The State Center Warehouse building is located on R Street near Highway 41 in downtown Fresno.

The State Center Warehouse building is located on R Street near Highway 41 in downtown Fresno.

CRAIG KOHLRUSS

ckohlruss@fresnobee.com

An ambitious plan to open a food hall in a historic downtown Fresno building barely got off the ground before a dispute between its two owners caused it to come crashing down.

The GrubPub, located in the former home of Las Mananitas in the State Center Warehouse building on R Street, launched with a soft opening March 9 and closed two weeks later largely due to slow sales.

The idea was to provide downtown office workers and nearby residents with several dining options in one spot. Inside the 8,000-square-foot space is a Mexican restaurant, a seller of loaded baked potatoes, teriyaki bowls and a cafe selling pastries and coffee drinks.

In the rear of the building, the owners planned to have a bar serving wine and beer along with pizza, burgers, salads and sandwiches. There was also space for several pool tables.

One of the founders, James Torres, said Tuesday that he feels frustrated, angry and disappointed over the fallout between him and his business partner, Josh Valdez.

Torres said that while he still believes in the concept, the business had a very slow start. The office workers he hoped would become core customers didn’t show up in the numbers he hoped.

“I thought we were going to be slammed,” Torres said. “But that didn’t happen.”

It also didn’t take long for the business to begin falling behind in meeting its obligations. The GrubPub needed a financial lifeline, but Torres said the most he could raise was another $5,000 to $7,000. He said he’s already invested at least $85,000 in sweat, equity and cash.

But when his business partner Valdez said he had someone who might be willing to invest, Torres said he felt relieved. That all changed when Valdez told him he was taking on new partners, Torres said.

“I couldn’t believe it. I have been working on this for eight months, and it has always been a joint venture,” Torres said. “I have sold everything I have to get this place up and running, and to have someone take it away like that is just ubelievable.”

Valdez said Tuesday that he won’t comment until “things are taken care of legally.”

Torres is also looking into hiring a lawyer. He wants to be compensated for his share of the business.

For now, GrubPub is closed, and Valdez declined to answer if it will reopen.

Torres said he no longer wants to do business with Valdez for reasons that are personal and professional. He accused Valdez of making derogatory comments about his son, who is autistic.

“I can’t work with him again after hearing what came out of his mouth,” Torres said. “I never want to be in business with a person like that.”

Logo for a new restaurant in the State Center Warehouse Logo for a new restaurant in the State Center Warehouse
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Robert Rodriguez

The Fresno Bee

A Valley native, Robert has worked at The Fresno Bee since 1994, covering various topics including education, business, courts and agriculture.