San Leandro food startups, charities brace for closure of community kitchen
The future of more than 100 mom-and-pop food businesses is now in limbo after the East Bay commissary kitchen where they prep their meals is set to close its doors.
"We are so depressed," said Grecia Sarabia, who launched her and meal prep businesses three years ago inside the Deputy Sheriff's Activities League Community Kitchen in San Leandro.
"This place gave us a chance to not only start our business, but also grow our businesses," said Sarabia. "It helped us create a great solid foundation."
The DSAL Community Kitchen launched six years ago, becoming a cost-effective incubator for dozens of start-ups by offering cheaper rates for commercial kitchen use and storage, along with support and other resources for entrepreneurs.
But despite becoming a successful incubator for several small businesses, budget woes recently caught up to the kitchen's ability to operate, and last month they sent out a letter saying, it was "ceasing operation as of July 1, 2025," because it was "unstainable for us to continue operating the kitchen."
"For the past three years, we were losing $20,000 per month, after we lost several other revenue streams from businesses that outgrew us, and the board decided we could no longer maintain," said DSAL Executive Director, Peter Eiser.
For Mikki Bunang, who launched his healthy meal prep business at the DSAL Community Kitchen, he has now had to temporarily trade in his chef's hat to work as kitchen manager by helping businesses pack up and find new homes where they can survive.
"Probably 60% to 70% are going to continue on with their businesses, and I would say 10% are closing doors or ceasing operation, and 20% don't know yet what they are going to do," said Bunang.
According to Eiser, DSAL is looking to Alameda County for help with an outstanding $800,000 loan with a balloon payment due in 2027. Already, the county board recently approved funding to help the small businesses make the transition to another kitchen.
"Renters can apply for a stipend through the county," he said.
A weekly food giveaway that supported nearly 200 households in the county is also being shut down, with its final giveaway taking place on June 27.
Eiser said the county intends to reopen the facility in some capacity, but no timeline or plan has been set.
