Yahoo Finance’s Alexis Christoforous speaks with Fireman Hospitality Group CEO, Shelly Fireman, about the state of the restaurant industry, outlook, Broadway’s reopening, and more.

Video Transcript

ALEXIS CHRISTOFOROUS: My next guest is an icon on the New York restaurant scene. Shelly Fireman owns six New York City restaurants, including the popular pre-theater Hot Spots Redeye Grill and Trattoria Dell'Arte. And I am delighted to welcome him to the show.

Shelly, thanks so much for being here. I want to start with Broadway reopening three weeks ago. What has that meant to business at your restaurant?

SHELLY FIREMAN: Well, first of all, I own Bond 45 opposite "Hamilton" and "The Brooklyn Diner" on 43rd Street. So I'm blessed that-- if the question was, am I happy that Broadway opened? I'm blessed that Broadway is open. I'm happy that my hotel is open, The Edison Hotel. And we're praying that it stays that way.

But we have a little issue. Do you want to hear the issue?

ALEXIS CHRISTOFOROUS: I want to hear the issue, Shelly.

SHELLY FIREMAN: OK, so here's the issue. We as restaurateurs, we as real estate people, we as Broadway people, need desperately for the city of New York to straighten out Broadway in the streets, and make it more comfortable for the tourists and for New Yorkers. We will do anything the city wants to help clear up the problems that we have. And nobody in the mayor's office seems to be facing that issue directly. So I beg and plead--

ALEXIS CHRISTOFOROUS: Shelly-- tell me specifically. I mean, look, I live in New York City. And I hope you can hear me. I live in New York City. I think I know of the problems that you're talking about.

Specifically, what's happening on the streets of New York City and around Broadway that you think may be pushing business away?

SHELLY FIREMAN: Well, obviously-- well, it's obvious I live in New York City too. And I feel a little uncomfortable walking down Broadway with the-- by the way, I'm trying to be as lovingly-- I love this city. I love the people. I'm trying to be as tactful as possible.

It is uncomfortable, people trying to sell us all kinds of stuff-- and drugs, and dealing, and what we read in the "New York Post--" I have cousins in from out of town. I want them to take a cab. That's the truth. I want them to take a cab right to my door. I don't want them to stroll down New York the way I did years ago. And neither do you--

ALEXIS CHRISTOFOROUS: Right, I know, I hear you.

SHELLY FIREMAN: --want to stroll down. So we all know that. I don't have the-- you know, it's hard for me to even say. We all know it. The mayor knows it. The administration knows it. And there's enough money and willpower. But that doesn't seem to-- well, I don't want to make a political speech. It's not my job. But it's not enough willpower in the city of New York right now, the people in charge. So I'm rooting for Mr Young-- right?

ALEXIS CHRISTOFOROUS: Yeah. So Shelly, I hear you. Look, we're going to have change at the local level here in the mayor's office in just a few months because we're going to be getting a new mayor. Bill de Blasio's time is up.

But I want to get back to your businesses and the restaurants. I know you had to furlough some workers during the pandemic. We keep hearing how difficult it's been for people in your industry to find workers. How is that going for you?

SHELLY FIREMAN: Reasonably well because-- I want to pat myself and my staff on the back. We have a sense of hospitality within our own organization. People talk about hospitality for the guests. But we start in our own house.

So we got a pretty terrific staff. Most of them have come back. We haven't had any main issues because we care. And that's-- we don't have those issues that other people may have.

ALEXIS CHRISTOFOROUS: So Shelly--

SHELLY FIREMAN: We have all the management, all the waitstaff. If we're missing a dishwasher, that's possible. But we're very comfortable with what we have and we're blessed. But we work at it every day.

ALEXIS CHRISTOFOROUS: It's a nice position to be in. I want to ask you about prices. Because food prices, we know, are soaring. What has that done to your costs? And has that hit your menu pricing at all yet?

SHELLY FIREMAN: We gave it back to you, dear. And we gave it-- you're paying for it. I have to tell you the truth. We get-- our costs are going up. Our landlords have generally been reasonably kind to us. But we, the customer, are paying for it.

When I go out to eat-- I went out for brunch on Sunday in Bedford. I couldn't believe the check that I paid for. I mean, it was-- but I understood. It's a serious issue. And I don't know how to solve it.

By the way, I might solve it if I had power. I have no power to solve that problem. So we keep charging you and me. We both pay.

ALEXIS CHRISTOFOROUS: Yeah, I hear you. And I appreciate your honesty. You know, we get a lot of folks on telling us they haven't had to raise prices yet, which I'm not saying they're not being honest. But I think it's-- you know, it's just a reality of the situation.

Look, I know you were about to open up some new restaurants-- a steakhouse, a deli just before the pandemic hit. What's going on with those restaurants?

SHELLY FIREMAN: Well, I have to tell you, the steakhouse will open when Carnegie Hall opens tomorrow. We will open in a few weeks. I just made a deal with a wonderful landlord for an unusual cafe outside the Plaza, The Brooklyn Diner on 57th Street. I did that an hour ago.

We're building a big, 150-seat delicatessen on 44th Street in Manhattan. We'll start construction within 30 days. So we're excited about two years from now, not about tomorrow, but two years to now, less this world better be there. That's all I'm saying.

ALEXIS CHRISTOFOROUS: All right, we are looking forward to it. And for those of you who don't know, Shelly Fireman's business started out with a bagel shop in Greenwich Village. You got to look it up because there's a great, big back story there. Shelly Fireman, CEO of Fireman Hospitality Group. Thanks so much.