The popular Oakland restaurant, Palmetto, and its sister establishment, the Kon-Tiki Room, are to shut their doors definitively on October 29th. This decision, as stated in the restaurant's Facebook page, was despite valiant efforts including launching takeout options during the 2020 pandemic. Nevertheless, Palmetto could not forge a path to profitability.

A lack of income, a slow business summer and rising operational costs were identified as the principal culprits behind the closure by co-owner Christ Aivaliotis. The funding to survive until a potentially profitable winter sadly did not exist. Meanwhile, an application for an employee retention tax break has reportedly stalled due to halted claims processing, as per SF Eater.

Despite attempts to adapt by reworking their menu for greater customer appeal, the investment in operations non-justifiably grew further. Thus, these compounding financial issues ultimately forced to restaurant to confront its end.

In the wake of Palmetto and the Kon-Tiki Room's impending closure, focus, Aivaliotis notes, has been shifted to assisting employees find new work opportunities. He says this help takes the form of opportunities at his other establishment, Kon-Tiki, or through external channels. Aivaliotis stresses that the restaurant's demise was not pushed by crime or similar local issues.

Aivaliotis optimistically portrays Oakland, believing that the businesses there have the capacity to overcome similar hurdles Palmetto faced. "Oakland is going to come back and be great. I believe in the city, I love the city, it’s a great town to have a business and to be a part of".