Stanford Shopping Center cafe faces eviction, lawsuit over unpaid rent

Palo Alto Online
Gregorys Coffee faces eviction and a lawsuit from SPG Center over unpaid rent totaling nearly $74,000.

Summary

Gregorys Coffee opened in April 2024 at the Stanford Shopping Center, taking over a former Starbucks location. Founded in Manhattan in 2006 by Gregory Zamfotis, the chain has about 50 locations nationwide. In January 2025, the mall’s property manager, SPG Center, LLC, sued Gregorys for breach of contract, alleging the cafe failed to pay rent, associated costs, and contract work, totaling about $350,000 by November 2025. According to the lawsuit, Gregorys stopped paying rent in February 2025 and also failed to cover a mechanic’s lien filed by Lennen Commercial Builders in June 2025 for unpaid work, though it made partial rent payments in February, May, and June 2025. Gregorys filed an answer denying the allegations. On May 26, SPG Center issued a 72‑hour notice to pay rent or quit, which Gregorys did not comply with; the unpaid balance now stands just under $74,000. On June 11, SPG Center filed an unlawful detainer action in Santa Clara County Superior Court seeking eviction and payment of the owed amount plus attorney fees. Gregorys has not yet responded to this second lawsuit. The lease, signed in 2024, is a six‑year agreement with an annual base rent of about $188,000, increasing yearly, and requires Gregorys to cover water, fixed operating costs, real estate taxes, and sewage as additional rent.

(Source:Palo Alto Online)

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