Gold Coast restaurant Solace latest in a string of closures as staff fired over Facebook
STAFF at a Gold Coast bar and grill were told they were out of work via a Facebook message as the popular venue shuts its doors in shock closure.
Business
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STAFF at a Paradise Point eatery say they were shown the door by way of a single Facebook post as their restaurant was shut down.
Solace Bar and Restaurant, the operating name for Point Peak Pty Ltd, opened in 2016 boasting tapas and fresh, local ingredients over breakfast, lunch and dinner with uninterrupted views of the Broadwater from its Marina Promenade location.
But that could not stop it being placed in voluntary administration on April 19 by directors David Thomas and Grant Loxton.
Staff spoke out about the closure yesterday, with several saying they were unaware of problems and taken by surprise when a message was posted by a manager on a private social media page.
THREE RESTAURANTS CLOSE AFTER MILLIONS IN DEBT
The closure adds to a number in the northern suburbs in recent months, including three at Hope Island owned by Pacific Holdings Vanuatu Pty Ltd that went into liquidation.
ASIC documents reveal Solace, which opened in March 2016, has 22 unsecured creditors with a total of $87,217.06 in advised payments.
Listed liquidator Matthew John Bookless said it was far too early for any payments to have been made to creditors or to confirm a dividend.
“It appears from my investigations thus far, this is simply a case of the business underperforming in terms of the patronage in the restaurant and bar over a length of time, ”Mr Bookless said.
MYSTERY BEHIND PACIFIC FAIR RESTAURANT CLOSURE
“The loss of the business were being funded by the directors, which could not continue.’’
The directors had advised the business was previously listed for sale.
“I believe they were fairly realistic in terms of their price expectations. Unfortunately they didn’t have the benefit of time on their side and difficult decisions to liquidate were made,” Mr Bookless said.
The decision had taken wait staff by surprise.
Several told the Bulletin they were unaware of impending liquidation and were only told they were without jobs when the venue manager posted on a private social media page on April 18.
The message read: “Hey guys, the buyers of Solace have pulled out of the deal and Grant (Loxton) has been forced to shut down Solace and liquidate immediately. I just found out this morning and don’t know if or when we will be paid for the last fortnight. I’ll update everyone when I know more.”
Staff said they had not been contacted by Mr Thomas or Mr Loxton since they were notified online.
An unnamed staff member who said he worked up until the closure said he had been left without time to find alternative work.
“Business was actually starting to pick up again, even with the whole Commonwealth Games screwing around business,” he said.
Three staff members confirmed to the Bulletin they had been paid since they were notified of the closure.
Mr Loxton and Mr Thomas, who are both listed as directors and 50 per cent shareholders of Point Peak Pty Ltd, did not respond to calls from the Bulletin.
Mr Loxton is also listed as a director of a Paradise Point construction company, Seven Style Constructions.
Despite the closures, Gold Coast restaurateur Simon Gloftis of Hellenika, and Nineteen at the Star, said the industry was not failing as a whole.
“I think it is the strongest it has ever been,” Mr Gloftis said.
“With the addition of so many restaurants to the market, it fairly or unfairly shines a light.
“The restaurants may have survived in normal circumstances, but it's a broad market.
“Hospitality is one of those things, where two bad weeks in a row can ruin you and you never make that back.”
Arundel resident Andrea Wilson, who frequented Solace, said she was shocked to see the eatery close.
“I was here recently for a baby shower, it was wonderful, we come here often as a family,” Ms Wilson said.
“It’s disappointing to see places around this area close. We love coming here.”
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