[robr2]

Originally Posted by Stepfordct

https://therealdeal.com/miami/2021/0...100-employees/

Subway leased 65k sq ft. Reports have been it's only for 100 people...
That's um kinda big for a hundred. Most office space is between 1 person per 75-125sq. ft.

There's only a few hundred left in Milford now.....

Note that their culinary staff will be there so there will be a test kitchen, ovens, refrigeration, etc.

Even then, that's a lot of space. Await the moving vans someday.

[BobNJ1960]

Originally Posted by robr2

Note that their culinary staff will be there so there will be a test kitchen, ovens, refrigeration, etc.

Even then, that's a lot of space. Await the moving vans someday.

Agreed. Hope we can keep hq quite a bit longer.

[Stepfordct]

Originally Posted by JayCT

You are right that this is a lot of space for 100 employees but modern offices allot a lot more than 75 to 125 square feet per employee, especially in corporate offices. You aren’t considering common areas. Most now are starting at 125 square feet if you include them.

Also where do you get that there are “only a few hundred in Milford now”? Reports indicate a LOT more than that. Jay

Higher up said only around 300 maybe this was over a year ago. There's been smaller layoffs over the years that were not reported. Also attrition....not exactly the place to grow anymore.... morale is all time low.

Other thing is WFH. This lease was just announced few weeks ago. Assume some hybrid model etc....
The amount of space is way more than needed by several multiples no matter how you slice.
The complex also has more space available if need be.....

[Henry10]

Originally Posted by Stepfordct

Higher up said only around 300 maybe this was over a year ago. There's been smaller layoffs over the years that were not reported. Also attrition....not exactly the place to grow anymore.... morale is all time low.

I thought I read somewhere that according to a survey, Subway had the worst smelling stores out of all fast-food restaurants. And Subway knows it, and has been trying to find a solution. They have improved their menu, so if they fix its bad stink it may turn around, which would be good for CT. Just like CT fiscal affairs.

[okbymeman]

https://www.cbsnews.com/news/new-yor...ighest-in-u-s/

CT might get another influx of fleeing NY'ers with this tax hike. But CT is dead broke so the state will quickly raise taxes on the "wealthy" in response.

[BobNJ1960]

Originally Posted by Henry10

I thought I read somewhere that according to a survey, Subway had the worst smelling stores out of all fast-food restaurants. And Subway knows it, and has been trying to find a solution. They have improved their menu, so if they fix its bad stink it may turn around, which would be good for CT. Just like CT fiscal affairs.

IMO, and I say this with a strong financial analysis background, I suspect Subway's problem is among fast food, it is the most labor intensive (labor as % of revenue). The reason is simple: Unlike McD's, Burger King, or any other form of fast food, only Subway makes the sandwich to order (toppings and condiments). That means they cannot enjoy the lower batch processing costs of the fast food burger joints, and they can't charge a bit more as say, Chipotle does, who also does toppings per individual request. They can't even charge as much as Jersey Mike's, as that chain maintains a great ability to charge more than traditional sub shops (like being the Starbucks of subs). Subway has only competed on low pricing. In its entire history.

I can't see a robotic sandwich maker, the way robots will be making fast food burgers very soon. They lack the store volume even at rush to justify a self checkout kiosk as Mcd's has, so , simply put, Subway cannot escape the falling bottom line of higher labor costs, and they can't pass it on to customers w/o becoming more expensive than McD's.

So Henry I do not think its the food stink. Its the profits stink, at Subway, especially relative to say 10-20 years ago.

[JayCT]

Originally Posted by okbymeman

https://www.cbsnews.com/news/new-yor...ighest-in-u-s/

CT might get another influx of fleeing NY'ers with this tax hike. But CT is dead broke so the state will quickly raise taxes on the "wealthy" in response.

I’m not sure why you think Connecticut is “dead broke”. As has been discussed on this thread the state has a record $3.7 billion in its Rainy Day Fund and its credit ratings have been improved. That hardly means it’s broke. Jay


https://www.courant.com/politics/hc-...dfy-story.html

[kidyankee764]

Originally Posted by JayCT

You are right that this is a lot of space for 100 employees but modern offices allot a lot more than 75 to 125 square feet per employee, especially in corporate offices. You aren’t considering common areas. Most now are starting at 125 square feet if you include them.

Also where do you get that there are “only a few hundred in Milford now”? Reports indicate a LOT more than that. Jay

It really depends - are they planning on doing traditional workspace cubicles or an open-space layout, which has been more popular (and cheaper) in the past decade. Cubicles may be more preferred with covid, but that won’t be forever.

65k square feet seems insanely large for what they initially stated was a small move. And it’s important to note that Subway has seen better days financially, so are probably trying to be fiscally responsible.

[robr2]

Originally Posted by kidyankee764

It really depends - are they planning on doing traditional workspace cubicles or an open-space layout, which has been more popular (and cheaper) in the past decade. Cubicles may be more preferred with covid, but that won’t be forever.

65k square feet seems insanely large for what they initially stated was a small move. And it’s important to note that Subway has seen better days financially, so are probably trying to be fiscally responsible.

I thought their Latin American operations were already in Miami. If so, then they will be moving there as well.

[kidyankee764]

Originally Posted by robr2

I thought their Latin American operations were already in Miami. If so, then they will be moving there as well.

No idea where their Latin America operations are, but I haven’t seen anything indicating that in the news articles.