‘Heavy hearts’: Iconic Aussie restaurant closes

Brides and diners are in flux as another iconic Aussie restaurant and wedding venue succumbs to crippling interest rate pressure.

Another iconic Aussie restaurant will close its doors after a tough few years battling fires, a pandemic and skyrocketing cost of living.

Canberra-based eatery Pialligo Estate, a haven for foodies and brides-to-be, has “finally succumbed” to outside financial pressures, owner John Russell said in a statement to the business website on Tuesday night.

The restaurant faced a number of struggles in its 10 years of operation, culminating most recently in interest rate rises and cost of living pressures, Mr Russell said.

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The iconic Pialligo Estate will close its doors amid devastating interest rate pressures. Picture: Visit Canberra

It was ravaged by two fires in two years in 2016 and 2017, which gutted its smokehouse and restaurant, and from which Mr Russell said it had never recovered.

“It is with a heavy heart that this evening I have to announce that Pialligo Estate has ceased trading,” he said in the heart-wrenching message.

“Pialligo Estate is a small local business and we are very much hurting for all those affected by its closure. Please understand we did everything in our power to try and keep the business running.

“Over the 10 years we’ve had so many setbacks, including two fires, the impact of the NSW bushfires, lost vintages, the extended impact of Covid-19, and most recently the rapidly escalating interest rates.

“Unfortunately we have finally succumbed to the impact of these events.”

The beautiful grounds were popular as a wedding venue. Picture: Pialligo Estate

The iconic eatery sat on a sprawling estate and included a restaurant, outdoor garden, four pavilions, an olive grove, a vineyard and an orchard.

It opened in 2013 and quickly became a foodie and function mecca, and was particularly popular as an idyllic wedding venue.

Mr Russell said financiers would take possession of Pialligo Estate on Wednesday morning and begin seeking new owners.

“I have been unable to make an official announcement until now due to the ongoing negotiations with our financiers,” he wrote.

“Unfortunately we could not negotiate with the financiers to continue to trade at Pialligo Estate. The future of Pialligo Estate is now in their hands. I hope that the next owner of the estate will love and care for it as much as we all did.

“We wish the future owners success and we hope that the Canberra community will continue to support them in their new business operations in the future.”

Owner John Russell shared a heartbreaking final message. Picture: Pialligo Estate

Mr Russell thanked the “Pialligo staff family”, whom he said he kept on for as long as possible, adding: “Without your hard work and dedication we would not have made it this last 10 years.”

Pialligo Estate faced a tough final week of financial negotiations that ultimately could not save the business. Guests with dining reservations and wedding bookings were told of a “temporary closure” via email on Friday, at the same time that the venue’s social media accounts were shut down.

The final weddings at the estate went ahead last weekend. Mr Russell did not say what the plans were for those with outstanding bookings.

He also did not say how much the business owed or how many employees were affected.

The restaurant is just the latest iconic Aussie business to succumb to cost of living pressures, after the beloved family-owned pizza restaurant Caruso’s closed its doors last week.

Rocky and Kerrin Pitarelli, who owned the Sydney institution, told news.com.au the cost of essential supplies such as fresh produce had become “unbearable”.

It is just the latest iconic eatery to close its doors after Sydney’s Caruso’s closed this week. Picture: Facebook

“It’s tough – you put your life into one venue, and the end result, what you have to show for it, is nothing,” Mr Pitarelli said.

“It’s an honour to have celebrations in your venue – families have made you part of their lives and they trust you with that christening, birthday party, engagement – those milestone celebrations.

“We are paying the price on the exit, mentally, physically, emotionally – we’re exhausted. But you know when it’s time to pull the pin because you can’t keep going.”

Iconic Chinatown eatery Zilver, in Sydney, also shut down earlier this year after 30 years in operation.

Kevin Cheng, the co-founder of the Soul of Chinatown community organisation that’s committed to fighting for the survival of the precinct, said Zilver’s closure was yet another major blow for the area.

“The closure of any longstanding business is always sad and Zilver is no exception,” he said.

“It has been a Chinatown stalwart for 30 years and has been a favourite for generations of Sydneysiders and visitors.

“Yum cha restaurants are part of the Chinatown story and fabric and it’s sad to see another one close, particularly with the announcement made during Chinese New Year.”

– With Alexis Carey

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