Our Terms of Service and Privacy Policy have changed.

By continuing to use this site, you are agreeing to the new Privacy Policy and Terms of Service.

Tequila and sympathy: Bars offer foreclosure specials

Padre's Modern Mexican is turning the downturn into a marketing opportunity: Bring in a foreclosure notice, get a free drink.

EMAIL  |   PRINT  |   SHARE  |   RSS
google my aol my msn my yahoo! netvibes
Paste this link into your favorite RSS desktop reader
See all CNNMoney.com RSS FEEDS (close)

Recession concessions Recession concessions Recession concessions
From Padre's "free drink with foreclosure notice" special in Phoenix to NYC's famed Gray's Papaya $3.50 Recession Special, these restaurants and bars are profiting from penny-pinching specials.

(Fortune Small Business) -- Are some of your customers worried about losing their homes? Take a tip from Cole Durbin, owner of Padre's Modern Mexican in Phoenix, and let them know that you're on their side.

Like restaurants across the country - from Table 8 in Los Angeles to Liberty Bar in Hoboken, N.J. - Durbin is offering up a Recession Happy Hour. But he has added a twist: Anyone who arrives at Padre's with a foreclosure notice can have any drink on the menu.

"I have no problem giving them anything they want," says Durbin, 27.

Nobody had taken him up on his offer through its first six weeks. But Arizona ranks third on RealtyTrac's list of leading foreclosure states, so worry abounds.

And worry is historically good for the bar business. Durbin's happy-hour sales are booming, up 22% in the past two months, which Durbin says has kept the restaurant's earnings even with 2007's despite the cost of rice having skyrocketed 56% between March and May.

Padre's isn't done yet. It plans to roll out new promotions throughout the summer. Up next: free rides to and from the restaurant on Saturday nights for those who might be deterred by $4 gasoline. To top of page

To write a note to the editor about this article, click here.

QMy dream is to launch my own business someday. Now that it's time to choose a major, I'm debating if I should major in entrepreneurial studies or major in engineering to acquire a set of skills first. Is majoring in entrepreneurship a good choice? More
Get Answer
- Spate, Orange, Calif.
Ralph Lauren's many looks A look at his brands and iconic creations More
8 biggest job killing companies of 2015 Whole Foods became the latest corporate giant to lay off workers. Here's a look at the companies that have announced the most jobs cuts this year. More
America's best beer towns Here are the best cities to crack open a cold one and celebrate Oktoberfest, according to Trulia. More