The number of dinner options on delivery apps has exploded in recent years, but the number of restaurants here on the Upper East Side has not. That’s because delivery apps encourage restaurants to take on multiple personas with different menus to fill gaps in the neighborhood. However, Upper East Site has discovered four UES delis with 76 unique listings, as well as two long-shuttered Yorkville restaurants still filling take-out orders — in one case, nearly a decade after it closed.
Stop by 1564 Third Avenue, near the corner of East 88th Street on the Upper East Side, and you can pick up a lot of things; CBD creams and cartridges, synthetically-produced delta-8 and delta-9 THC products — which remain illegal under both New York State and Federal law, the DEA confirms to Upper East Site — however, you won’t find Miso Soup, Spring Rolls or Pad Thai available at the unlicensed CBD Kratom Cannabis Dispensary located at that address.
That’s despite a listing on Grubhub and Seamless (a Grubhub sub-brand) that says Ging — an Asian fusion restaurant that closed at that location in late 2013 — is serving up the eatery’s special Six Plus Six Ingredient Fried Rice from that same address as if Michael Bloomberg is still mayor.
A phone number listed for the restaurant on Seamless traces back to Taijiyama, the name under which Ging reopened on Second Avenue in 2014. However, that business would also close permanently a year later.
Upper East Site called the number to find the line is now disconnected.
Not far from the address of the unlicensed cannabis dispensary that Seamless and Grubhub claim is where Ging is located is the address of what is supposed to be a Japanese restaurant.
Churutto Ramen opened at 1534 Third Avenue, between East 86th and 87th Streets, back in 2018 and is still available to fill orders placed through Seamless listing that same address.
The only problem is that Churutto Ramen closed at that location more than a year ago and has since been replaced by Panera Bread. No phone number was listed on Grubhub for the defunct restaurant.
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In addition to the non-existent restaurants in which we don’t know where the food is being prepared, there are also plenty of fictional eateries where we do know this information because they all list the same address as the primary business location.
Apps like Grubhub have spent years encouraging restaurants to develop secondary brands called ‘virtual restaurants’ to broaden their appeal and boost their revenue streams.
“Increase your revenue potential with your own virtual restaurant or with our licensed concepts,” the pitch to restauranteurs on Grubhub’s website reads.
In normal practice, it makes sense. A diner, deli, or restaurant might add a second, delivery-only menu that is marketed under a separate, complementary brand to beef up the bottom line of the small business.
For instance, in the years before it closed permanently, the tasty UES taco spot Cascabel Taqueria on Second Avenue also operated the equally delicious Gotham Sandwich out of the same high-quality kitchen, though the latter was delivery-only.
Unfortunately, some businesses push the boundaries of what is reasonable, flooding Seamless and Grubhub with more than a dozen listings each under the names of restaurants that don’t exist beyond the apps, with menus filled with recycled options from their main menu, albeit usually with a significant markup.
East Side Market, located at 1463 York Avenue, is a run-of-the-mill Upper East Side deli and convenience store stationed mid-block between East 77th and 78th Streets that boasts an unremarkable three-and-a-half star rating on Yelp.
What is remarkable about East Side Market is that the deli markets itself, or has in the past, as an astonishing 18 additional restaurants, including Breakfast in Bed, Egg House Breakfast Sandwiches, Big E’s Wraps, Get Grilled Cheesin’, B-Town Breakfast Sandwiches, Bosscat Breakfast, The One Breakfast Burrito, The Cheeseburger Paradise, Croissant Club, Big Phil’s Cheesesteaks, Jay’s Breakfast Bar, Fatties Philly Cheesesteaks, Supreme Breakfast Sandwiches, Sunrise Breakfast Sandwiches, Neighborhood Cafe, Sunday Best Breakfast Sandwiches, Sully’s Breakfast Sandwiches and Baker’s Boys Breakfast Sandwiches.
Head a dozen blocks north to First Avenue Gourmet Deli, located at the corner of East 90th Street, and you’ll also find the home of 24 additional brands, most of them serving dishes from the deli’s menu.
Hero Sandwich Shop, Bosscat Cheesesteaks, The Pancake Snob, Wraps On Tap, Insomnia Buffalo Wings, Panini Fantasy, Jasmin’s Coffee Bar, Jen’s Burger Blaze, NY Smoothie Joint, Nomad’s Bagels, Tina’s Tea Shoppe, Aldo’s Wraps Spot, Wonderland Wraps, Sam’s Sandwich Spot, Smoothie and Dessert Bar, Princess Panini, Tessa’s Fruity Teas, Empire State Panini, The Sandwich Slut, La Bella Italian Desserts, Seth’s Sandwiches, The Sandwich Vibe, LV Taco Bar and Queen’s Quesadillas all have the same address as First Avenue Gourmet Deli.
The 72nd Street Gourmet Deli, located at 1390 1/2 Second Avenue in Lenox Hill, has 19 different listings under 18 names. Luca’s Philly Cheesesteak, one brand the deli uses, has two separate listings with the same address.
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“Cheese fries were just cheese slices placed on top of the bed of fries,” one customer wrote in a one-star review left for one of the Luca’s at that location, “Grilled cheese wasn’t even grilled. The cheese we’re [sic] still in slice form.”
No matter whether you order from Luca’s Philly Cheesesteak, Holy Grail Omelettes, NY Dessert Bar, Sal’s Smoothie Spot, Egghead Breakfast Burritos, Pardon My Panini, Savage Juice Bar, The Burger Stack, Ice Cream and Cake Shop, NY Chop Shop, Eggstreme Breakfast Burritos, The Chicken Affair, Wonda’s Wrap Cafe, Breakfast Spot, Chop Chop Cheese, The Village Breakfast or The Pastrami Bar, the food is prepared by 72nd Street Gourmet Deli.
Meanwhile, Seamless orders from Sip On Smoothie, NY Breakfast Spot, The Acai Dream, The Pasta Story, Acai Power Bowls, Pressed On Paninis, The Acai Station, Casa De Quesadilla, The Farmers Salad, Hill Top Sandwich, Top Panini Shop and Lola Smoothie Mix all go to Eastside Deli, located at 1424 Lexington Avenue, at the corner of East 93rd Street, which has listings under 13 different names.
Upper East Site could not reach an owner or manager at any of these delis despite multiple attempts, being told to call back later each time.
Despite these four delicatessens operating dozens and dozens of virtual restaurants, they are not inspected by the New York City Department of Health & Mental Hygiene and do not receive a letter grade.
That’s because all four of these businesses are registered with the State of New York as being ‘stores’ and ‘food manufacturers,’ rather than as a restaurant, excluding them from the City’s inspection process in favor of one conducted by state officials.
New York State’s Department of Agriculture & Markets, which handles licensing and inspections of supermarkets and food warehouses, did not respond to an inquiry from Upper East Site requesting an explanation for how businesses operating as 76 different restaurants could be considered primarily a store or manufacturer.
Upper East Site asked the New York City Department of Health and Mental Hygiene whether these four businesses — that advertise themselves as restaurants in 76 different listings — should be registered through the DOHMH restaurant permitting process. We did not hear back.
We also contacted the New York City Department of Consumer & Worker Protection to determine whether these ‘virtual restaurants’ constitute deceptive or misleading practices under any rules, regulations, or laws under which DCWP has authority.
An agency spokesperson tells Upper East Site that DWCP has only received a single complaint regarding virtual restaurants, which it is currently investigating, adding that “any consumer who believes they’ve been deceived when ordering from a virtual restaurant should file a complaint.”
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The City of New York has a set of laws regulating delivery apps that establish the rights of consumers, delivery workers and restaurants; however, they are mainly to set limits on fees charged to businesses and protections for delivery workers.
Upper East Site then turned to Grubhub, the parent company of Seamless, for an explanation of how it could be beneficial to anyone but the owners of the four delis to have those establishments listed 76 different times.
We also asked where exactly the food being sold by Ging and Churutto Ramen was being prepared; since there is an unlicensed dispensary and a Panera Bread at their listed addresses, respectively.
“Virtual concepts are just one way we help small businesses generate new revenue streams, reach more customers and get increased exposure on Grubhub without adding any overhead costs,” said a Grubhub spokesperson in response to our inquiry.
“We have guidelines for operating a virtual concept on our Marketplace, including menu item differentiation standards, and are in the process of updating them to create a better experience for diners,” the spokesperson continued, “We believe these updates, such as new limitations on the number of concepts run from a single location, will address many, if not all, of the issues you’ve outlined.”
Grubhub did not address the existence of the defunct restaurants Churutto Ramen and Ging on their platform, or from where the food was actually coming — however, the latter’s listing has since been removed.
Meanwhile, Churutto Ramen remains active on Seamless and Grubhub using Panera Bread’s address, which should leave hungry Upper East Side residents with plenty of food for thought.
It seems like a bad loophole that these delis are allowed to function as restaurants without health inspections. Maybe someone in the city will take notice, thanks to your reporting (not holding my breath though). And I’ve noticed the same issue on Uber Eats.
That closing line was 👌🏼😂