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Jakeabob's Restaurant In Union Beach, Devastated By Superstorm Sandy, Closes For Second Time

UNION BEACH, N.J. (CBSNewYork/AP) -- Superstorm Sandy trashed Jakeabob's Bay, a thriving bar and restaurant where locals and vacationers took in gorgeous sunsets over the Raritan Bay.

When owner Gigi Liaguno-Dorr moved the business to rented space a few blocks inland for the summer of 2013, the move was hailed as an inspirational symbol of a plucky blue-collar town's determination to rise above the deadly storm.

But Jakeabob's won't live to see the second summer after Sandy. Liaguno-Dorr shut it down for good Friday, unable to make a go of it in a town still reeling from the storm, and still unable to secure timely rebuilding aid for what was once the town's signature nightspot.

Jakeabob's Restaurant In Union Beach, Devastated By Superstorm Sandy, Closes For 2nd Time

So a business that once was a symbol of hope and recovery has now become a symbol of despair, illustrative of the hard time many New Jersey and New York residents and business are still having in getting back to normal a year and a half after Sandy.

"At some point, you have to cut it," Liaguno-Dorr told WCBS 880's Peter Haskell. "You have to know when to stop the bleeding."

In the months after the storm, Liaguno-Dorr was a fixture at Borough Hall, helping coordinate donations and helping residents navigate the bureaucracy even as she struggled with her own situation. She still runs a community kitchen Monday and Tuesday nights at the restaurant for the area's needy.

Simone Dannecker, whose home a few blocks away was flooded during the storm and now needs to be elevated after she spent a small fortune to repair it, said Liaguno-Dorr was an inspiration to Union Beach.

"She has done so much to help this community pull through the storm -- that alone should get her an award and qualify her for some kind of help," she said. "This sends the message that we expected all along: that there's nobody out there willing to help us."

Virginia Pellerin, a spokeswoman for the New Jersey Economic Development Authority, said help should arrive soon for Liaguno-Dorr.

"We have been working closely with her, and we expect to be able to approve a loan for some combination of working capital and construction funds, for a fairly significant amount of money," she said. She could not offer a timetable for when the aid might arrive, though.

Jakeabob's Union Beach
A "closed" sign is seen on the door of Jakeabob's off the Bay in Union Beach, N.J. (credit: Peter Haskell/WCBS 880)

By now, Liaguno-Dorr had hoped to have construction underway on an elevated replacement for Jakeabob's at its original waterfront site. But a dispute with her bank over an escrow account (they applied the $453,000 from a flood insurance payout to the outstanding balance of her mortgage) used up all the money she planned to use to start rebuilding. And she said insurer Lloyd's Of London, with whom she had a $1.2 million policy, offered her $9,657 -- with a $10,000 deductible. She is suing the insurer, which did not immediately respond to a request for comment Monday.

"When you're told you're going to get money and you're waiting for it and it doesn't come, it's not good," Liaguno-Dorr said.

"I have zero in the bank, nothing at all,'' she said. "Now I'm stuck. What this shows is what our situation truly is. Everybody is going through this, businesses and homeowners. It's reality, sad reality."

Liaguno-Dorr said the two closures of Jakeabob's cost 74 people their jobs and deprived Union Beach of a much-needed gathering spot. She is looking for a job now, preferably in the food industry.

She still holds out hope of someday rebuilding Jakeabob's on the bay.

"I am absolutely a fighter," she told Haskell.

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(TM and © Copyright 2014 CBS Radio Inc. and its relevant subsidiaries. CBS RADIO and EYE Logo TM and Copyright 2014 CBS Broadcasting Inc. Used under license. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. The Associated Press contributed to this report.)

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