Twin Cities Restaurateur Warns of Industry's Precarious Position

David Fhima says political divisions and rising costs are threatening the future of Minneapolis restaurants.

Apr. 1, 2026 at 9:12pm

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Prominent Twin Cities restaurateur David Fhima has expressed deep concern about the state of the local restaurant industry, saying he's never seen it in a more precarious position. Fhima cites political divisions, the high cost of operating in Minneapolis, and the exodus of downtown Target workers as major challenges facing restaurants in the city.

Why it matters

Fhima's comments highlight the significant challenges facing the restaurant industry in Minneapolis, which has long been a vibrant dining destination. The potential closure of more restaurants could have a devastating ripple effect on the city's economy and culture.

The details

Fhima recently closed his fine dining restaurant "Fhimas" in downtown Minneapolis due to the rising cost of maintaining the historic building. He also places blame on the exodus of downtown Target workers, who have moved to a suburban location or shifted to remote work. Fhima says too many customers are now only patronizing restaurants they believe share their political views, creating a divisive environment.

  • Fhima recently closed his "Fhimas" restaurant in downtown Minneapolis.
  • Target recently spent millions to buyout their lease in City Center, moving many workers to a suburban location or allowing remote work.

The players

David Fhima

A prominent Twin Cities restaurateur who owns several restaurants in the region, including Maison Margeaux in the North Loop and the upcoming Mother Dough bakery in the downtown skyway.

Target

The retail giant that previously had a large presence in downtown Minneapolis, but has since moved many of its workers to a suburban location or allowed remote work.

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What they’re saying

“The state of Minnesota will thrive because downtown Minneapolis thrives, period. We can't just say, well, downtown Minneapolis is not doing well anymore and other places. We got to fix our problem in Minneapolis.”

— David Fhima, Restaurateur

“You knew that you sat down at a table at a restaurant, all of that was left at the door, and the hospitality brought people together. Today you can start seeing a shift where people are going to restaurants that feel, rightfully or wrongfully, that that restaurant shares and espouses the same views that they do.”

— David Fhima, Restaurateur

What’s next

Fhima plans to continue focusing on his North Loop restaurant, Maison Margeaux, and will open a new Mother Dough bakery in the downtown skyway later this week.

The takeaway

Fhima's warnings highlight the significant challenges facing the restaurant industry in Minneapolis, as political divisions, rising costs, and the exodus of major employers threaten the viability of many establishments. The potential closure of more restaurants could have a devastating impact on the city's economy and culture.