Redstone American Grill

Redstone American Grill is an American full-service restaurant brand founded by Dean Vlahos in 1999. Vlahos had previously founded the Champps Restaurant & Bar chain and developed Redstone as a more upscale concept aimed at affluent suburban professionals. The first Redstone restaurant opened in Minnetonka, Minnesota, in September 1999, several months after the concept was established in the Wayzata area. The initial location reportedly generated strong sales and established the format for later restaurants. The brand occupies a position between polished, upscale dining and more broadly accessible casual-dining chains such as TGI Fridays. Its restaurants are designed around open interiors, a prominent central bar, an open kitchen, and visible wood-burning grill and rotisserie equipment. The concept draws on the atmosphere and operating model associated with upscale American grill restaurants such as Houston's and Bandera Grill, while retaining a menu broad enough to serve different levels of spending and occasion. Its target customer has been described as an upper-middle-class or affluent suburban professional. Redstone markets a menu centered on steak, chicken, pork, and fish cooked over wood fire. The offering combines high-priced steaks with comparatively less expensive chicken, ribs, and other American comfort-oriented dishes. Review references cited for the chain describe the menu as varied and generally favorable, particularly for the quality and taste of its entrées and appetizers. This mix supports the brand's effort to present itself as a premium restaurant without limiting the business entirely to special-occasion steak dining. The chain expanded during the 2000s. By 2008, it had five restaurants in four states, with a sixth location being planned. The reference material also describes the chain as having ten locations, although the date of that count is not specified. In 2004, average annual sales for an individual restaurant were reported at approximately $6.7 million, while annual chain-wide sales exceeded $30 million. These figures are historical and should not be treated as current performance indicators. Redstone encountered financial and reputational pressure during the late 2000s. Tom Petters, a friend of Vlahos and a minority investor reported to hold a 16 percent stake, was arrested in 2008-related federal proceedings over a multibillion-dollar Ponzi scheme. The incident did not directly halt Redstone's restaurant operations, but it affected Vlahos's personal finances and complicated the company's reorganization and standing with lenders. Chief executive David Goronkin stated that the reorganization was attributable to the drying-up of credit markets rather than the Petters case. The 2008–2009 recession also weakened demand among the chain's core suburban professional clientele, slowing expansion plans. A planned 200–300-unit growth program was further affected when GE Capital withdrew a proposed $10 million loan. Goronkin subsequently left the CEO position. Redstone's reported 2008 sales decline of 2.2 percent was nevertheless presented as less severe than declines reported by some comparable upscale restaurant groups. The available reference material does not provide current ownership, leadership, headquarters, financial results, or a verified current location list.

Redstone American Grill was created in 1999 by Dean Vlahos, who had previously established the Champps Restaurant & Bar chain. The concept was developed in the Wayzata, Minnesota, area and was intended to occupy a middle ground between upscale independent restaurants and mainstream casual-dining chains. The first restaurant opened in Minnetonka, Minnesota, in September 1999, roughly six months after the brand was founded. Early sales were described as strong, giving the company a basis for regional expansion. The restaurant format emphasized an open, energetic room rather than a conventional closed dining layout. Locations were modeled around a central bar, open kitchen activity, and wood-burning grill and rotisserie equipment. This design made the cooking process part of the customer experience and reinforced the brand's American-grill identity. The culinary proposition focused on steak, chicken, pork, and fish, with wood-fire preparation providing a common thread across the menu. The chain combined expensive steaks with more moderately priced chicken and ribs, allowing it to serve both premium-dining occasions and less formal meals. Redstone's intended market was primarily affluent or upper-middle-class suburban professionals. Its operating and design references included upscale American concepts such as Houston's and Bandera Grill, while its breadth and pricing allowed it to compete with polished casual operators. Historical review descriptions were generally favorable, highlighting the range of the menu and the quality and taste of entrées and appetizers. Expansion continued through the 2000s. By 2008, Redstone had five locations in four states and was planning a sixth. The available reference account also reports a total of ten locations, but it does not identify the date or provide a complete location list. Historical performance figures included average annual sales of about $6.7 million per restaurant in 2004 and chain-wide annual sales above $30 million. Because these figures are from a specific historical period, they cannot establish the brand's present scale or financial condition. The company faced a complicated business environment in the late 2000s. Tom Petters, a friend of Vlahos and a reported 16 percent minority stakeholder, was arrested by federal authorities in connection with a multibillion-dollar Ponzi scheme. The case did not directly affect Redstone's restaurant operations according to company statements, but it harmed Vlahos's personal financial position and created reputational and financing complications for Redstone. At the same time, the company was reorganizing as credit markets tightened. CEO David Goronkin publicly rejected the suggestion that the reorganization was caused by the Petters allegations, attributing it instead to reduced availability of credit. The 2008–2009 recession placed additional pressure on the chain because its core customer base consisted of suburban professionals with discretionary dining income. A planned growth program of roughly 200 to 300 units was undermined when GE Capital withdrew a proposed $10 million loan. Goronkin later resigned as CEO. Redstone's sales reportedly fell 2.2 percent in 2008, a decline that was characterized as relatively limited compared with larger decreases reported by some comparable upscale restaurant groups. The available sources do not document subsequent ownership, leadership, expansion, closure, or financial developments in enough detail to establish a complete current corporate history.

• 2008

  Chain reaches five locations in four states

  [1]Redstone American Grillen.wikipedia.org

  By 2008, Redstone had five restaurants across four states and was planning an additional location.

• 2008

  Expansion and reorganization come under pressure

  [1]Redstone American Grillen.wikipedia.org

  The recession, tighter credit, the withdrawal of proposed GE Capital financing, and the Petters-related reputational fallout complicated the company's growth plans.

• 2004

  Historical single-location sales reach approximately $6.7 million

  [1]Redstone American Grillen.wikipedia.org

  Historical reference material reports average annual sales of approximately $6.7 million per restaurant in 2004.

• 1999

  Redstone American Grill is founded

  [1]Redstone American Grillen.wikipedia.org

  Dean Vlahos founded Redstone American Grill in Minnesota, developing an upscale-casual American grill concept.

• 1999

  First restaurant opens in Minnetonka

  [1]Redstone American Grillen.wikipedia.org

  The first Redstone location opened in Minnetonka, Minnesota, in September 1999.

An upscale-casual American grill for affluent suburban professionals, combining premium steaks and wood-fired cooking with more accessible chicken, ribs, seafood, bar offerings, and a polished full-service setting.

• Grilled entrées · 1999

  Wood-fired steaks

  Steaks are a central part of Redstone's premium American-grill proposition. The restaurants use wood-burning grill equipment as a defining preparation method, pairing a higher-priced steak offering with the brand's polished dining-room and bar environment.

• Grilled entrées · 1999

  Wood-grilled chicken

  Chicken provides a more accessible alternative to the restaurant's steak offerings. It fits the brand's wood-fire cooking identity while broadening the menu for guests seeking a lower-priced or less formal American entrée.

• Barbecue-style entrées · 1999

  Ribs and pork dishes

  Pork and ribs support Redstone's barbecue-oriented positioning. These dishes complement the steak program and help the chain serve familiar American grill fare at a range of price points.

• Seafood entrées · 1999

  Wood-fired fish

  Fish cooked over the restaurant's wood-fired equipment extends the core grill format beyond meat and poultry. It gives the menu a seafood option while preserving the brand's emphasis on open-fire preparation.

• Rotisserie entrées · 1999

  Rotisserie offerings

  Rotisserie dishes are part of the restaurant's visible cooking concept and reinforce its American grill and barbecue identity. The rotisserie format adds a second signature cooking method alongside the wood-burning grill.

• 2008

  Petters investment controversy

  Tom Petters, reported to have held a 16 percent minority stake and to have been a friend of Dean Vlahos, was arrested in connection with a multibillion-dollar Ponzi scheme. Available material states that the scheme did not involve Redstone's operations, but it affected Vlahos's personal finances and complicated Redstone's financial and reputational position.

  Source

Read more

• 2008

  Pursue a large-scale unit expansion planStrategy

  Background

  Redstone planned an expansion that could have grown the chain by approximately 200 to 300 units, supported in part by external financing.

  Action taken

  The company pursued financing for the expansion, but the plan was weakened when GE Capital withdrew a proposed $10 million loan amid deteriorating credit conditions.

  Aftermath

  The recession and financing setback dampened the expansion program and contributed to a period of reorganization and leadership change.

  Proposed financing. $10 million proposed loan (2008)

  Source

• 2008

  Reorganize during the credit-market downturnOther

  Background

  The company faced tighter credit, recessionary pressure on its suburban professional customer base, and reputational complications associated with the Petters case.

  Action taken

  Redstone undertook a corporate reorganization. CEO David Goronkin said the move was caused by the credit-market contraction rather than the Petters allegations.

  Aftermath

  Goronkin later resigned as CEO, while expansion plans were curtailed. Reported 2008 sales declined 2.2 percent.

  Sales change. -2.2% (2008 versus prior year)

  Source

1. 1Redstone American Grillen.wikipedia.org