Charlotte Business Journal - by Bea Quirk Contributing writer

Some might call it the luck of the Irish.

But Brendan Kuhlkin credits a savvy lease-to-buy contract and good timing for the initial success of the expanded and renovated downtown Rock Hill location of McHale's Irish Pub.

The original McHale’s opened in Tega Cay in 1997. In 2004, with that operation running smoothly, Kuhlkin opened a second pub on Main Street in Rock Hill’s slumbering downtown.

“It wasn’t a frivolous decision,” says Kuhlkin, co-owner. “It was an area that needed something, and I saw a well-structured deal on the building.”

Kuhlkin rented the building’s first floor, about 2,500 square feet, with the option to buy the entire structure, including a second floor with 1,500 square feet. Business at the pub grew by double digits for four years, so he decided last year to make the purchase. Kuhlkin declines to disclose revenue.

“The time got right,” he says. “People thought we were crazy, but it was exactly the right time. We made the move when construction costs were down. And we got in under the wire to borrow $500,000 before lending got tight.”

Kuhlkin was already paying insurance and taxes, and because of the way the deal was structured, he is only paying $200 more a month now than he was when leasing. The additional space has enabled him to add a more upscale lounge area and to offer a space for private functions. “Paying a minor amount more each month has allowed us to create a lot more sales.”

The pub closed for eight weeks for the renovation and re-opened Dec. 4 to record crowds. Just recently, however, business has begun tapering off at both locations. Kuhlkin has a plan for that, too.

“To be responsible, you have to tighten up on everything,” he explains. “Anything we can control price wise, we make it doable. There’s no more overtime, we watch portions and count the beer twice a day. Every penny, every toothpick, is accounted for.”

Kuhlkin, 40, also credits his partner in the company, his wife Tracy, for its success.

Kuhlkin was recently named 2008 Small Business Person of the Year by the York County Regional Chamber of Commerce. He was nominated by Larry Stevens, director of the Small Business Development Center at Winthrop University.

When presenting the honor, Stevens said, “Both locations have continued to thrive and have indeed become neighborhood gathering places in York County. He (Kuhlkin) says he has always believed in hard work and tries to surround himself with positive people and to conduct fair business practices.”

QUICK INFO

MCHALE'S IRISH PUB

Business: Traditional Irish pub offering pub fare and featuring live music on weekends.

Founded: 1997

Locations: 1820 Gold Hill Road in Fort Mill 29708; 122 East Main Street in Rock Hill 29730

Principals: Brendan and Tracy Kuhlkin

Employees: 45

Phone: (803) 548-2151 or (803) 329-8580

Web: www.mchalesirishpub.com