By: Benyamin Davidsons
On Thursday, restaurateur Dean J. Poll announced that it will be closing operations at Central Park Boathouse, after having operated the venue for over 20 years.
As reported by the NY Post, Central Park’s landmark lakeside wedding venue, rowboat rental launch and restaurant the Loeb Boathouse will permanently close on October 16, 2022. The notice filed with the New York State Department of Labor, cited “rising labor and costs of goods” as the reason, adding that all 163 employees will be laid off. “We’re actually in good faith negotiations with the Parks Department to see what we can do to get through this,” Poll told The Post in regard to finding a new proprietor for the iconic spot, which boats unparalleled views and was constructed under the auspices of Robert Moses. “But,” he added, noting the possibility that a new proprietor won’t easily be found, “maybe not.” The boathouse had undergone a $2.9 million renovation in 2018, which required it to close its business for about three months, not long before the pandemic.
The Parks Department was quick to follow up with its own announcement that it is actively seeking a new tenant to take over and open in its place. “It is our intention to engage a future operator as soon as possible,” Parks spokesperson Crystal Howard told The Post on Friday, adding that the city is doing its best to help those with existing future reservations. “We are working in good faith with the current operator in an effort to accommodate those individuals who have an event already scheduled at the Boathouse.”
Mr. Poll told the Post that despite the venue’s popularity, the business was facing economic hardship, and that inflation including rising costs of labor and insurance were taking their toll on the eatery. “COVID has nothing to do with anything. The volume was there,” Poll clarified, speaking to Patch. “But the expenses just eat away at it.” Crain’s added that the venue had an extra expense too, noting that in 2017, Poll signed a 15-year contract with the city requiring him to either pay 7.2 percent of gross receipts or a roughly $1.7 million annual fee.
The venue was first opened to the public in 1954. Its location and breathtaking view quickly made it a success as well as a popular tourist destination. Poll had taken over the restaurant in 2000. He also had a deal to reopen the then-shuttered Tavern on the Green in Central Park in 2010. He ended up backing away from the deal, however, when the infamously tough Union Local 6 had blocked his efforts to cut the number of employees.
The Post speculated that it may be a while before another operator will reopen the boathouse, because first the Parks Department must bid out the complex license agreement–and it can take a while just to evaluate the offers. Also, prospective operators would need to crunch the numbers regarding the requirement to pay the city the higher of a $1.7 million annual fee or 7.2 percent of annual revenue, not to mention it must abide by the stringent union contract.
