In Chicago, the cloud kitchen remains closed, at least for now.
City officials have blocked a startup by Uber co-founder Travis Kalanick — the company builds commercial kitchens centered around delivery food service — from opening a space in North Center.
Officials were concerned that a zoning change to the proposed construction of a 9,000-square-foot commercial kitchen at 4131 N. Rockwell St. could increase traffic congestion, according to Block Club.
Kalanick’s venture, CloudKitchens, was pursuing Transit-Oriented Development status for the North Center construction. The designation provides city incentives to projects near transit hubs, decreasing the required number of parking spots the developer must build.
Alderman Matt Martin said it “became clear that CloudKitchens’ business model would result in a significant increase in car traffic on Rockwell Avenue and in the surrounding residential streets,” according to the report.
Kalanick last year announced he was investing $150 million into CloudKitchens’ parent company, City Storage Systems LLC. It supplies the equipment, delivery services and marketing services to companies.
It is unclear whether CloudKitchens will move forward with the planned development. [Block Club Chicago] — Jacqueline Flynn