Athens Family Restaurant Loses Its Lease

If you have a hankering for a hangover-curbing plate of eggs and home fries, you have until May 30 to tie one on and get to Athens Family Restaurant to nurse yourself back to health. The classic diner known for making Nashvillians feel better every morning for the more than 16 years has lost its lease.

Athens is the kind of reliable diner bigger cities have at major intersections all over town. Over the years, it won the hearts of locals, as well as celebrity Guy Fieri, who featured its lamb burger on his Diners, Drive-Ins, and Dives. Owner Mohammed Rasras says the restaurant’s loyal customers include folks who eat breakfast at the diner every morning.

Rasras hopes to relocate nearby. “We would like to stay in the neighborhood," he says. "It is a great area and we have the best clientele." But he concedes that he’ll need an investor to make it happen, as he is not in a financial position to do it on his own post-pandemic.

As was the case for many restaurant owners, 2020 was difficult for Rasras. Reduced indoor dining capacity and limited interest in dining out caused income to dip. According to public records, Rasras received $81,250 in PPP funds in 2020 and $110,250 in 2021. Those funds went toward payroll, he says, and as a result he got behind on rent.

Rasras was subleasing the spot at 2526 Eighth Ave. S. from Dina Kazakos-Elostta, his former business partner. Rasras had monthly payments to both her and to the landlord, Nashville-based HNP Properties, totaling nearly $13,000. When Rasras missed two rent payments during the pandemic, Kazakos-Elostta canceled the lease with HNP; it had less than four years remaining. Kazakos-Elostta opened the restaurant in 2004; Rasras has owned the restaurant solo since 2019, when Kazakos-Elostta moved to Florida.

As COVID-related indoor dining restrictions have relaxed, business is booming again, Rasras says, and he’s caught up on rent. But HNP, which owns both the Athens Family Restaurant building and an adjacent former motel that is now a retail space, says it is time to build on the property. “These buildings should have been torn down 10 years ago,” says HNP’s Bill Hostettler. HNP purchased the properties in 2004 and 2007, as our sister publication the Nashville Post reported yesterday. “We’ve been gluing it back together," says Hostettler. "We need to tear it down and replace it." Plans are for a 7,000-square-foot commercial structure with 50 parking spaces. Other tenants — including Salon Fringe, Craft Vapor, Hue House of Hair, Gypsy Apple Beauty and Elise-Verne Creations — have month-to-month leases and have been given 90 days’ notice.

Hostettler doesn’t know yet which businesses will occupy the new structure. He’s fielded inquiries from a coffee shop, a cell phone retailer and the Whataburger chain so far. While there are existing drive-thru restaurants on Eighth Avenue South/Franklin Road, Hostettler says new drive-thrus are prohibited in this area, so businesses that rely on them, like Whataburger, are unlikely to rent at this location. HNP’s offices are in Berry Hill, and the company has developed other properties in the area. Hostettler is confident a breakfast spot will serve the neighborhood’s morning needs. 

It’s no Rock Block, of course, but this stretch of Eighth Avenue South can be seen as a microcosm of Nashville’s development trajectory. The former motel has housed everything from beer sellers to vape shops. Now the street is dotted with newly constructed apartment and condo buildings.

“I can appreciate their position,” Rasras says of HNP’s decision. “But I was hoping they would give us some leeway. I think Nashville is losing a unique place.” In January, Rasras created a GoFundMe to help raise funds to cover losses from the pandemic. He hopes to find a new location with a lower monthly rent than he had been paying, and also hopes to find an investor to help him make the move. His vision is to keep the menu the same — breakfast food and spanakopita. He had been considering adding waffles, but isn’t interested in a liquor license. He wants to keep the family-friendly vibe at Athens Family Restaurant. “Maybe there is a slim chance that something will come from it," he says. "After a year of COVID, this is not feasible on my own."

If you want your last Greek diner-food fix, at least for the time being, Athens is open seven days a week, 7 a.m. to 9 p.m. The last day at the Eighth Avenue South location is May 30.

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