EMMAUS, Pa. — A coffee shop two months ago lauded by President Joe Biden as a shining success of small business appears to be on its way out of Emmaus following an extended landlord-tenant dispute.
Nowhere Coffee Co. owners Lauren and Juan Vargas said Friday they’ve terminated their lease, more than a month after water came through the ceiling and damaged critical equipment, countertops and more.
“It is with sad and heavy hearts that we deliver this message. We’ve terminated our lease at South Mountain today."Nowhere Coffee Co. owners on Instagram
“It is with sad and heavy hearts that we deliver this message,” the couple said on Instagram. “We’ve terminated our lease at South Mountain today.
"We are asking that the landlord let us walk away from the property and he releases us from our personal guarantee.”
The landlord is Chad Balliet, owner of South Mountain Cycle, which shares the building.
Balliet also is Emmaus Borough Council president.
‘I’d love to comment when we can’
Reached by phone Friday morning, Balliet said the termination request was something he was just learning about.
“It’s news to me, and honestly, unfortunately, both parties have hired attorneys to navigate through this," he said.
"I’d love to comment when we can comment, because there’s a lot more to this story than what you’re being told."
"I’ve worked extremely hard to get where I’m at. I put a lot of pride into this. I ran that cafe for seven years, seven days a week with my wife. I’ve had a food license. We’ve had all that stuff."Nowhere Coffee Co. landlord Chad Balliet
The conflict between the two parties dates to Feb. 15, when the Vargases posted an Instagram video of water breaching the Nowhere location at 318 Main St.
The situation deteriorated from there, with the Vargases alleging Balliet waited 12 days before having the damage evaluated and starting remediation efforts.
Follow-up posts said remediation efforts were insufficient, that damage was covered up and the building remains unsafe.
“I am a hardworking individual in our community," Balliet said.
"I’ve worked extremely hard to get where I’m at. I put a lot of pride into this. I ran that cafe for seven years, seven days a week with my wife. I’ve had a food license. We’ve had all that stuff."
When given an opportunity to expand on those comments he added, “Not every action needs to have an equal or greater reaction. There’s so many good things that are going on in Emmaus that don't get reported.”
Balliet said he’d be happy to have a longer conversation once legal matters have been resolved.
Hosting the president
The falling out comes months after Nowhere Coffee Co. hosted President Biden and a number of state and local dignitaries.
Accompanying Biden on the visit were Gov. Josh Shapiro; U.S. Rep. Susan Wild, D-Lehigh Valley; U.S. Sen. Bob Casey; and Administrator Isabel Guzman of the U.S. Small Business Administration.
The Vargases had a chance to take the president on a whirlwind tour of Emmaus, where he also visited the Emmaus Run Inn and Balliet’s South Mountain Cycle shop.
Much of Biden’s visit was featured on White House social media in the weeks after as an example of the success of small businesses, saying it validated his economic reforms.
Friday morning, the Vargeses said they had planned a long-term stay in Emmaus until the water damage occurred and Balliet stopped communicating with them.
Further response
Asked for a response to Balliet’s statements, Juan Vargas said the involvement of lawyers shouldn’t prevent anyone from speaking the truth.
“You can always speak to it," Vargas said. "It’s whether you want to speak to it or not. If you want to put things in writing and you’re speaking the truth, there shouldn’t be any fear about speaking.
“The core of the issue all along has been the lack of transparency and putting things in writing so we can properly evaluate situations. When you don’t put things in writing there’s a lot of obfuscation going on."
“That’s a very basic ask."Nowhere Coffee Co. owner Juan Vargas
The Vargases said experts have told them the proper steps for remediation of water damage haven’t been taken.
“I don’t disagree that Chad Balliet is a great, hard working citizen," Vargas said. "That’s not to say that what actions he’s taken as a landlord are acceptable to anyone who has reviewed this."
The Vargases say all they want are safety data sheets from remediation efforts so they know what methods and chemicals were used, with everything being food safe.
“That’s a very basic ask,” Juan Vargas said.
The Vargases said if Balliet won’t let them out of the lease, there’s not a lot of options.
“We’re giving him one last and final chance to do the right thing,” Lauren Vargas said.
“We’re willing to walk away if he’ll just let us walk away,” Juan Vargas said. “If he doesn’t, our lawyers say if he’s unwilling to rectify the problem we have to go get your own construction company, rebuild the place out of pocket and probably sue him for it.
"That’s what we’re trying to prevent. That seems so extreme to us.
“The President visited our shop. We wanted to be here forever.”
