The fast-casual restaurant chain Boston Market has defaulted on the lease at its national headquarters in Golden and owes more than $420,000, according to its landlord.
Tebo Properties in Boulder sued the company Jan. 12 in Jefferson County District Court. That lawsuit, along with attached exhibits that BusinessDen obtained through a records request, suggests Boston Market has struggled to pay rent since the onset of the pandemic.
The company founded in a Boston suburb has made 14103 Denver West Parkway in Golden its headquarters since 1996, when it was known as Boston Chicken Inc. In 2019, it shrank its footprint there from 63,000 to 27,655 square feet, court exhibits show. Its rent was about $58,000 per month.
By June 2020, Boston Market needed help paying that rent, court documents illustrate. In a letter to Boston Market’s top attorney, Tebo offered to let the company defer its unpaid rent payments for May, June and July 2020 until 2021. Boston Market agreed.
Under that agreement, Boston Market was supposed to make monthly payments of $7,300 between the start of 2021 and end of 2022. Instead, it defaulted on the debt, according to Tebo’s lawsuit. The $423,034 it owes has been accruing interest for the past month.
In a letter sent Dec. 20, Tebo attorney Jennifer Sullivan, with the Sullivan Cohen law firm in Boulder, warned Boston Market that her client “will pursue its claims in court” if the restaurant chain did not pay up by New Year’s Eve. Tebo sued three weeks later.
Requests for comment from spokespeople for Boston Market and its parent company, Pandya Brands, were not answered this week. Neither were requests sent to Pandya’s lawyers, Boston Market’s lawyers, and Pandya Brands CEO Jignesh “Jay” Pandya.
Pandya, of Pennsylvania, bought Boston Market and its 283 restaurants from a private equity firm in early 2020. Later that year, he bought the Corner Bakery Cafe chain. There are seven Boston Market locations and five Corner Bakery Cafes in Colorado.