Wall Street Journal: California Company Plans to Develop Commissary Kitchen Aimed at Food Delivery at KofP Mall

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A consortium led by SBE Entertainment Group is planning to build a commissary kitchen aimed at delivering food at King of Prussia Mall. Image via the Wall Street Journal.

A consortium led by SBE Entertainment Group is planning to build a commissary kitchen aimed at food delivery at King of Prussia Mall, writes Heather Haddon for The Wall Street Journal.

The move is a part of a deal between the Simon Property Group, which owns King of Prussia Mall, and SBE Entertainment Group to develop around 200 commissary kitchens.

These would prepare restaurant-quality food for mall and hotel customers as well as offering delivery for people nearby. This represents a new approach in the rapidly-growing business of shuttling meals to customers.

Around 85 kitchens are planned for this year, with 100 more expected over the next year. The costs of each kitchen is around $60,000.

Menus for the kitchens will be designed by some restaurants and chefs that already operate at SBE properties, such as Umami Burger and Masaharu Morimoto.

The group expects to reach profitability in around six months if a kitchen reaches around 125 orders a day averaging $30 each. The kitchens will use established delivery companies to get their food to customers, such as Uber Eats and DoorDash.

Read more about the plans at The Wall Street Journal by clicking here.

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