The Portland-based restaurant Sizzle Pie has chosen to close its original East Burnside Street pizzeria, one month after its staff voted to organize a union.
According to Ava Brenneke, marketing manager at Sustainable Restaurant Group, a division of SoHi Brands (previously Sortis Holdings), the pizza is closing because they were unable to come to an agreement with the landlord, not because of the union’s efforts.
Brenneke stated, “We have communicated to the union our commitment to collaborating with them during this transition.” If a workable lease could have been negotiated, we would have been very happy to continue operating here.
A phone seeking comment was not immediately answered by Keun Sung Yu, the landlord of Sizzle Pie on East Burnside Street.
There are still Sizzle Pie stores in Beaverton, the Hollywood District, downtown Portland, and a recently opened location at Portland International Airport.
Following a petition and rally in September of last year, employees at the Central Eastside Sizzle Pie announced on January 9 that they had unanimously decided to join Restaurant Workers United.
Since then, the Sizzle Pie union has complained to the National Labor Relations Board about a number of unfair labor practices, claiming that workers were singled out or fired because they supported the union.
An email asking for comment regarding the impending closure of the pizza was not immediately answered by Restaurant Works United.
Founded in 2011 by Matt Jacobson and Mikey McKennedy, Sizzle Pie is well-known for its vegan-friendly pies, heavy-metal branding, and late-night hours. The restaurant first debuted at 634 E. Burnside St.
In 2012, the pizzeria began a significant growth that brought the chain to New York, Seattle, and Reno, Nevada, when it established a second location on West Burnside Street. According to local accounts, all locations outside of the Portland area have since closed, including one in Eugene that closed in 2022 just after staff members started looking into starting a unionization effort.
Sizzle Pie and a number of other well-known Portland brands were acquired by private equity firm Sortis Holdings during the COVID-19 pandemic as part of executive chairman Paul Brenneke’s plan to build a portfolio of renowned but faltering Pacific Northwest hotels, eateries, coffee shops, and barbershops. Ava Gene’s, Bamboo Sushi, Cicoria, Rudy’s Barbershop, See See Motor Coffee, Tusk, and Water Avenue Coffee were some of the brands in Portland.
Sizzle Piere won two federal loans totaling $3.7 million between 2020 and 2021. July 2022 saw the forgiveness of both.
However, Sortis Holdings’ financial issues were made public by 2023 when a number of contractors and landlords filed lawsuits, claiming the corporation had ceased paying rent or had not paid for finished work.
Since then, Cicoria and See See Motor Coffee have shut down, and Harder Day, another coffee company, purchased Water Avenue.
While not all of Sortis Holdings’ cases have been settled, many have. According to court documents, a landlord at 5440 N.E. 33rd Ave. filed a lawsuit alleging breach of contract in May, forcing subsidiary Sizzle Pie to pay more than $28,000 in a default judgment. The NYC Pizzeria in Vancouver now has a second outlet there.
In order to prevent bankruptcy, which may have resulted in the company’s liquidation, Sortis Holdings and four creditors struck a tentative deal last month. However, according to court documents, Sortis Holdings was required as part of that agreement to reveal the identities of its more than 80 creditors in multiple jurisdictions so they may have a reasonable opportunity to challenge the settlement.
On Sunday, February 23, Sizzle Pie’s East Burnside restaurant will close following service.
Russell, Michael; [email protected]
This article was compiled by Jonathan Bach of The Oregonian/OregonLive.
Stories by
Michael Russell
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