "Twilight zone," Ann said.