Rathskeller space prepped for new businesses

In just a few short months, the commercial space formerly occupied by the Ramshead Rathskeller restaurant will be ready for business.

Johnny Morris, senior manager at TradeMark Morris and leasing agent for the space, said the 5,400-square-foot area will be ready to lease in the next two months.

“It’ll be another 45 to 60 days before we’re done and the space is close to ready,” said Morris.
Affectionately called “the Rat,” the Rathskeller closed down for repairs in 2008 after more than 60 years of business in downtown Chapel Hill. It never reopened, despite attempts by investors since the restaurant’s closure.

The redevelopment has proven problematic and has contributed to its delayed reopening, Morris said. All that will remain of the former restaurant is its antique ceiling.

“It won’t be the Rathskeller again,” Morris said. “After all the groundwork, we’re gonna go in and add new plumbing, electrical, heating and air. It could be retail.”

Morris said it is uncertain how many businesses will occupy the space, though having three spaces for lease is the goal.

“We haven’t gotten there yet,” he said. “We’re just more concerned with finishing up the doggone place.”

He added that there are no plans to make the space a full-service restaurant, due to logistics and a lack of ventilation.

“We have to market the space first, and then see where we’re at after we’re done with the current project,” Morris said. “We’ve already had several prospective inquiries.”

Catherine Lazorko, spokeswoman for the town of Chapel Hill, said the demolition permit was issued on April 25.

“We do not know anything about the business itself, we are only working with the contractor, Concept 8, LLC,” she said.

According to the Orange County Tax Office, the Rathskeller property has an assessed improvement value of $217,600 since demolition began. The value of the entire commercial building is approximately $2,303,973.

Nearby businesses are eager for the demolition to be complete.

“The work next door has hurt us a little bit,” said Marco Fuentes, manager of Bandido’s Mexican Cafe, a restaurant across Amber Alley from the space. Fuentes said sales have gone down 20 percent since the demolition began.

“There are too many noises and there is a weird smell over there,” he said. “But it’s not like that at night.”

Demolition has proven far less disruptive to neighboring Krispy Kreme, located directly above the site.

Krispy Kreme supervisor Adriana Parreno said there have been noise disruptions from bulldozers and jackhammers during the day.

“Nothing much has changed, other than the lack of parking in the back,” she said. “And it can get a little loud down there at times.”

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