Starbucks Closing Some Stores Nationwide Due To Safety

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Re: Starbucks Closing Some Stores Nationwide Due To Safety

Post by storewanderer »

Brian Lutz wrote: July 17th, 2022, 7:05 pm https://komonews.com/news/local/starbuc ... on-busting
https://komonews.com/news/local/starbuc ... shut-downs

The union organizing efforts at Starbucks are now organizing pickets at the Reserve Roastery location in Seattle, claiming that the store closures are being aimed at union organizing efforts with safety being used as an excuse.
Howard promised many more store closures in another article if things don't turn around from a safety perspective.

Many independent businesses have already thrown in the towel in these types of locations. I think everyone expects a big corporation like Starbucks to "pay to deal with the issues" but the reality is how much money does a coffee shop on prime real estate (that means high rent) really make? Can it even afford, say, to add a security guard from open to close? How will not having seating/restrooms impact foot traffic (will that cause it to lose enough traffic to no longer be profitable?).

Maybe this disappearing of Starbucks from some of these locations will change the landscape a bit and will open the door for some independent coffee businesses that can play by their own rules. Only be open when it makes sense to be open, not offer seating/restrooms if they don't want to, not offer reheated frozen food because it is just a waste anyway, etc.

There used to be a Peet's in downtown Chico, CA and it closed due to safety issues/too many homeless around too. The area downtown Chico doesn't even particularly have a huge homeless problem but the population just congregated at Peet's because the other businesses down there, mostly independents, would not accommodate them, would call the police, trespass them out, you name it. Peet's policy was to welcome, allow, whoever walked through the door. Even if they didn't buy anything. One time when I sat in there for 20 minutes I watched about six people come in asking for ice water (which was given free) and a couple asked for restroom but it was being occupied for a long time period by someone else, and they started to get upset it was occupied. I think Starbucks has gotten itself into a similar situation in some of these locations.
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Re: Starbucks Closing Some Stores Nationwide Due To Safety

Post by Brian Lutz »

I don't think Starbucks would close such high profile locations as Hollywood and Vine and 505 Union Station without a good reason to do so. Hollywood and Vine is high profile for obvious reasons; 505 Union Station is situated right in one of the highest commuter traffic spots in Seattle next to King Street Station (Amtrak and Sounder commuter trains), several very busy bus stops, International District Station (light rail, which Sound Transit and other transit agencies have started consolidating a lot of routes formerly served by buses to as more of the planned light rail network opens) and it's also the closest location to Lumen Field and T-Mobile Park. It also used to be next door to a Specialty's Bakery/Peet's Coffee location, but that particular chain was already hanging by a thread before COVID and went under as a result of the shutdowns. They had better baked goods than Starbucks, but I was never all that impressed by their other food. There was also a Tully's in the next building over which closed when that chain went under; I believe there's a Tous le Jours store in that space now.

When I worked in that building the Union Station location got plenty of traffic at all hours of the day. I have to imagine COVID and the associated move to work from home has reduced that traffic quite a bit, but even so that doesn't seem like the type of location Starbucks would abandon just to spite the unions.
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Re: Starbucks Closing Some Stores Nationwide Due To Safety

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Brian Lutz wrote: July 18th, 2022, 1:31 pm I don't think Starbucks would close such high profile locations as Hollywood and Vine and 505 Union Station without a good reason to do so. Hollywood and Vine is high profile for obvious reasons; 505 Union Station is situated right in one of the highest commuter traffic spots in Seattle next to King Street Station (Amtrak and Sounder commuter trains), several very busy bus stops, International District Station (light rail, which Sound Transit and other transit agencies have started consolidating a lot of routes formerly served by buses to as more of the planned light rail network opens) and it's also the closest location to Lumen Field and T-Mobile Park. It also used to be next door to a Specialty's Bakery/Peet's Coffee location, but that particular chain was already hanging by a thread before COVID and went under as a result of the shutdowns. They had better baked goods than Starbucks, but I was never all that impressed by their other food. There was also a Tully's in the next building over which closed when that chain went under; I believe there's a Tous le Jours store in that space now.

When I worked in that building the Union Station location got plenty of traffic at all hours of the day. I have to imagine COVID and the associated move to work from home has reduced that traffic quite a bit, but even so that doesn't seem like the type of location Starbucks would abandon just to spite the unions.
Hollywood & Vine is a terrible location now. If you drive down Vine just south of Hollywood Blvd there are tent cities of homeless. The one that surprises me is the one in West Hollywood on Santa Monica & Westmount, especially since the city decided to cut down on country Sheriff deputies to be replaced by social workers.
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Re: Starbucks Closing Some Stores Nationwide Due To Safety

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Brian Lutz wrote: July 18th, 2022, 1:31 pm 505 Union Station is situated right in one of the highest commuter traffic spots in Seattle next to King Street Station (Amtrak and Sounder commuter trains), several very busy bus stops, International District Station (light rail, which Sound Transit and other transit agencies have started consolidating a lot of routes formerly served by buses to as more of the planned light rail network opens) and it's also the closest location to Lumen Field and T-Mobile Park.

When I worked in that building the Union Station location got plenty of traffic at all hours of the day. I have to imagine COVID and the associated move to work from home has reduced that traffic quite a bit, but even so that doesn't seem like the type of location Starbucks would abandon just to spite the unions.
Would you say most of the traffic that goes through Union Station passes some other Starbucks at some point in their commute, so maybe the business will just be absorbed by assorted other locations?

Maybe they are just closing for now and if return to office ever picks up speed they can just reopen Union Station.
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Re: Starbucks Closing Some Stores Nationwide Due To Safety

Post by Brian Lutz »

For the light rail I'm guessing most of the other stops will have a Starbucks somewhere nearby, but a lot of the long distance commuter routes (ST Express buses to Pierce and Snohomish counties and the Sounder commuter trains) run through here as well, and those people are often spending an hour or more on the bus or train plus whatever transfers they might make at either end, and a lot of the park and ride/transit center locations have few to no facilities nearby (Everett Station has an espresso bar that has changed ownership a few times over the years, and the Lynnwood Transit Center where the next phase of light rail expansion will terminate has a kiosk sized espresso stand, but these seem to be more the exception than the rule.)

As is, this Starbucks was the only one in the International District, and its closure probably makes that neighborhood the only one in Seattle without a Starbucks.
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Re: Starbucks Closing Some Stores Nationwide Due To Safety

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Brian Lutz wrote: July 19th, 2022, 11:06 pm

As is, this Starbucks was the only one in the International District, and its closure probably makes that neighborhood the only one in Seattle without a Starbucks.
It will be interesting to see what happens. They obviously are over saturated on locations. I do think closing now and reopening in a couple years is somewhat likely, assuming the situation changes in the area (either more housing or more returning to the office for commuters).
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Re: Starbucks Closing Some Stores Nationwide Due To Safety

Post by Brian Lutz »

Right now the situation with return to office (RTO) seems rather uncertain. A lot of companies are trying to get their employees back into the offices on at least a hybrid schedule but really want everyone back in the office full time. This is getting a lot of pushback from the employees, many of which simply found other jobs that will let them continue to work remotely (known as the "Great Resignation"). In my case before COVID I had a job in Seattle with a bus/train commute that on some days could take 90 minutes or more in each direction; I have been working from home since COVID started and recently changed jobs to one that is 100% remote and no longer need to commute at all (and since nothing is really tying us to this area my wife and I will very likely be relocating soon to somewhere with a lower cost of living and better weather.) I enjoyed my previous job but do not miss the commute, and at this point am glad not to have to deal with Seattle. I never had any major issues while I was there (my office was in SODO near the stadiums) but I understand the situation has gotten significantly worse over the past couple of years.
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Re: Starbucks Closing Some Stores Nationwide Due To Safety

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A couple recent and quiet and sudden Starbucks closures in my area:

Fifth at Nevada Street, Reno
Truckee, Donner Pass Road, in strip mall (Safeway still has their kiosk in the center)

I wonder why they did not mention these with the closure list they released. How odd.
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Re: Starbucks Closing Some Stores Nationwide Due To Safety

Post by Brian Lutz »

https://komonews.com/news/local/some-st ... r-closures

It turns out that two of the closed stores are union locations (505 Union Station and Olive Way in Seattle) and the unions continue to assert that the closures are for union busting purposes. The article does state that all of the affected employees at these two locations will be moved to other ones though.
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Re: Starbucks Closing Some Stores Nationwide Due To Safety

Post by storewanderer »

Brian Lutz wrote: August 2nd, 2022, 2:16 pm https://komonews.com/news/local/some-st ... r-closures

It turns out that two of the closed stores are union locations (505 Union Station and Olive Way in Seattle) and the unions continue to assert that the closures are for union busting purposes. The article does state that all of the affected employees at these two locations will be moved to other ones though.
It is not up to the employees what locations are closed, it is up to management. These employees act like somehow being in the union gives them a voice in whether or not the location will be closed. That isn't really how things work. If a location is not profitable, it is going to be closed. If a location has a lease difficulty that cannot be resolved, it is going to be closed.

If they return to nearby locations in a few years with a new store that is not unionized I do wonder if these employees could try to file suit and assert that their location was closed for union busting purposes and win. Perhaps they could. But I think the office vacancy rate at the present time, and what the office vacancy rate will be in a couple years (I expect a recovery and many companies to force a return to office), would throw cold water on that argument real fast. It is going to be a long road for this union.
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