Modern Times Café in Minneapolis will close by the end of the year following a pay-what-you-can financial experiment.
A Minneapolis restaurant that replaced standard menu pricing with a pay-what-you-can model in protest of federal immigration operations is set to close by the end of the year.
Six years ago, owner Dylan Alverson set out to alter the business model of Modern Times Café in Minneapolis, aiming to demonstrate that a small eatery could operate without prioritizing traditional profit margins.
The establishment underwent a significant policy shift earlier this year. To protest federal immigration raids across Minnesota, Alverson eliminated fixed menu prices, rebranded the restaurant as Post Modern Times, and converted it into a donation-based community hub.
Under the new model, patrons could dine for free or leave a voluntary donation, while federal immigration agents were barred from the premises, Fox News reports.
Financial Challenges and Reopening
The pricing model quickly brought severe financial pressure, forcing the establishment to close temporarily in July after six months of operation without fixed prices.
Following the brief closure, the restaurant reinstated standard menu pricing upon reopening in August, though it maintained a daily quota of 25 free meals.
By autumn, Alverson stated that the business was operating on a zero profit margin.
The initiative generated street queues with customer wait times reaching up to two hours, while nearby residents raised concerns regarding local safety.
“I’ve exhausted every option without compromising the core fundamentals that make Modern Times what it is,” Alverson wrote on social media, Fox News reported.
The owner has confirmed that the restaurant will permanently cease operations before the end of the year.
Broader Industry Challenges
Despite the closure, Alverson maintains his position on the viability of community-focused models, arguing that independent dining establishments face systemic industry challenges.
“I think a bigger question right now is how many independent restaurants are close to collapse?,” Alverson told Fox News.
Over the next two months, the café plans to host farewell events while its owner explores alternative methods to support similar community dining concepts.