D'amato's Little Italy

221 S. Phillips
Sioux Falls, for a time, had a marked lack of Italian dining. D'amato's Little Italy tried to change that during a dark time in downtown's history.
Downtown Sioux Falls has made an incredible recovery from its state in the late 1970s and throughout the 1980s. The downtown pedestrian mall, which itself was an effort to breathe life back into the area, not only failed, but made an already-bad situation even worse. Fortunately, there were a number of area residents who believed in the history and usefulness of the heart of the city, and their efforts, successful or not, contributed to the rebirth of this remarkable area.

James D’Amato came to Sioux Falls with his family in 1981 and worked in special education for the school district. He and his first wife divorced in 1982, after which he met and fell in love with Sioux Falls native Margherita Warren. The two married in 1983. Similar backgrounds may have been part of the attraction; they each had parents who ran traditional Italian restaurants, something which Sioux Falls lacked at the time. Margi’s father, Art Marotta, ran Marotta’s Restaurant on south Cliff Avenue from the mid 1940s until he died in 1968. Jim’s parents ran a restaurant in Hazleton, Pennsylvania for about 20 years. The marinara was in the blood here.
The popular thought at the time was that Sioux Falls’ downtown was dead, but Jim had seen true blight in larger urban areas where trash accumulated and great numbers of police were needed to keep order. He and Margi wanted to breathe some life into the stagnant heart of the city. They planned a new dining experience called D’Amato’s Little Italy. The location would be the first floor of the historic Carpenter Hotel. Plans were for the operation to evolve into more than just a restaurant, however: There would be a wine bar with a wide variety of Italian wines to enjoy, a deli counter for dining and take-out, and a grocery featuring imported cheeses, meats, pastas, oils, and spices. When the weather warmed up, a sidewalk cafe would also be featured, zoning permitting. At this time the pedestrian mall would have accommodated quite a bit of seating.

D’Aamato’s would use the existing kitchen, likely the largest commercial kitchen in the city. The old Carpenter dining room would be renovated for the restaurant space. Workers would expose and restore existing marble, oak woodwork, and the beautiful terrazzo floor. The front desk would be transformed into a bar. Original chairs from the hotel dining room were reupholstered and put to use.
D’Amato’s Little Italy opened just before Christmas in 1985. Other shops in the downtown area were thrilled for both the company and the faith in the area. The D’Amatos did all they could to attract customers. The hope was that dinner theater would pack the house and live jazz shows on would liven up the early weeknights, which can be slow for any business.

In May of 1986, removal of the pedestrian mall was in full swing. This was a major problem for many businesses downtown. Things were likely to improve once the dust settled, but in the interim, D’Amato’s Little Italy lost money most nights.
On November 20, 1986, Jim announced a location in the Western Mall. This location would be more oriented to fast food and the mall dining experience. The mall would have more foot traffic than the downtown area. He still hoped to make the downtown location take off, but estimated that 3 to 5 years would be needed to build up clientele.

In December, the downtown location was temporarily closed as the D’Amatos sorted out the details of their Chapter 11 bankruptcy. They had 120 days to arrange to pay their creditors. After satisfying this condition, the restaurant could reopen.

D’Amato’s Little Italy opened again in January of 1987. Jim and Margi ran it for as long as they could, but the business just wasn’t there. Before the end of the year, D’Amatos was closed.

The D’Amatos then moved back east to Newark, Delaware where Jim returned to education.

The venture was ambitious and well intentioned, but 80s-era downtown Sioux Falls just wasn’t ready for it. D’Amatos added some life to the area and kept the heart beating for a while until it could run under its own power.

Perhaps a similar venture would take off now.