Foxtrot reopens in Chicago's Gold Coast, Old Town next
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Foxtrot reopened Thursday in Gold Coast, nearly five months after abruptly closing all 33 locations across the U.S.
Why it matters: The popular Chicago-based chain of upscale convenience stores was known for selling local brands, and when it shutdown in April, small business owners and Foxtrot employees were left stunned and wondering if they would get paid.
- The revamped store brought back some of the local brands they sold before, including Big Fat Cookie, Marz and Gemma Foods.
Driving the news: Foxtrot is rebranding as Foxtrot Café & Market with "an expanded coffee experience," and leaning into the cafe side with more seating and faster service, owner and founder Mike LaVitola told Axios Thursday.
- The store, located at 23 W. Maple St., is offering $4 draft beers and $7 glasses of wine Friday beginning at 3pm.
- LaVitola says Old Town and Wicker Park will be the next locations to open in Chicago, and there will also be cafes in Dallas.
Catch up quick: After stores closed in April, Foxtrot's parent company, Outfox Hospitality, filed for Chapter 7 bankruptcy in May.
- LaVitola had been pushed out of the company a year earlier when Foxtrot merged with Dom's Kitchen and Market.
- In May, LaVitola and a New York-based investment group bought the store's assets at auction and rumors swirled they would reopen.
Flashback: LaVitola started the company in 2014 as a delivery service featuring upscale and local products, like specialty cookies and canned wine, and opened a brick-and-mortar store in Fulton Market the following year.
- Foxtrot expanded quickly, becoming a popular morning spot for breakfast tacos and coffee, as well as a place to work remotely or grab a glass of wine.
Zoom in: Several former employees sued Outfox Hospitality, saying the company violated the federal WARN Act, which requires employers give 60 days notice before mass layoffs.
- Because the company filed for bankruptcy, an automatic stay has been applied to a few of the cases, preventing plaintiffs from seeking damages from the bankrupt company.
- LaVitola told Axios that leadership from the previous stores have returned and former employees were given first priority to come back.
What they're saying: "The abrupt ending put a lot of people in a really, really tough spot. Employees lost their jobs and lost their health care. Vendors had big orders that went unpaid," LaVitola says.
- "I think there had to be a better way to handle everything. And so our goal going forward is just to, you know, do things in the right way. "
Editor's note: This story has been updated to include comments from Foxtrot founder Mike LaVitola.