Robert Gomez, the owner of Beat Kitchen and Subterranean, has initiated legal action against the City of Chicago, alleging that City Hall effectively forced him out of his Riverwalk location after he invested significant resources into the establishment. The lawsuit seeks to invalidate a new lease for the kiosk and recover what Gomez claims are lost revenues and investments, raising questions about the vendor selection process at the Riverwalk.
Gomez’s legal filing follows claims that his team undertook substantial renovation efforts, including building a patio and running essential utilities beneath Lower Wacker Drive. According to documents obtained through the Freedom of Information Act (FOIA), Gomez’s team personally installed plumbing, electric, and water lines after the city initially indicated that utilities would be supplied. This included an investment of approximately $70,000 on patio furniture alone.
Beat Kitchen’s five-year lease expired in November 2023, but a new bidding process did not commence until March 2024. Gomez argues that this delay resulted in a crucial loss of business during the peak season, even after completion of the buildout and utility work.
Allegations of Improper Vendor Selection
The lawsuit alleges that the Riverwalk selection committee contacted a different vendor who had not submitted a timely application for the location. This revelation came to light following a report from NBC Chicago, which noted that the first civil hearing for the case took place in August.
Gomez claims that his team invested over $600,000 into the Riverwalk site, with his attorney, Bill Klinger, describing the city’s management of the contract process as “egregious.”
The city has opted not to comment on the ongoing litigation, with a spokesperson stating that they do not discuss pending cases. Publicly available materials from the city indicate that the bidding process for Riverwalk vendors is meant to encourage competition and benefit Chicago residents. In contrast, Gomez contends that the process in his situation lacked transparency and did not provide a fair means of appeal.
Discrepancies in Bids Raise Concerns
Records released under FOIA reveal that Gomez’s proposal would have provided the city with about $1.4 million over five years. In stark contrast, the winning proposal reportedly offered just $52,000 for the same duration.
The selection committee responsible for this decision included six members, three of whom were from the department overseeing the Riverwalk. During the delay in decision-making, Gomez continued to incur approximately $180,000 in operating costs related to his Riverwalk location.
The Riverwalk is a vital public space in Chicago, and decisions regarding vendor operations significantly impact both visitor experiences and municipal revenues. In light of the ongoing issues, local officials, including Alderman Gilbert Villegas, have called for enhanced transparency in the awarding of Riverwalk contracts.
The outcome of Gomez’s lawsuit could prompt changes to the city’s procurement processes for Riverwalk vendors. If a judge rules in Gomez’s favor, it may lead to increased public access to selection documents and the internal discussions surrounding the lease.
As the legal proceedings continue, both the city and the newly selected vendor have refrained from providing detailed comments. This dispute underscores the complexities that arise when private investments intersect with public spaces, as unclear procurement rules can transform ambitious projects into legal challenges.
