Owner Of The French Gourmet In San Diego's Pacific Beach Pleads For Support Amid Financial Crisis And High-Rise Controversy

The owner of San Diego's The French Gourmet has released a video statement on social media directly addressing the mounting backlash over his property's sale to a high-rise developer and the financial turmoil now threatening the future of his nearly five-decade-old Pacific Beach institution.

Speaking calmly but candidly in the video, French Gourmet owner Michel Malecot acknowledged that he sold the building at 960 Turquoise Street more than two years ago as part of a long-considered plan for retirement. What he didn't anticipate, he says, was that the buyer, Kalonymus LLC, would later apply to build a controversial 23-story residential-commercial tower on the site - a development now facing fierce community opposition and political scrutiny.

"I was just as surprised as the local community to learn in October of 2024 that the buyers applied for a 23-story building permit," Malecot said. "For the record, I had no idea of the size or extent of the project when the sale was made."

Malecot had originally planned to shutter the restaurant in January 2025 but said he delayed the closure out of loyalty to his staff and patrons. However, he now reveals that the first half of this year has been a "financial disaster," and that he is personally funding operations to keep the restaurant open through 2025. He pleaded with the public to support The French Gourmet and its adjacent restaurant, Froggy’s Bar and Grill, warning that the community’s informal boycott could force them to close earlier than expected.

While Malecot emphasized his lifelong dedication to food, community, and philanthropy, the video also stirred renewed discussion of his controversial past. In 2010, The French Gourmet was at the center of a high-profile federal immigration case, one of the first and most aggressive employer-targeted crackdowns of the Obama administration's strict enforcement era.

Malecot was indicted by a federal grand jury on charges of illegally employing and harboring undocumented workers at his restaurant and catering company. Prosecutors alleged that The French Gourmet continued employing workers known to be in the country illegally, and that management helped falsify Social Security records and paid some employees off the books. Following a 2008 federal raid, Malecot - who had been in France at the time - surrendered to authorities after returning to San Diego.

According to the U.S. Attorney’s Office and Immigration and Customs Enforcement (ICE), a four-year investigation revealed that the restaurant had illegally employed at least 91 undocumented workers between 2005 and 2008, despite prior fines in the 1990s and receiving "no-match" letters from the Social Security Administration.

ICE raided the restaurant in May 2008, arresting 18 workers. Malécot ultimately pleaded guilty to a misdemeanor charge and was sentenced in 2011 to five years of supervised probation. The restaurant forfeited $109,200 and paid a total of nearly $400,000 in fines and restitution. A manager, Richard Kauffmann, also pleaded guilty and was fined.

Federal prosecutors said The French Gourmet had continued to hire unauthorized workers even after being warned, and accused Malécot of writing a misleading letter to immigration authorities on behalf of an undocumented employee using a false identity. In court, officials said the business had "repeatedly ignored immigration laws" and “undermined our nation’s lawful immigration system."

Malécot, a French immigrant who came to San Diego in the 1970s and became a U.S. citizen in 1985, defended his intentions at the time, saying he believed he had filed all proper paperwork and was deeply committed to his employees, many of whom saw him as a father figure.

At the time, supporters across San Diego rallied around Malecot, who was known not only for his acclaimed cuisine but also for his generosity to employees and charitable causes. He has long contended that he believed he was in compliance with employment laws, pointing to systemic flaws in federal verification processes. The case became emblematic of the tension between immigration enforcement and labor realities in the hospitality industry, where undocumented workers make up a significant portion of the workforce.

More than a decade later, the embattled chef and entrepreneur is again asking for community grace.

"The French Gourmet has been a key player in the catering and dining scene in San Diego for 46 wonderful years," he said in Thursday's message. "I have been blessed to receive numerous culinary awards and community recognition for sharing my God-given talents... contributing to many nonprofits, educational institutions, churches, and various charitable causes."

Still, with pressure mounting on both his legacy and livelihood, Malécot’s message strikes a tone of uncertainty. While city officials await state guidance on whether the high-rise project complies with California's density bonus laws, residents remain skeptical - and many say they feel betrayed by the restaurant they once saw as a neighborhood institution.

"I’m respectfully asking that you show your support for what has been a gem in the neighborhood since 1989," Malécot concluded. "It’s always a delicious day at The French Gourmet, and we look forward to serving you soon."The proposed Turquoise Tower project - currently under review by the San Diego Development Services Department - remains one of the most contentious in the city’s history. Critics argue that the use of state density bonus laws to override the coastal community’s 30-foot height limit is a misuse of housing legislation meant to foster affordability. The current plans allocate just 10 of the tower's 213 units as affordable housing.

Meanwhile, protests have occurred in front of The French Gourmet, with residents calling on officials to reject the project and preserve the neighborhood’s coastal charm. The building’s sale may be irreversible, but Malecot hopes his legacy will be judged not by zoning disputes or legal battles, but by the thousands of meals and milestones his restaurant helped create over the past 46 years.

The French Gourmet is located at 960 Turquoise Street in San Diego's Pacific Beach. For more information, visit thefrenchgourmet.com.

Originally published on July 18, 2025.