Cyrus in Healdsburg Closing This Fall; Hotel Landlords Win

Cyrus and the hotel share a building in downtown Healdsburg.
Cyrus and the hotel share a building in downtown Healdsburg.

Well, this is a curious turn of events. Cyrus, the seven-year-old Michelin two-star restaurant owned by chef Douglas Keane and partner/manager Nick Peyton, is shuttering on October 31 and coming under the ownership of the Hotel Les Mars after a protracted eviction fight that began in November of 2010. Keane and Peyton appear to have agreed to sell the assets of the Healdsburg restaurant to an affiliate of the hotel and owners Bill Foley and David Fink, Crossroads Winery. The official word is that they’re wishing the new owners well, but as of two months ago this is not where we, or they, saw this going.

The trouble began two years ago when the hotel changed hands, and the new owners felt that they needed to use the ground-floor restaurant and kitchen to service their luxury hotel guests, offering room service and such. This, of course, was never part of the lease Cyrus had signed, and not the sort of thing a high-end restaurant typically has time or resources to deal with. Then things got uglier last fall with the hotel upping the eviction pressure, and Keane and Peyton deciding to sue for trade slander, civil conspiracy, and wrongful eviction, among other things. As of two months ago, the fight was still on between legal teams, and it may stand to reason that this was ultimately going to come down to the hotel having to buy the partners out.

A press statement now says the despite the well publicized dispute between the hotel and the restaurant, “all misunderstandings have been amicably resolved.” In other words, someone made an offer someone else couldn’t refuse.

For his part, Keane says, “It feels good to have this fighting over.” He and Peyton hold on to the Cyrus name and brand, and as of now they have no relocation plans, or plans for a future restaurant, but it would seem that could be in the cards. The two partners still remain owners of the nearby Healdsburg Bar & Grill. From September through the end of October Keane will be doing a Cyrus’ Greatest Hits menu, bringing back popular dishes from over the years. Stay tuned about their next steps, probably next year.

Cyrus Closing [BiteClub]
Cyrus to be taken over by Hotel Les Mars later this year [Scoop]
Earlier: Cyrus Still Battling Its Landlords
Healdsburg Beef: Cyrus Sues Landlords For Slander and Civil Conspiracy