Rising costs a factor in Olive Tree's demise
By M. Scot Skinner
skinner@azstarnet.com
Tucson, Arizona | Published: 03.27.2008
Tucsonans can no longer satisfy their cravings for spanakopita, moussaka and baklava at the Olive Tree Greek Restaurant, which has closed its doors after several decades of business on East Tanque Verde Road.
The Mediterranean favorite served its last meal a couple of weeks ago, shortly after celebrating its 30th anniversary.
"It's a bittersweet thing," said John Condiss, who owned the restaurant with his ex-wife, Leslie Condiss. "Thirty years is a pretty good run for us."
The Olive Tree has suffered plenty of ups and downs over the years, but a combination of factors made its closing inevitable, he said.
"Beginning around last June, the following things happened: The smoking ordinance went into effect, which resulted in a $15,000 a month drop in gross income from liquor sales.
"Then the minimum wage was raised by the state and then the federal government, and the state sales tax went up. We also were hit with surcharges from our purveyors for their gas costs."
As if all of that didn't take a big enough toll on the bottom line, he said, food costs have increased 35 percent in the last six months.
"We are already a high-priced restaurant, so although everybody who delivered to me raised my prices, we couldn't raise our menu prices."
Entrees at the Olive Tree, 7000 E. Tanque Verde Road, ranged from $15 to $30, with most entree prices hovering around $25, he said.
"It's not that there was a lack of business," Condiss said. "It's just that the cost of operating is prohibitive. We're survivors of two recessions, but this time the writing was on the wall."
Customers reacted with sadness as word started to get out that the restaurant's days were numbered.
"They were very, very kind and sad, both for us and for themselves," he said.
In addition to his customers, Condiss thanked his landlord and his 15 to 20 employees.
"It's sad, but people aren't going out as much and high-priced restaurants just aren't going to make it in this economy," he said. "But to know that we are missed is wonderful. I am touched."
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