Adelaide’s Cafe de Vili’s in Elizabeth announces its closure

A much-loved local spot has left customers stunned after sticking a short note on their front door.

Adelaide’s northern suburbs on were left gutted Thursday after beloved local spot, Cafe de Vili’s in Elizabeth, announced it was closing its doors for good.

The closure became public when a photo of a makeshift sign posted on the caf’’s front door surfaced on Facebook.

The sign, reading “Company in liquidation + ceased trading,” confirmed the unfortunate news.

The Cafe de Vili’s later confirmed the closure.

“Café De Vili’s (franchisor) and Vili’s Family Bakery are aware that the company that independently owned and operated Café De Vili’s Elizabeth franchise is in liquidation and has ceased trading,” it said in a social media statement.

Cafe de Vili’s in Elizabeth has announced its closure. Source: Supplied.

“The Company, Café 24/7 Pty Ltd trading as Café De Vili’s Elizabeth, was a licensed franchisee of Café De Vili’s. An entity unrelated to the ownership and operation of Vili’s Family Bakery. We remain fully committed to providing you with the high-quality service and products you have come to expect from our other sites, at Mile End, Hillcrest and Blair Athol.”

Skyrocketing costs have claimed several popular eateries in Adelaide in recent months, forcing many to make the tough decision to shut their doors.

Abbots and Kinney, a “cult” bakery and cafe with stores across Adelaide, recently made the decision to close its Croydon store as the lease was about to expire.

Managing director Richard Wilson made the announcement on social media thanking the community.

“You have been so kind to us over the past years, but unfortunately our time here has come to an end,” he said.

A spokesperson for Cafe de Vili’s later confirmed the closure.

“Leases expiring and prices increasing, it’s something we’re hearing more and more often these days with lots of businesses being forced to make tough decisions.”

CreditorWatch revealed hospitality businesses operating in food and beverages were most vulnerable to current economic conditions by a significant margin over other industries.

It predicted that 7.45 per cent of hospitality businesses could fail over the coming year.

Businesses were being challenged by consumer spending, as cost-of-living pressures saw consumers be more cautious about discretionary spending.

Power prices, food costs and labour shortages were other factors putting pressure on the hospitality sector.

CreditorWatch chief economist Anneke Thompson said a small fall in spending in the cafe, food and takeaway sector would compound already very difficult conditions for cafe and restaurant owners.

“This sector already has the highest rate of business insolvencies, and we expect insolvency rates to continue to rise as long as interest rates remain at their current levels,” she said.

Originally published as Adelaide’s Cafe de Vili’s in Elizabeth announces its closure