Melbourne restaurant Longrain has confirmed it will not reopen after being forced to close its doors during the Covid-19 shutdown.
It has been reported that around 40 staff were informed the restaurant would not be reopen when restrictions on trading are eventually lifted.
Speaking to The Australian, Longrain owner John Van Haandel said the restaurant industry “was on its knees before this”.
“We asked ourselves ‘what’s it going to look like, what’s going to happen if we do re-open’?” he said. “We’re a restaurant with eating bars and communal tables. We have a bar upstairs (Longsong) where people gather for drinks.”
While trading had been “amazing” in the 12 months prior to the restrictions, profit margins were very thin.
Industry sources told The Australian that Longrain will be the first of many to announce they won’t be opening again after the Covid-19 crisis.