Port of San Diego expects the trio of restaurants to bring $1.75 million in revenue during next decade.
SAN DIEGO—A brewery, pizza joint and coffee shop will soon have a presence at Seaport Village, thanks to a series of leases approved by the Port of San Diego’s Board of Port Commissioners on Nov. 5.
Commissioners specifically approved lease terms for Mike Hess Brewing, Mr. Moto Pizza and Spill the Beans. Each dining establishment is expected to be operational and open to the public in 2020. The three dining businesses are expected to generate $1.75 million over 10 years in cumulative cash flow for the port district.
“The proposed leases would allow the [port] district to achieve its objectives of securing high-caliber, catalyst tenants to increase occupancy, generate greater momentum and energy for the shopping center and secure higher revenue,” port district staff said in a report to commissioners. “The board’s adoption will also demonstrate to prospective tenants in the visitor serving commercial market that Seaport Village has viable and attractive leasing opportunities that are competitive and worth pursuing.”
Mike Hess Brewing was described by port district staff as “one of San Diego’s first craft brewers. The restaurant would feature a beer tasting room, patio area and full-service restaurant. Port district staff stated they negotiated a 10-year lease with one five-year option.
Mr. Moto Pizza will serve New York-style pizza at Seaport Village; it will be adjacent to Mike Hess Brewing and will offer pickup, delivery and in-restaurant dining. The restaurant features a waterfront patio for dine-in guests. The port district negotiated a 10.5-year lease with two 2-year options, giving Mr. Moto Pizza up to 14.5 years at Seaport Village.
Spill the Beans is expected to open its second location at Seaport Village, thanks to the port district’s board action; the specialty coffee and bagel shop already operates a storefront in San Diego’s Gaslamp District. The port district will enter into a 10-year lease agreement with Spill the Beans.
The port district assumed ownership of Seaport Village on Oct. 1, 2018. Seaport Village, according to port district staff, “is a tourist-oriented retail shopping center consisting of approximately 90,000 square feet of specialty retailers, restaurants, outdoor entertainment and parking on an approximately 14-acre bayfront site located at 849 West Harbor Drive.”
The center is home to Tuna Harbor and is adjacent to Marriott Marquis San Diego Marina and Embarcadero Marina Park North.
The port district has lease agreements with 61 tenants at Seaport Village; there were 17 vacancies at the time the port’s board considered the leases for Mike Hess Brewing, Mr. Moto Pizza and Spill the Beans.
“Most of these vacancies are concentrated in the East Village area of Seaport Village, now referred to as the ‘Lighthouse District,'” port district staff said in a report to commissioners. “The current tenant mix is comprised of 41 retail tenants, 16 food and beverage tenants (including restaurants, walk-up cafes and specialty foods), and one second-floor office tenant for related Seaport Village projects.”
Other improvements at Seaport Village include free live music daily, a weekly speaker series and mixer, and podcast recordings on San Diego history and marine ecology.