John Secretan sells Zinc Cafe & Market to longtime partners
John Secretan, the “now-former owner” of Zinc Cafe & Market, talked with me Thursday to set the record straight on the rumors going around about the recent sale of his unique restaurant concept to Korean-based SPC.
I’ve often referred to John Secretan as one of the pioneers of true culinary in this town;.He homesteaded his Zinc location in the same 3-year timeframe as three other culinary greats who were determined to put Laguna Beach on the map for something more than Timothy Leary’s “Christmas Happening “ in 1970.
When John initially established the restaurant, local residents wondered why he had staked his claim so far north on Ocean Avenue. Clearly, the “Wild West” gamble paid off with what is now one of the longest standing vegetarian/vegan restaurants in the region.
After 37 years, it’s a safe bet to say that John Secretan has opened people’s eyes to fantastic culinary that has outlasted Timothy Leary, disco, FAX machines, seven U.S. presidents, Tom Brady’s Superbowl wins, and Pat Sajak’s Wheel of Fortune spins.
“My sale of Zinc was not a knee-jerk reaction,” Secretan told me. “This was a well-thought out expansion and retirement plan that began with my Korea-based partners more than five years ago. And, now that I’ve been involved with them through these years, I absolutely trust what they’re going to come up with and do for Zinc.”
He adds, “This was a long-term partnership. It’s not a random sale. This whole contract was done so that Zinc can continue.”
The Search for an Expansion Partner in 2019
Five years ago … before the COVID global change-up was even a pesky thought to consider, Restaurateur John Secretan began working on his retirement exit plan. At the time, the 34-year restaurateur had three Zinc Cafe & Market concepts in Laguna Beach, Corona del Mar, and in the Arts District of downtown L.A. (“DTLA”). He wanted more restaurant expansion before retirement, but he couldn’t realistically do it on his own dime.
So, after significant research and negotiations, he partnered with the SPC Group, a Korean based company in Seoul, whose international brand is also known as Paris Baguette or its subsidiary, Sweet Paris Croissant.
The SPC Group is known for its ability to choose proven, popular and up-and-coming concepts for greater expansion. Before they discovered John at Zinc, they had – as an example – purchased the franchise and operating rights to leading North American Restaurateur Danny Meyer’s Shake Shack concept in Korea, negotiated licensing rights for Baskin-Robbins throughout Asia, and had invested heavily in a number of owner-operated restaurants in North America.
“SPC had a real interest in my restaurants at the time because the DTLA Arts District was blowing up, and I … through serendipity more than anything else … had managed to create a solid footprint there with Zinc,” said Secretan.
Partners Who Valued the Original Concept
“A significant reason for my partnership with SPC is that I believe they value the original concept,” said Secretan.
“They're looking to keep the concept in flow. They recognize the market and brand significance and are wanting to increase the brand’s popularity and efficiency,” he added.
“The original plan was that and at the end of five years we would have expanded into more success. I would have stayed on in and advisory role and continued to help it grow while stepping back from operations,” said Secretan.
And Then COVID Hit …
With the partnership established in 2019, Secretan said everything was rolling along according to plan until COVID changed the world.
“Needless to say, our growth plan got interrupted for three years. Just when our greatest expansion plan was blueprinted to begin, everything changed. In fact, everything changed for every restaurant and everyone in the world,” said Secretan.
Foot Traffic by the Thousands Suddenly Lost
In DTLA alone, the largest commercial headquarters anchored there – Spotify, Lucky Brand and Warner Records – simply closed their doors. In most cases, only a few headquarters executives remained, but workers were allowed to work from home. Secretan told me that the workers have never really returned.
“All the bread and butter of our breakfast, lunch and happy hour crowds simply left downtown L.A. … it’s the same as what happened in San Francisco when Google and Meta [formerly Facebook] dropped out of their town,” said Secretan.
“Literally thousands of workers have disappeared from the city streets and the drop in foot traffic is beyond significant.”
He added, “Looking back, I was so fortunate to have SPC with me because they had the resources to keep us afloat through those tough times. They have been solid partners to me and for Zinc.”
“It’s a Different Footprint Now for Every Restaurant in the World.”
“In these last couple of adjustment years since COVID, every restaurant in the world has had to re-boot. No one has the luxury of operating the way we did before,” said Secretan.
“It’s a different footprint now. We’re all heading into an evolution of something new. From my side of the partnership, it was just getting more difficult to maintain the kind of service and fulfill the expectation of all the people who have come to love Zinc Cafe & Market,” he noted.
“My partners, on the other hand, have resources and experience,” Secretan continued.
“They have resources that enable them to experiment and make subtle or big changes to ensure that the concept stays viable". Delayed profitability is not an issue for them. Someone like myself – an indy restaurant owner – couldn't afford to experiment in the same capacity with the hopes that changes would bring about a healthier economic environment for the business.
“I’ve never seen my partners do anything drastic when it comes to shifting and improving a concept’s longevity,” said Secretan. “But I do know that in order to maintain that inviting space and concept while maintaining a viable business, some changes have to happen,” he added.
As his partners begin to study and work with the Zinc restaurants, Secretan will continue in an advisory role for minimally two years. Until further notice Zinc Cafe & Market will continue to operate in a similar capacity.
“It may not be me at the helm, but I plan to be visiting Zinc regularly,” said Secretan. “In the end, it’s all of our ongoing patronage that keeps our unique restaurants alive.”
And that IS a damned shame. John really built such a beautiful brand in Zinc.
Agree completely with NFennel - the salad bar was a differentiator - I haven't eaten there since, both because of the change in concept and the change in vibe - it lost its friendliness and uniqueness and beachy small business vibe. It felt strained and unhappy and corporate on my last visit, and I left without purchasing anything.