#Struggling Subway quietly leases Miami office space
“Struggling Subway quietly leases Miami office space”
June 2, 2020 | 10:18pm
Connecticut-born Subway may be putting down some office roots in Miami, according to sources, where CEO John Chidsey (pictured) lives in a multimillion-dollar Coral Gables home.
Alamy image; NY Post photo composite
Subway’s hard-driving Chief Executive John Chidsey — hired in November to revamp the struggling company — signed a lease last week for office space near Doral, Fla., just west of the Miami International Airport, sources said.
In a statement, the struggling restaurant chain insisted it is not looking to get rid of its longtime headquarters in Milford, Conn. “I can confirm unequivocally that we are not moving our headquarters to Miami,” a spokesman said, without commenting on the Miami lease.
Still, word of the new space, which has not been officially shared with staffers, has employees rattled amid massive layoffs and other belt-tightening measures at the hands of Chidsey.
Subway is such a large presence in its waterfront Connecticut town — thanks to skyrocketing growth under co-founder Fred DeLuca — that the road leading to its campus is named Sub Way. But Chidsey has been taking a cleaver to the company, known for a longtime and loyal staff, in an effort to revive sales that have been on the decline since 2015, the year DeLuca died and the company’s spokesman, Jared Fogle, was arrested for kiddie porn.
In eight months, Chidsey has slashed 450 jobs — representing a 38 percent reduction in the company’s staff.
Other signs of change include Subway’s months-long efforts to consolidate its staff into the main building at 325 Sub Way, sources said. Subway owns four building and leases a fifth at the Milford campus, but many of the buildings now appear empty, sources added.
“Their job is to get everybody into one building to cut costs, but I am not sure if that’s really necessary unless it’s to put the property up for sale,” a Subway insider said.
The new Miami office space is just four miles from Chidsey’s palatial four-bedroom, four-bath home in Coral Gables, which his family trust bought in 2010 for $6.6 million, according to public records.
The Chidsey family held a wedding at the 6,000-plus-square-foot-home in April, according to Zola.com.
Miami could prove a more welcoming environment not just for Chidsey, but also for many of his hires, including Chief Financial Officer Ben Wells, Chief Operating Officer Michael Kappitt and Chief Legal Officer Ilene Kobert — all of whom worked with him at Burger King’s Miami headquarters.
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