Colorado Springs restaurants and stores come and go in 2022; more on the way in 2023

Jan. 1—Two years after the onset of the COVID-19 pandemic, restaurants and retailers appear to have fared better in 2022 — though they still had their share of problems.

New names entered the market, others expanded and the industries generally avoided sweeping closures that plagued them in 2020.

"We've gradually seen a pickup in activity for the opening of new restaurants or expansion of restaurant chains after COVID," said Mark Useman, a senior broker and retail specialist with NAI Highland, a Colorado Springs commercial brokerage. "It was a little bit slow, but over the last year, it's definitely picked up. We've seen some pretty decent growth of new expansions or new names that have come to Colorado Springs."

The city's strong population growth, availability of housing choices that include thousands of new apartments and its quality of life are among factors that encouraged restaurant and retail additions in 2022, Useman said.

"Retailers and restaurants recognize that," Useman said. "We've had good growth. We've got a decent economy in Colorado Springs and a decent place to live. It's a natural place for them to expand. They may have started in Denver, also, and they're trickling down. That's not untypical of Colorado Springs. We're a secondary city in Colorado, and they may pick Denver first, and then eventually start moving into Colorado Springs."

Retailers and restaurants also pay attention to new jobs coming to town, he said.

Massachusetts-based Entegris, whose products support the semiconductor industry, and Zivaro, a Denver information and technology company, announced in December they plan to add a combined 900 jobs in the Springs in coming years. Entegris' jobs will average nearly $75,000 a year, while Zivaro will pay an average of just over $165,000 annually.

"Any announcements like that of new growth, especially high-paying jobs like that, is impressive," Useman said, adding that those companies will attract other businesses. "The decisions that some of these retailers and restaurants make is, 'why do we want to come to Colorado Springs?' Well, we've got good growth, we've got good housing, we've got alternatives in housing with good multifamily. We've got new employment happening. That's all positive for them to make their decisions."

Restaurant and retailers, however, continued to confront challenges in 2022, which might have caused some to close their doors, Useman said.

Finding and keeping workers remains a major headache, he said.

"Hiring decent employees and keeping decent employees," Useman said. "A lot of them always see different opportunities and may not be there for a long period of time at any one place. There's a lot of jumping around happening, going to what they perceive as a better situation or better pay."

Another problem: soaring operating costs, driven by rampant inflation for much of 2022.

Some developers, meanwhile, might have seen their budgets climb because of spiking interest rates and higher construction and labor costs, Useman said. In turn, lease rates have increased for retail and restaurants to offset those costs, he said.

Competition also remains a hurdle. Brick-and-mortar stores battle Amazon and other online retailers, while local mom-and-pop restaurants face an influx of regional and national chains, Useman said.

"You have tons of hamburger places and not all of them are going to make it," he said. "They may not be able to compete with the expansion of Whataburger and In-N-Out Burger, right? You're going to have some natural attrition. But I don't think it was overwhelming."

For 2022, here's a partial list of local restaurants and stores that closed and others that opened or expanded, along with a sampling of newcomers that plan to join the Colorado Springs market in 2023:

CLOSINGS

— Andy's Meat Market closed in February in central Colorado Springs after 70 years; its shutdown followed the death of the founder's daughter-in-law.

— Big Train Family Restaurant, known for its meatloaf, chicken-fried steak and other comfort food favorites, closed in January on Colorado Springs' northwest side after more than a half century. Its owner cited problems that began when the business relocated in 2019, continued the next year because of the pandemic and culminated with rising food and operating costs.

— Buttermilk Breakfast & Burgers on the city's far north side closed in late July and was replaced by Notes, a music venue.

— Crave Real Burgers closed in late summer in northern Colorado Springs; its owner cited competition from other restaurants.

— El Taco Rey, the downtown Mexican restaurant that became an institution over 45 years, closed in September after the death of the family owned favorite's matriarch.

— Epiphany, a Latin-American fusion restaurant in downtown Colorado Springs, closed in June amid allegations that a part owner "misused" funds related to it and several other local restaurants.

— Panino's, the nearly half-century-old, family-run restaurant chain known for its signature panino sandwich, closed its location in May at the First & Main Town Center on Colorado Springs' east side. The closure resulted from the shopping center owner's decision to demolish the building leased by the restaurant; Panino's locations remain open downtown and on the city's west side.

— Poké Bop, whose fresh seafood bowls and rolls were served with fruit, veggies and other healthy fare, closed in February in downtown Colorado Springs. The closure came six months after the shuttering of Poké Bop's first location on North Academy Boulevard. Poke Bop's owner cited the pandemic and a loss of downtown employees who continued to work remotely, among other factors.

— Starbucks on South Nevada Avenue, south of downtown, closed in October. The coffee giant cited employee safety concerns, though workers complained the closure was in retaliation for their decision to unionize

— Steak & Shake, the Midwestern restaurant whose diner-like fare included signature steak burgers, fries and milkshakes, closed in early 2022 on the Springs' north side, near the Chapel Hills Mall.

— Tejon Eatery & Bar, the two-story, downtown Colorado Springs food hall that opened in 2021, experienced high labor costs and never seemed to catch on with customers, its operations manager said. Its closure in October was unrelated to the death a month earlier of co-owner Sam Guadagnoli, the manager said.

— Vallejo's Mexican Restaurant in downtown, a Colorado Springs staple for 60 years, closed in early September after the retirement of its owner.

REOPENINGS AND EXPANSIONS

— Awi Sushi, which operates in the University Village Colorado shopping center in north central Colorado Springs, added a second location in downtown in June. It took over the former home of the Poké Bop seafood bowl restaurant.

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— Buffalo Wild Wings, the sports bar and restaurant, opened its third Springs location in December at the east side First & Main Town Center.

— Chick-fil-A, the fast-food chain known for its chicken sandwiches and waffle fries, among other items, opened its eighth Colorado Springs-area restaurant in December at the Citadel Crossing shopping center on the city's east side.

— Chipotle Mexican Grill added a ninth Springs location in March in the north side Victory Ridge development; the California-based fast-casual chain is known for its burritos, tacos and other items.

— Five Below, the Philadelphia-based discount retailer that specializes in $5-and-under gifts, toys, games, beauty products and other items, added a second store in December at the Citadel Crossing shopping center on the Springs' east side. The chain's first location opened in 2021 at the north-side Woodmen Commons.

— Golden Corral Buffet & Grill, the buffet-style restaurant that had been closed since November 2020, reopened in mid-October on the Springs' east edge.

— Mika's Pierogi Kitchen reopened in September on Colorado Springs' northwest side.

— Trivelli's Hoagies added a second location of the family-owned sandwich shop at 2739 N. Nevada Ave., attached to Murphy's Tavern.

ARRIVALS AND OPENINGS

— Applejack Wine & Spirits, which has two Denver-area locations, expanded to Colorado Springs in August with a store at the east side First & Main Town Center retail complex.

— Burnt Toast, a daytime breakfast and lunch restaurant, opened in downtown Colorado Springs in a space that previously was occupied by Oscar's Oyster Bar and Brewer's Republic, a bar and restaurant.

— Dos Dos, a fast-casual restaurant offering Mexican cuisine and launched by the owners of Dos Santos Tacos, opened in December in a former Subway sandwich space in downtown Colorado Springs.

— Green District of Louisville, Ky., a healthy eating chain that specializes in salads, wraps and grain bowls, launched its first Colorado Springs locations in 2022 at the Briargate Crossing shopping center on the far northeast side and at the north-side Polaris Pointe development.

— iFLY Colorado Springs, an indoor skydiving venue, landed in March at the north-side Polaris Pointe development.

— Krispy Kreme Doughnuts, which had a location that closed in Colorado Springs in 2006, returned to town in March with a northeast-side location.

— Mary's Mountain Cookies, part of a Fort Collins-based chain that has more than two dozen locations, opened in July in downtown Colorado Springs.

— Mochi Thai'm Donuts, a doughnut shop with gluten-free products and Asian-inspired flavors, debuted in August at the Citadel Crossing shopping center in east Colorado Springs.

— Munchies, which serves breakfast, lunch, dinner and brunch, opened in late November in the downtown space that was the former home of Michelle Chocolatiers & Ice cream.

— Old Spaghetti Factory, a family-owned chain based in Portland, Ore., opened its first Springs location in August at the east side First & Main Town Center.

— Pakwan Indian Restaurant and Bar opened in late August in north-central Colorado Springs.

— Snarf's Sandwiches, a Boulder-based chain, opened in October on the city's north side.

— Springs Pickleball, an indoor complex with eight full-size courts and other amenities, opened in October on the northwest side.

— Tattered Cover, the state's largest independent bookstore and a popular destination for decades in Denver, added a downtown Colorado Springs retail location in June.

— The Container Store, a specialty retailer that specializes in storage and organization products, opened its first Springs location in September at the north-side Promenade Shops at Briargate. Other new-to-market retailers and restaurants that opened this year at the Promenade Shops were women's clothiers Altar'd State and sister company Arula; Arhaus, a home furnishings store; Columbia Sportswear; Face Foundrié, a facial bar; outdoor equipment retailer Fjällräven; and Korean restaurant Seoul BBQ.

— Turmeric Indian Cuisine opened in November in northeast Colorado Springs.

— Whataburger, the Texas-based hamburger chain, opened its first Colorado Springs location in February on the north side, and followed it up with additional locations that opened in September and November on the northeast and east sides.

NEWCOMERS AND EXPANSIONS PLANNED FOR 2023

— Frutilandia Mexican Snack & Ice Cream #2, with more than 130 Mexican desserts and treats, from shaved ice dishes to tamales, is set to open in January in downtown Colorado Springs.

— Illegal Pete's, founded in Boulder in 1995 and known for Mission-style burritos, tacos, and other Mexican dishes, will open its 13th location in downtown Colorado Springs.

— Lemon Lodge Ski Bar, an indoor entertainment venue that will offer a high-tech ski and snowboard simulator, has targeted a February opening in downtown's core in the former home of Josh & John's ice cream, which relocated to North Tejon Street.

— Shake Shack, the New York chain known for high-quality, all-natural beef burgers, will open in the InterQuest Town Center development on the Springs' far north side.

— Skechers, the southern California-based global footwear and apparel retailer, plans to open a second Springs store in January at the east side First & Main Town Center. Skechers is taking over space previously occupied by home décor retailer Pier 1 Imports.

— Whataburger, being operated in Colorado Springs by a Texas franchise, plans three more hamburger restaurants in Colorado Springs and one in Monument, north of town.