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Ann Arbor’s business landscape continues to evolve with new stores opening, others closing and the local economy fluctuating. As the school year is about to begin, The Michigan Daily brings you a brief review of what has happened in town this summer:
Ann Arbor restaurateur to pay nearly $200K back in wages following federal investigation
Adam Baru, proprietor of Cascabel Ventures LLC and joint operator of Isalita and Mani Osteria & Bar in Ann Arbor, has agreed to pay $196,531 in back wages and liquidated damages to 20 workers following a U.S. Department of Labor investigation. The investigation revealed Baru exercised illegal pay practices after receiving nearly $950,000 in federal aid to retain employees during the COVID-19 pandemic.
The Labor Department first filed the lawsuit in September 2023 against Cascabel Ventures LLC, seeking $242,534 and an injunction to prevent Baru and his establishments from further breaches of the Fair Labor Standards Act. On June 14, the U.S. District Court for the Eastern District of Michigan issued a consent order and judgment addressing the claims brought by the Department against Baru.
According to a statement from the Labor Department, Timolin Mitchell, Wage and Hour Division District Director, said businesses must be held accountable for their employees regardless of unprecedented economic circumstances.
“Regardless of their cause, economic downturns do not excuse an employer’s obligation to pay full and legally earned wages to employees or to comply with federal wage regulations,” Mitchell said. “The Wage and Hour Division is committed to holding employers who violate federal labor laws accountable and prevent them from gaining a competitive advantage over employers who play by the rules.”
Sweetwaters East Liberty Street location closes after 10 years
The Sweetwaters Coffee & Tea location on East Liberty Street closed late June after 10 years in Ann Arbor. The location at 604 E. Liberty St. was one of the first locations in Ann Arbor when the company first opened in 1993 and began franchising stores in 2005.
In a statement to The Daily, Sheila Qin Li, former owner and franchisee of the Sweetwaters Coffee & Tea location, wrote she was disappointed to close the location due to leasing issues.
“We have a heavy heart that our cafe is closing after 10 years at this location because we have lost our lease,” Qin Li wrote. “The landlord has decided to rent this space to another business. As a result, we closed this location on June 23.”
Qin Li also shared her appreciation for being able to serve the Ann Arbor community through her time with Sweetwaterst.
“Our hearts have been enriched by our guests, getting to know their stories and they have shared their lives and special moments with us,” Quin Li wrote. “It’s been a joyful experience and we love our Sweetwaters brand and hope to find another location soon.”
Chick-fil-A is coming to Ann Arbor
After the Denny’s at 3310 Washtenaw Ave closed in March 2022, the city planning commission has been reviewing businesses to replace the diner chain. Site plans were approved at the end of May, and Chick-fil-A, Inc. confirmed its plans to open its new restaurant in fall 2025.
According to the company, the site is locally owned and operated which means it will create between 80 and 120 jobs. In an email to MLive, Chick-fil-A wrote that the company is looking forward to expanding its franchise to Ann Arbor.
“It’s our pleasure to confirm we will be opening our first Chick-fil-A restaurant in Ann Arbor,” Chick-fil-A wrote. “We look forward to joining the community and to serving all our guests delicious food in an environment of genuine hospitality.”
Popular Detroit wing shop expands to University of Michigan
The Michigan Union welcomed Wing Snob, a Detroit-based wing spot, in mid-August to join other fast-food restaurants such as Qdoba, Panda Express and Subway. The new location is the chain’s first campus dining experience, becoming one of more than 50 Wing Snob locations across the United States and Canada.
In a statement to MLive, Wing Snob co-founder Jack Mashini said this particular business venture is exciting due to the untraditional restaurant style.
“U of M is our first non-traditional location, so we are super excited to get that rolling,” Mashini said. “Football, college students, wings — it just all goes together very well.”
In a statement, Susan Pile, senior director of University Unions and Auxiliary Services, said the University is excited about the restaurant’s opening on campus.
“We are excited to welcome Wing Snob to the Michigan Union,” the statement said. “Students have been asking us for a great chicken option, and Wing Snob has a variety of menu items that meet a diverse array of dietary needs.”
Summer News Editor Andrew Baum can be reached at asbaum@umich.edu.
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