Closed since a kitchen fire on Oct. 26, 2018, which caused extensive damage, the status of Denny’s Restaurant at 800 Garnet Ave. remains unclear pending lease negotiations, said franchisee Jeff Jones.
Jones, who’s owned the business for five years, one of six he manages in San Diego, expected to be closed four to five months for repairs and an extensive remodel from the 2018 fire. Suspected of being arson, that fire caused an estimated $700,000 in damages to the structure, $150,000 in damages to the contents. A suspect in the case remains at-large.
“It all depends on how well things work out with the landlord, Covey Commercial,” said, Jones pointing out the Denny’s corner location on Garnet and Mission Boulevard is “one of the most valuable pieces of property in PB.”
Jones said he’s in the midst of renegotiations for a new lease with Carlsbad-based Covey, the outcome of which will be known in about 30 days.
“Right now it’s the moment of truth,” said Jones. “The landlord will either give us a new lease and allow us to restore and reopen or redevelop the property, perhaps with retail on the bottom and housing above.”
Jones noted the PB franchise is a “late-night Denny’s.”
“It is one of my better, and harder, stores to run because of the late-night crowd,” he said, noting his PB patrons are mostly in their 20s, coming from the bars to eat after other restaurants in the area are closed. 
Jones added the City has accepted his remodeling plans for the Denny’s. Of those plans, he said, “The 53-year-old building will not be altered in any way. However, the entire contents — tables, chairs and booths, ceilings, etc. — will be entirely refurbished.”
Added Jones, “I’ve been told by the contractor that the remodel would take about four months.”
If he’s granted a new lease, Jones said re-opening the Denny’s could happen as soon as the end of February 2020.
Covey Commercial could not be reached by Beach & Bay Press for comment.