ROCKFORD, Ill. (WIFR) — The Rockford restaurant industry is experiencing significant challenges, with one owner highlighting the impact of reduced foot traffic in the downtown area. Stephanie Caltagerone, proprietor of Magpie, expressed her concerns, stating, “Having been in court for seven and a half years, that’s all Zoom. You get to trial, everything is Zoom. I think the number of people actually working in the offices downtown has dropped dramatically.”
Caltagerone recently announced the closure of her restaurant, attributing the decision to escalating legal fees and rent costs. Her business has been embroiled in a lawsuit with her former landlord since a fire in 2017 necessitated a relocation across downtown.
In a separate announcement on Monday, Go Rockford and State Representative Maurice West (D-Rockford) revealed a new round of state funding aimed at supporting local restaurants. A total of $195,811.20 in grants has been allocated to assist businesses with pandemic-era unemployment insurance expenses.
“It is ironic that so many businesses are getting help from the City of Rockford because I certainly wasn’t one of them,” Caltagerone remarked, pointing out that eligibility for the program is contingent upon business operations and staffing during the pandemic.
Go Rockford recognizes the inherent challenges of operating a restaurant. “Running a restaurant is not for the faint of heart,” asserted John Groh, president and CEO of Go Rockford. Despite the difficulties, he emphasized the crucial role these establishments play in enhancing local communities and providing employment. “They enrich their neighborhoods. They enrich their quality of life. They employ our local neighbors.”
The grant program aims to alleviate the financial burden on Rockford-area restaurants, particularly concerning unemployment insurance contributions, which Groh described as a “glitch” in Illinois law that has placed an additional strain on businesses following the COVID-19 pandemic. “This grant program is helping to alleviate some of the burdens that they have for having followed the rules,” Groh acknowledged.
This latest round of funding will benefit 30 businesses across the city, with individual grants ranging from $30,443.77 to $165.88. However, some restaurant owners expressed disappointment with the grant amounts. One unnamed owner criticized the disparity in awards, while others, like Aakash Patel of Cantina Taco, highlighted the importance of any financial assistance amid a challenging revenue season. Patel noted, “Any help, no matter how small, is well intended for any business really,” attributing reduced consumer spending to inflation and increased competition from local casinos.
In addition to her role at Magpie, Caltagerone manages the Wood & Brick Tavern, located across from the Embassy Suites in Rockford. She raised concerns about rising rents, asking, “Does that make us a victim of gentrification? I don’t know, maybe.”
Looking ahead, Groh anticipates another round of relief funding in 2025. Meanwhile, Caltagerone has started a GoFundMe campaign to assist Magpie in its recovery efforts. She plans to auction off items from the restaurant as it prepares to close its doors on Sunday, Oct. 13. More information about her fundraising efforts can be found online.
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