An Era Ends When Pier Gift Store Can’t Toe the Bottom Line : Business: Chuck and Judy Milner have operated their shop for 21 years, but they’re being forced out because the leaseholder says they’re not bringing in enough money.
Winter storms, earthquakes and a devastating fire--Chuck and Judy Milner’s gift store on the Redondo Beach Pier has survived all the onslaughts of nature.
But now the small business is being crushed by the forces of finance. After losing a court battle with their leaseholder, who says the store is not bringing in enough money, the Milners must give up control of Pier Imports when their lease expires today.
“It’s the end of an era,” said Judy Milner, who, with her husband, has sold postcards, jewelry and other tourist items in the store for 21 years. The couple must now turn the business over to the leaseholder, Stephen Shoemaker Jr.
The Milners’ departure may signal the first in a series of exits by pier tenants in the coming years. With the city poised to start a $10.5-million pier reconstruction project, Shoemaker says he wants to bring in more profitable businesses. He says that once the renovation is finished, he plans to put up three new structures that will house retail shops, restaurants, a carousel and either a public aquarium or a wax museum.
“There’s a lot of first-class operations out there who want to come to the pier,” Shoemaker said. “The bottom line is the pier has supported bad business for a long time.”
Shoemaker said that although he has no immediate plans to turn out any more businesses, he will reassess the status of his tenants when pier renovations are complete. In the meantime, most tenants are on 30-day renewable leases.
Shoemaker’s vision for the pier is not universally shared, especially by Chuck and Judy Milner. The Milners say Shoemaker’s “crass commercialism” threatens to replace what they see as the pier’s traditional family setting with a carnival atmosphere. The new plans, they assert, will bring in arcades and other businesses that will attract teen-agers--and repel families.
“This pier used to be a fun place, a family place,” Chuck Milner said, shaking his head.
The Milners, who own another pier gift shop that is still open, tried to regain control of Pier Imports in court last month, but lost. They claimed Shoemaker had broken a verbal commitment to renew their lease.
“Things on the pier used to be done with someone’s word and a handshake,” said Chuck Milner, whose eyes welled up with tears as he talked about losing his store. “The little guy can’t fight the big guy with money.”
But Shoemaker said the Milners failed to renew their lease in writing as required by the agreement. Simple economics dictated his decision to terminate the Milners’ lease, he said. Had the store been making more money, Shoemaker said, he might have allowed them to stay. Its earnings this year, however, were significantly less than last year.
“Their store was run-down, their merchandise was old and their business reflected bad business practices,” said Shoemaker, who will assume operation of the store until he decides what to do with the property.
Facing $40,000 in legal fees because of the court fight, the Milners do not have the financial wherewithal to file an appeal. A petition drive with 1,300 signatures delivered earlier this month to the Redondo Beach Harbor Commission failed to win the Milners a reprieve.
The Milners say many pier tenants sympathize with them. But several of the other tenants declined to comment. One shop owner willing to talk was Randy Joe, who has operated Sunshine Kite Co. on the pier for 19 years.
Joe, who is being forced to move his store to a less prominent location on the pier this week, said he thinks his criticism of pier management has gotten him into trouble.
“Probably one of the reasons we’re moving is because we are less intimidated (by Shoemaker) than the other merchants,” Joe said. “But I understand why the other merchants are reluctant to speak--their businesses and their jobs are on the line.”
Shoemaker, who praised Joe, said the kite company is being relocated because the shop obstructs views of the ocean and other shops farther down the pier. He concedes that his management style could be considered intimidating, but he said that, unlike previous pier leaseholders--who carried little debt--he is under considerable pressure to meet loan payments.
“It may be I intimidate a lot of people,” Shoemaker said. “My management style is I tell people what I think they should do, and I expect them to do it.”
As the Milners held a moving-out sale this week, many customers offered their sympathy.
“I’m so sorry you’re leaving,” said Palos Verdes Peninsula resident Ellen Christian, who shops regularly in the store. “You always have something interesting here, and you are such nice people.”
Harbor Director Ray Koke also said he regrets the Milners’ departure.
“Judy and Chuck have been big supporters of the city and the pier,” Koke said. “It was unfortunate when they lost their shop. I hope the bitterness between the two parties goes away.”
