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Angie's Lobster forced to vacate south Tempe location

Construction, landlord dispute to blame

Posted 3/26/22

Angie’s Lobster was forced to vacate its south Tempe location amid a dispute with the property’s landlord on Friday. 

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Business

Angie's Lobster forced to vacate south Tempe location

Construction, landlord dispute to blame

Posted

Angie’s Lobster was forced to vacate its south Tempe location amid a dispute with the property’s landlord on Friday. 

The drive-thru lobster joint had been remodeling its location at 835 W. Baseline Road when minor improvements uncovered serious issues with the building’s foundation due to a water leak. According to Angie’s Lobster co-founder Tony Christofellis, his landlord, who he declined to name publicly, has so far refused to help cover the costs on top of the pricey rent due to the existing drive-thru capability.

“The landlord wanted a building that was more modern and higher and more grand, which we agreed to because we don't want to slow down the process, but it increased the cost, which is fine,” he said. “But then when we started the construction process, because of that change he wanted, we had to get into the foundation because we had to provide supporting structure for the heavier building, and we found out the foundation was compromised. At this point he hasn't been willing to help.”

Christofellis said he’s asking his landlord to either help cover the costs or to lower the rent while Angie’s Lobster pays for the rest. The two parties met in person today to discuss the dispute but his landlord is sticking to the original lease terms that were solidified in May 2021 prior to the need for a new building at the site of a former Taco Bell.

He added that instead of hiring a structural engineer to corroborate the findings of the engineer who identified the foundation's problem, the landlord hired a forensics engineer. 

"Brian Heaward, who heads up construction for us, said in his experience someone like that is hired to 'prove the case' for the client," said Christofellis. "Brian said any structural engineer would come up with the same assessment that the one gave us because it's a code thing. Why should we spend all of that money to build this grand and tall building on a compromised foundation? We want to be there forever and don’t want something to happen that will jeopardize the safety of the team. We don’t have any confidence the landlord would help in the future if something unforeseen happened because he has not so far."

But he’s hopeful that his landlord will eventually come around. 

The landlord in question did not immediately respond to a request for comment. 

Now, the location’s employees are out of a job, though Christofellis is continuing to pay his team $16 an hour. Some employees are working two or three days from the only other open location at 4326 W. Thunderbird Road in Glendale. With two teams now working from one location, employees get breaks every 45 minutes. 

The team had previously been working at the Tempe location out of a food truck starting in December due to the construction, which was not ideal with Arizona’s intense heat. 

“We’re not a food truck company, we’re a drive thru company,” said Christofellis. 

He and his wife exited their previous business, Salad N’ Go, this past summer to start Angie’s Lobster, named for his late mother. Their mission is to bring lobster to the masses, not just the rich; the house specialty is a lobster roll meal for just $9.99. 

Angie’s Lobster has locations in development around the Valley, including in Mesa, Glendale and Surprise, though Christofellis said the company won’t abandon Tempe. 

“We’re committed to that intersection of Baseline & Hardy,” he said. “It’s an intersection that represents America. It’s diverse and it’s super dense. So we’ll be back at that intersection or that area, whether with that landlord or with another one.”