New York City Restaurant Files for Bankruptcy After Two Years of Operation in Florida

Photo byYelp | Writer's Edit

The Blue Dog Cookhouse and Bar, a restaurant originally established in New York City, has filed for Chapter 11 bankruptcy just two years after expanding to its Boca Raton location. The filing was submitted on October 15 in U.S. Bankruptcy Court for the Southern District of Florida, with the restaurant’s president, Yanna Slavutsky, at the helm of the process.

Located at the Town Center at Boca Raton, The Blue Dog Cookhouse and Bar has accumulated more than $700,000 in debt while reporting assets of approximately $120,000. Despite the financial difficulties, the restaurant has been permitted to continue its operations as a debtor in possession following the court's decision on October 16. Tarek Kirk Kiem has been appointed as the trustee overseeing the case.

Some of the largest creditors listed in the bankruptcy filing include New York-based merchant cash advance lender KYF Global Partners, which is owed $270,000, as well as the property’s owner, Simon Properties, with $128,000 in unpaid rent. Other significant creditors include San Francisco-based credit card processor Square ($100,000), and the Internal Revenue Service (IRS), which is owed $100,000 in unpaid Florida sales taxes.

The bankruptcy documents also detail previous legal action involving the restaurant. KYF Global Partners had filed a lawsuit against The Blue Dog in Boca in March, seeking $240,000 plus interest, following what they claimed was a defaulted loan. The restaurant has disputed the validity of KYF’s claims, stating in bankruptcy documents that they do not believe KYF has a legitimate lien on their cash collateral.

In addition to these legal and financial challenges, priority claims have also been made by Miami-based AAA Alpha Advisors Alliance and Sysco Southeast Florida, though the exact amounts have not yet been determined.

The Blue Dog Cookhouse and Bar was first founded in midtown Manhattan in 2006, becoming a popular spot in New York City. The Boca Raton location, which opened in 2022, marked the restaurant’s first venture outside of New York. Despite its ambitious expansion into South Florida, the restaurant has struggled financially in its new market.

Attorneys representing The Blue Dog in Boca, Rachamin Cohen and Isaac M. Marcushamer, have not yet commented on the bankruptcy filing, and a formal case management summary detailing the company's reasons for filing is still unavailable.

As the restaurant continues to operate while navigating bankruptcy, local patrons and business owners alike are closely watching how this will impact the Boca Raton dining scene. The Blue Dog's future remains uncertain as it attempts to reorganize and resolve its mounting financial obligations.