By Eric Curl
Oct. 12, 2025 – Joyful cries of “Opa!” followed the Savannah City Council’s unanimous approval of a new lease agreement for the Olympia Café, allowing the long-standing River Street restaurant to continue operating in its city-owned location next to City Hall.
The vote authorizes City Manager Jay Melder to negotiate and execute a lease with Galaxy Café, the corporate entity operating as Olympia Café, for the ground-floor space of the Thomas Gamble Building.
Mayor Van Johnson noted that the approval followed a legally required public bid process reviewed by a selection committee
“Our vote in this will allow the city manager under our authorization to negotiate and then execute the lease agreement for this city owned space,” Johnson said.
Following the vote, Olympia Café owner Vasilis Varlagas delivered an emotional address, recalling the restaurant’s late founder, Nick Pappas, who died in May, and the business’s 35-year history on River Street.
“Today is a very tough day for me,” Varlagas said, standing alongside family and staff, one who held a photo of Pappas. “I promise to continue the best service and the best food. I promise to work very hard for the city of Savannah.”
Johnson praised the restaurant as a beloved Savannah institution and extended condolences to the Pappas’ family.
“We celebrate what’s to come, and we remember who we’ve lost,” he said. “May our great friend Nick Pappas continue to rest in our hearts, and may his memory be a blessing.”
Nicholas (Nick) Pappas Obituary
The café’s current lease was set to expire at the end of this year, and under state law, the city could not simply extend the agreement. Instead, officials were required to issue a public request for proposals. Out of five qualified bidders, Olympia Café earned the top score based on criteria that included rent, qualifications, design concepts, and operations
The new lease will cover roughly 4,800 square feet of the Gamble Building’s ground floor. Olympia’s submitted plans call for a renovated full-service restaurant that will continue serving Mediterranean cuisine with an ice cream shop, take-out area, and private dining space. Due to ongoing building renovations, the lease is expected to commence in the third quarter of 2026, with an initial five-year term and the option for another five years.
The announcement comes as welcome news for the many Savannah residents who voiced dismay at the thought of Olympia Café closing. For decades, the restaurant has been not only a dining spot but also a cultural landmark, where birthdays, anniversaries, and countless tourist visits were celebrated under Pappas’ signature hospitality.
The RFP for the Gamble Building space was issued on May 15 in accordance with state law concerning the use of public buildings, according to city officials.
Pappas died in May at age 80, after decades of delighting diners along with co-owner Varlagas.
Olympia Cafe’s current lease with the city was originally executed in 2011, according to the last 5-year extension in 2019.
If you find value in this website, please consider contributing above or via Paypal to help cover the costs. You can also send contributions via Venmo @Savannah_Agenda. Your support, no matter how much you give, is appreciated and will help ensure the future viability of this community resource. You can also show your support by subscribing below and sharing Savannah Agenda with others via email or social media. Increasing readership is critical to the long-term success of this site.
Check out Savannah Agenda’s latest newsletter>
TOP POSTS
