SIOUX FALLS, S.D. (KELO) — A large retail space on the main floor of the Carpenter building on Phillips Avenue in downtown Sioux Falls is now home to three local start up businesses.

81 Arcade took over the former restaurant and retail space in the carpenter building in 2020, a move from their former location in Harrisburg. 

“Errol was looking for a new partner in here to man the kitchen and provide food; pizza and games kind of go together well so it was a great brand fit,” Sunny’s Pizzeria owner Jon Oppold said. 

In November 2021 Sunny’s Pizzeria partnered with the arcade to open their second location, providing pizza to arcade guests Thursday through Sunday evenings.

“When I took over the kitchen here I had that in mind where maybe we can find a way to utilize this in the time that we’re not here,” Oppold said.

“This kitchen was sitting empty prior to that so we came and took it over with all of our stuff,” Salas Salsas co-owner Macela Salas said. 

Then this month Salas Salsa also moved into the shared kitchen space.

“I got hooked up with them from startup Sioux Falls, ” Oppold said. “Through the meeting I found out they were looking for something like I had, I said why don’t you just share this with me and we can split the rent kind of a win-win for everybody.”

As the cost of food and just about everything they need for their business continues to rise right now, this partnership has become even more important.

“That’s one of the big things you pay for when you open a restaurant, the rent, the food, the staff, some of the things you can’t offset,” Oppold said. “It’s nice to have this partnership because it helps me hopefully stay down here for quite a long time.”

Helping to share the rent and the space is helping all of the local entrepreneurs offset their increased expenses.

“To have the space to be able to make product and store it is just so much more efficient,” Salas said. 

Since opening their handmade salsa business in 2020, Salas and her mom and business partner Patricia Burbine have been renting a commercial kitchen space by the hour. 

 “It was picking up everything, lugging coolers, bringing in produce and then taking it back out again,” Salas said. 

Now their shared kitchen and cooler space Is allowing them to grow their business even more, all thanks to the connections they were able to make in the Sioux Falls start up community.

“Just three businesses coming together to talk about how they can help each other,” Salas said. 

Salas Salsas products can now be found at Looks Marketplace, Pomegranate Market and the Sioux Falls Food Co-op along with several local farmers markets.