Oct 16, 2024
FORT WAYNE, Ind. (WANE) - A café that brought a selection of groceries and local goods to downtown Fort Wayne is closing its doors at the same time that its namesake filed a lawsuit against former business partners, who in turn had another lawsuit filed against them by the leasing company. GK Café and Provisions announced on social media Wednesday it would be closing its doors effective immediately. The café at 202 W. Berry St. opened in 2023 and was the first of its kind for the area, including not only sweet treats from longtime baker Grace Kelly May, but also a grocery section with staple items. "I have not been involved with operations for several months and was not part of making the decision to close GK Café and Provisions," May told WANE 15. GK previously announced it would also not be part of the upcoming YLNI winter farmers market, which takes place in the Olde East End building on Berry Street. The social media post cited financial strain as the reason for the café's closure. Read the full statement below: GK Community,It’s with a heavy heart we let you know that due to the slowing economy and the rising cost of raw goods paired with high overhead GK will need to shut its doors.We appreciate every individual that worked hard to make GK Cafe what it was, and we’re grateful for all the support our community showed us throughout the years.Effective today we will no longer be in operation. GK Café and Provisions The timing of the closure coincides with a lawsuit May filed against Junk Ditch Brewing Company, GK Baked Goods, and Affine, as well as two partners May had been in business with. The lawsuit states the Allen County-Fort Wayne Capital Improvement Board (CIB) granted $150,000 to GK, contingent upon the business staying open two years. But that timeline wouldn't be complete until February 2025, meaning GK and Affine are required to pay $150,000 to the CIB. May said she is not commenting on the lawsuit, but a statement from her lawyers is expected later Wednesday. Andrew Smith, one of the owners of Junk Ditch and listed as one of the defendants in the suit, said he has no comment. A separate lawsuit shows the owners of GK and Junk Ditch owe about $800,000 to Ashberry Eight LLC, who is suing GK Provisions, Junk Ditch and Affine for breach of contract, claiming the owners failed to a lease-to-purchase agreement for their spot in the Metro Building. The lawsuit describes an October 2023 meeting with May, Smith, and Daniel Campbell, the other businessman named a defendant in May's suit. According to the suit, the conversation revolved around how much payment the owners could afford, because rent had allegedly not been paid since the café opened in February of that year. "Mr. Brita agreed to defer eight (8) months of rent because GK Provisions was starting out and Mr. Brita wanted to give the new business a break. In exchange for his generosity, GK Provisions subsequently failed to pay any rent or make any loan payments until at least April 10, 2024," the lawsuit states. But as GK customers may know, the café's hours were recently cut back before its closure, and the schedule change among other discrepancies breaches the agreement the owners came to with Ashberry Eight LLC. As a result, the lawsuit states the owners have to pay back roughly $800,000.
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