Melbourne’s Greek Restaurants Closing

The newspaper The Age published an article entitled Restaurant Empires in Crisis on Aug. 4, in which it is reported that many Greek Australians in the industry in Melbourne will close their doors.

“Some of Melbourne’s most prominent hospitality figures have been forced to close venues or dramatically restructure their debt-ridden empires as the industry faces the biggest upheaval since the introduction of the controversial fringe benefits tax in 1986,” the newspaper writes, adding that “almost 1.500 Victorian restaurants have closed their doors over the past 12 months.” The newspaper blames the Masterchef Effect, which has inspired a generation of home cooks.

Nick Zampelis, one of Melbourne’s most prominent hospitality entrepreneurs, as well as other Greek Australians in the restaurant industry, found themselves in a difficult position, as around 1,500 restaurants have closed down during the last year.

Zampelis’ hospitality empire included more than 60 bars, restaurants and nightclubs over the past 25 years. Now, he has sold or closed six restaurants over the past six months, placed his Elsternwick mansion on the market and is poised to sell CBD nightclub Silk Road at a massive loss in a bid to stave off creditors, according to The Age.

Zampelis has an offer of about $3.5 million for the popular Melbourne Silk Road Venue, little more than a third of which he paid to renovate the premises. He denied, however, he was under financial pressure. “Times are obviously tough, but I’m doing fine. In fact, I have plans to open three new restaurants. I’m getting out of nightclubs because I’m sick of the industry,” he noted to the newspaper.

Zampelis has been involved in the restaurant industry since the 1980s. Some of the bars, restaurants and nightclubs of his, which were located across Victoria, included Café Greco, Silk Road, Lotus and Crown’s Waterfront.