One of only two Mexican restaurants on Montana Avenue, Horchata, was all set to close its doors at the end of the month. After serving the community for 10 years and proving extremely popular with local residents and connoisseurs of quality Mexican food, the owner, Ana Hernandez, had posted on social media that the last day was to be April 28, 2023.
Located in a quirky little structure in the Pavilions parking lot, Horchata shares the space with Panda Express at 804 Montana Avenue. According to Hernandez, Albertsons, the parent company of Pavilions, had terminated the lease agreement with the family owned and operated restaurant, but not with Panda Express.
However, in a quite literal last minute reprieve, Hernandez received an email from Albertsons on Tuesday evening stating that the grocery store company had retracted its decision and the restaurant could stay. "I’m so happy, I’m so excited, I just can’t believe it," Hernandez says. "I don’t know what happened."
Formerly Cafe Boulangerie, a French-themed bakery, Hernandez and her husband had worked at the site under various owners since 1996. "I was making the pastries and the cakes," Hernandez says. "And in 2013, the owners had family and financial problems and they stopped paying the rent, they stopped paying the staff and they stopped paying for stock and supplies. We approached [Albertsons] and asked if we could take over. At first they said ‘no’ because we couldn’t afford the back rent that was owed.
"I was so surprised that it had gone on for so long, so to make a long story short, we came to an arrangement whereby it was a rolling month-by-month rent and it has been ever since."
Hernandez and her husband have been running the business with this uncertainty hanging over their heads for a decade. "We just did it. We were willing to take the risk. We had already tried with other restaurant business ventures, but they didn’t work out, but we wanted this one to work. They asked for $4 million for insurance to cover the place and we found it. And we kept asking for a longer-term agreement, but they didn’t want to. They just said if Panda is there, you can continue there. So I’m like, okay."
Naturally Hernandez asked Albertsons why Panda Express had a long-term agreement and they did not, only to be told that this was the trade off for the low rent that they would be charged. Despite the unpredictable nature of their situation, Hernandez says that they never made any requests of Albertsons.
"We never asked for anything, even though we have a lot of problems in the building and things like that. We never asked, because I know we’re paying low. So we took care of everything, we changed the floor. We’ve been working, you know, just to make the place better."
Then on February 17, Hernandez and her husband received an email saying "that we need to empty the place because the office made the decision that we have to move out." Her requests and attempts to negotiate a new rent failed and she was informed of the move out date. However, Albertsons did give her 75 days notice when her contract actually only required 30 days.
The Daily Press reached out to both Albertsons and Panda Express for further clarification, but had received no reply by the time this article went to press.
Hernandez says that her lawyer, Thomas Larmore, was currently in communication with Albertsons and it was likely that the rent would increase, but she’s hoping that a new lease will also come with a more secure three or five year contract.
Horchata cafeteria and bakery opens from 6am to 7pm and offers an impressive menu of burritos, tortas, tacos, sandwiches, paninis, plus plenty of Mexican breads and pastries and frankly, bargain prices. We’d suggest the steak wet burrito that comes with rice, beans, lettuce, pico de gallo, guacamole and sour cream. Visit now, your mouth will love you for the rest of your life.
UPDATE: A spokesperson from Albertsons eventually responded saying, "The bakery has been informed that they will be staying in this space at this time."