Bogen's Steakhouse and Bar will close its doors Sunday after 27 years of business in Blacksburg, becoming the latest local eatery to fall victim to a struggling economy.
Former Virginia Tech and New York Giants football player Bill Ellenbogen opened the restaurant in 1982. In 2004, five employees bought the business, while Ellenbogen maintained ownership of the building.
Fred Umberger, one of five current owners, said the recent economy accelerated a decline in business.
"It's been a slow progression," Umberger said. "For a number of years now, our total sales have been going down 10 percent. With the economy this year, it went down to 20 percent."
Umberger associated the lack of business with a restaurant boom in Blacksburg.
"The 10 percent a year is due to new restaurants in the area," Umberger said. "I think the other 10 percent is due to the economy."
The current owners worked hard to keep it open.
"We bought it because we were very long-term committed and involved here," Umberger said. "It's been our lifestyle, our own little baby."
There was also motivation to keep Bogen's open because they wanted to keep their jobs. Ellenbogen negotiated with the current owners to make the business affordable for them. "The truth is, we didn't have much money to invest then," Umberger said. "He just kept working to get it to a point where we could afford it."
About 40 employees will lose their jobs, but Umberger said very few are full-time positions.
Umberger said the five current owners do not plan on opening any more business ventures.
Currently, multiple prospective investors are looking at the house that holds Bogen's. Three potential buyers toured the house last week, but decided against proceeding in negotiations. Two real estate agents viewed the house Tuesday.
Other Blacksburg establishments have also folded because of recent economic conditions.
Pee Wee's Pit Barbeque closed last month, taking an offer to sell the College Avenue space to a new restaurant owner. Chris and Erin Vogt, owners of Pee Wee's, said in a statement that a party interested in buying the location on College Avenue approached them several months ago.
"After reviewing our business goals, observing the overall economy, and, most importantly, the changing needs of our young family, we decided to explore the possibility of a sale of our operation," the Vogts' statement said.
The new owner is George El Abboud, who will open Greens Restaurant and Sushi Bar. He previously worked in Blacksburg for his sister, who owns More than Coffee.
Pee Wee's opened in November of 2006. The Vogts said they would continue to raise their two young children in the Blacksburg area, and hope to reenter the restaurant industry.
"As for future restaurant plans, we are ruling nothing out," the Vogts' statement said. "Pee Wee's was our first venture, but will not be our last; at ages 33 and 31, the road ahead of us is still long."
Crumb and Get It, a novelty cookie restaurant, also closed its doors last month. The space it occupied in Kent Square is currently unoccupied.
PK's Bar and Grill will undergo a change June 1, but only behind the scenes.
The Main Street establishment known for its pizza has been sold to Mike Whaley, who also owns Top of the Stairs.
Current owners Pete and Linda Keciorius, who opened the restaurant in 1992, will help transition to the new ownership and then settle in to retirement.