by David Cruz
Business at this coffee shop’s been grounded.
Profits have tanked for the operator of a newsstand in the lobby of One Fordham Plaza, the enormous 12-story complex that’s home to offices occupied by city, state and medical agencies. That’s because the owner of the stand was ordered to stop selling coffee following a deal struck between the management company and the newly-opened Starbucks coffeehouse in the building’s ground level. The Starbucks opened last month, considered somewhat of an encore for the Seattle-based coffee company. Several years ago a Starbucks had opened on West Fordham Road, then closed.
The move by management has now inspired an online petition demanding that 1 Fordham Plaza Management Co. re-institute the newsstand’s right to sell coffee, having generated several hundred signatures in support of the stand. The petition on the www.change.org website detailed the owner’s plight, which forced the owner to take desperate steps.
“After speaking with the operator of the newsstand I have been informed that he had to lay off his only employee, who has been with him for five years, because business has drastically decreased already,” wrote Geisa Martinez, the lead petitioner.
So far, 500 petitioners have joined the battle to bring back the brew, believing the policy unfairly forced the hand of the newsstand. The management company is overseen by Tony Wallace. A secretary at the office told the Norwood News that Wallace refused to comment on the decision to cut off the newsstand from selling coffee.
But along the streets of the bustling Fordham Business Improvement District was mixed reaction over the move.
The Fordham Road BID, which is vying to expand its borders to incorporate the massive building, did not respond to questions for comment. Ruby James, a retired employee for the Department of Social Services, blasted the decision from management, citing the prospect of a free marketplace.
“Everybody should be able to make their living the way they want to,” said James. “People should be able to have a choice. If they want to go to Starbucks, let them, but if they want a cheaper place, that’s fine too.”
Bukola Shonuga, working as an independent journalist, said the decision by management shows Starbucks gaining a monopoly over the rest of One Fordham Plaza. “This is an example of what Starbucks will do in other places,” said Shonuga.
But Frank Greene, a Manhattan street vendor, praised the decision by management as the price of doing business. “When it comes to competition and you’re selling the same items, it’s the manager’s right to say they can’t sell there,” said Greene. “If you’re selling the same product, it’s out of respect that you move. It’s common sense.”
Schlepping to Starbucks
With newsstand coffee no longer an option, building tenants and its employees head to Starbucks for a cup of java at nearly double the price of the cup of joe originally purchased.
The coffee chain is not new to the Bronx, though sights of the chain in the borough are rare. It’s currently at six other locations–the Gateway Mall in Melrose, Wood Avenue in Parkchester, inside the Barnes & Nobel in Co-Op City, West 225th Street, Johnson Avenue in Riverdale and Eastchester Road by Calvary Hospital in Morris Park. Prices run on average $4, with many customers often sticking around the coffeehouse to take advantage of the comfortable atmosphere and free wifi service.
Experts believe the coffeehouse is a sign of the changing retail face at the Fordham Road corridor, which has seen a number of large retail chains open for business in the past several years while mom and pop businesses pepper the BID. Among new stores include a Burlington Coat Factory, Applebees, Best Buy and American Eagle Outfitters.
Carlene Joseph has seen the changes. A Fordham resident, Joseph began noticing a shift when the Zales outlet jewelry store opened several years ago. “When I saw Zales come to Fordham, I knew something was going on,” said Joseph. “The community is getting more expensive.”
1FP On Its Own
Speculation ran rampant over whether the coffee giant twisted arms to persuade 1FP to ban the newsstand from selling coffee to building tenants. A spokesperson for Starbucks said the management’s policy conflicts with its own position. “Starbucks welcomes competition and has helped to create a market where independent stores and small chains can continue to grow along with Starbucks,” wrote the spokesman.
Additional reporting by Brittney Williams.
The owner’s only employee that had to be let go is a struggling young family man who also supports himself as a college student.
There is zero reason for this small biz owner to be forced to alter what products he sells just because a competitor opens nearby. This isnt even what the owners of Starbucks would want!!
Sad. Starbucks wasn’t going to lose any business by having that man sell his coffee. All them Fordham kids would still go to Starbucks because they don’t know any better! Live and let live!
I work in the building and I am both appalled and disgusted by Starbucks and the building management that has allowed this to occurr. I, for one, will not be giving Starbucks bullies my business and will lobby for people in the building to show Starbucks, as well as building management, that they can’t push the little guys around!!!
I don’t know the story, but I don’t think Starbucks would do something like that. More people would flock to Starbucks anyway because it is well known.
Other than the people who work in the office building and their clients, the world didn’t even know that the little selling $1.00 existed until the social media and the newspapers brought it to our attention.
It is nice having a Starbucks at Fordham Plaza, the 7th in the Bronx. I wish a few people would give it a warm welcome rather than criticizing coffee giant. Starbucks is bigger than life itself.
Its a shame that such a big company finds a small business news stand as a competition..ppl will continue to buy Starbucks if they want..let the man sell his coffee!!!! Smh Starbucks won’t get a penny from me!!