Chodorow taps hot Chicago district with China Grill export

Nation's Restaurant News, Nov 8, 2004 by Carolyn Walkup

CHICAGO -- The opening here of a branch of the New York-based China Grill concept, in the Hard Rock Hotel downtown, is a landmark happening for a formerly low-profile stretch of Michigan Avenue.

Jeffrey Chodorow, China Grill Management's chief executive, who perhaps is best known as the restaurant owner who backed the short-lived Rocco's on 22nd in New York on a televised reality show, expects to do much better with his first Chicago venture.

Its proximity to the city's popular, new Millennium Park is expected to help China Grill and other new restaurants in the area.

"I think it's a great location," said Chodorow, saying he has had his eye on the Chicago market for some time. "We have a big customer base from Chicago in our other restaurants, so it was just a question of when."

Before signing the lease with the Hard Rock Hotel, Chodorow learned that the city's showcase Millennium Park would open just down the street, which he saw as another plus. Subsequently, Morton's the Steakhouse signed a lease a block to the west, which he interpreted as another good omen.

Other operators who recently have opened restaurants in the vicinity of the Hard Rock Hotel agree that they picked good locations. One of the choicest sites is that of Park Grill, the only full-service restaurant in Millennium Park, which holds a 30-year contract with the city and the Chicago Park District and is the park's exclusive catering contract.

Trevor Horwell, who heads Orlando, Fla.-based Hard Rock Hotels & Casinos, said he chose China Grill for Hard Rock's new Chicago hotel because he already had a good relationship with Chodorow and the concept "is fresh and new to Chicago.

"Chicago is an unpretentious, fun market.... You can't go into the market with an L.A. or New York attitude, or you won't get the locals and the locals are our business," Horwell said.

He also cited Chodorow's track record in running hotel banquets, bars and room service, which China Management also does in the Chicago property, and said Hard Rock plans to continue working with Chodorow in future ventures, particularly in Europe.

Park Grill operators Matthew O'Malley and Jim Horan are forecasting $12 million in annual sales from the 276-seat "classic American" restaurant, which is walking distance from Millennium Park's other attractions. The outdoor cafe for 200 will expand its seating capacity extensively from May through September.

"It's not solely dependent on tourists or visitors," O'Malley said. "It's a good mix of businesspeople and tourism because the restaurant is accessible to Michigan Avenue. Residential development is expanding around there, too."

Kimpton Hotel & Restaurant Group of San Francisco operates South Water Kitchen in its Hotel Monaco, one block to the west of the Hard Rock Hotel. Although the restaurant got off to a slow start when it opened as a different concept a few years ago, it now seems to have found its niche, according to director of operations John Inserra.

Millennium Park and a rumored-to-be-developed vacant block known as Block 37 across from Marshall Field's flagship department store on State Street are expected to benefit all restaurants in the area, including three that Kimpton owns in three of its boutique hotels Sales at its Atwood

Cafe in the Hotel Burnham on State Street rose 15 percent on weekdays and 5 percent on weekends last summer, Inserra said, crediting the Millenium Park opening for the boost.

The operators of Morton's expect to do strong lunch, dinner and private-party business when their new restaurant opens early next year, spokeswoman Patty Pleuss said."We have been looking for a fight location for many years, and that is it," she said of the chain's second Chicago outlet. Its original restaurant in the city, in the Rush Street entertainment district, is not open for lunch and does not have private dining space.

The openings of both Morton's and China Grill introduce high-end dinner concepts to a business area dominated by quick-service chain and independent restaurants geared to the lunch crowd. Dinner checks at China Grill average about $55.

With menu items priced higher than average because of the large portion sizes, diners may not initially realize the dishes are intended for sharing, Chodorow said. For example, dinner appetizers range from $11 to $33, and entrees are $26 to $58.

Chodorow believes the 17-year-old China Grill concept will work as well in Chicago as it has in New York, Miami, Las Vegas and Mexico City. "We take all the pretense out of sharing," he said. "It's very social."

Even though his restaurants are considered to be "hip" and tend to attract their share of celebrities and "power people," his employees and managers have "no attitude," Chodorow said."We are very populist," he added, explaining that he makes most of his money from satisfying regular customers who are not famous.

While an opening team of veterans from his other restaurants is spearheading the first month or so of operations at the Chicago China Grill, they soon will leave day-to-day operations to some 135 locals who were hired from about 500 applicants.