According to recent public records, a new European-inspired establishment is coming to town.
Sugarwolf will be coming to 401 W. 4th Street, within suite 120. For an estimated cost of $700,000, the “tenant improvement for new restaurant in a newly built, existing vacant suite – 4539 sf.” It is estimated to reach completion by January 2026.
“We’re a scratch sourdough bakery, coffee bar, and kitchen coming to downtown Austin, built on doing things the right way,” the rudimentary website states.
In a recent interview, Larry Foles highlighted the significant increase in startup costs for a new restaurant, estimating a cost of about $1,000 per square foot downtown, “factoring in the price of lumber, construction materials and metallic equipment such as air conditioning, hoods and duct work.” In total the duo anticipate around $4.5 million each to open the establishment.
“It’s getting to a point that I see a lot of smaller companies are probably going to halt, slow down a little bit, even the larger ones, until we see the environment change a little bit,” Foles said. “Your return on investment is not near as good as it was five years ago.”
Sugar Wolf is described in the report as “an American European bakery that will have an open kitchen and bakery and a 20-foot display with pastries, focaccia, warm cookies and more in a 4,500-square-foot space.”
The establishment will also serve sandwiches with roasted meats off spits and feature a 20-foot coffee bar. Foles emphasizes that all menu items will be under $20.
