Per Ausitn Biz Journal; Coffee shop chain La La Land Cafe to be latest addition to trendy South Congress Avenue (near Guero's Restaurant)

Coffee shop chain "La La Land Kind Cafe" to be latest addition to trendy South Congress Avenue

Chain employs people who have aged out of foster care

Francois Reihani, CEO of La La Land Kind Cafe CEO.La La Land Kind Cafe

By Sahar Chmais – Staff Writer, Austin Business Journal

Dec 9, 2024

Dallas-based La La Land Kind Cafe is opening a store on South Congress Avenue, the culmination of what CEO Francois Reihani said has been a multiyear search for a flagship site in Austin.

The coffee shop chain — which employs people who have aged out of foster care and attempts to cultivate kindness — raised $20 million last year for expansion.

"I've wanted to (open in Austin) since the first day that we opened Dallas, and I have been hunting for a location for literally over five-and-a-half years,” Reihani said. "It just took forever.”

La La Land Kind Cafe, with 18 locations in Dallas, Houston and Los Angeles, will open at 1400 S. Congress Ave., near Hopdoddy Burger Bar, although the date is uncertain. Reihani also said it's too early to estimate the cost of opening the 2,200-square-feet location.

He said La La Land Kind Cafe has received hundreds of thousands of requests annually to come to Austin — far more than any other potential market.

“When (the space on South Congress) came up at first, I was like, there's going to be 100 bids on this thing within one minute,” Reihani said. “I didn't get my hopes up too high. We had tried for 15 other things on South Congress for so long.”

His skepticism was well founded. Deals on South Congress often happens without a for-lease sign ever popping up. It’s the costliest place to be in Austin for retailers, with space renting for about $200 per square foot. In addition, competition is high as more national and international businesses come in, such as the Swiss athletic gear company On, German shoe maker Birkenstock and others.

But Reihani’s landlords, Lyle and Bette Lippincott — owners of the iconic Guero’s Taco Bar — opted for La La Land Kind Cafe. The Lippincotts declined to comment on the deal.

“Without (the Lippincotts), this would have been impossible,” Reihani said. “If that was a big corporate landlord, this would have never happened. They’re such kind people, and we got along very well — they love the brand. And if they didn't know and love the brand already, it would have been an impossible deal.”

Reihani declined to comment on details of the lease, except to say it was brokered by Brittney Austin of Shop Cos.

He said he wanted to open his first Austin cafe on South Congress because it attracts tourists as well as locals. He calls it the city's best block.

The cafe isn't negotiating any other deals in the metro, but "we definitely see Austin as a market that we want to be in," Reihani said.

"We're not in a big rush to just take anything that's available, but we love the city," he said. "We love the people, and we definitely want to be a part of it for a long time."

In general, he said, his company is flexible on sites. For example, La La Land Kind Cafe has standalone locations but also sites in indoor and outdoor malls, as well as 100-year-old houses. Reihani described himself as a boots-on-the-ground type of person — meaning he spends time in areas to see if his coffee shop could be a good fit — instead of one who relies on aerial maps and market statistics.