Sally's Apizza Accused Of Owing Over $1M To Landlord Of Planned Norwalk Mall Location: Lawsuit

NORWALK, CT — As Norwalk residents continue to await the opening of a long-planned Sally's Apizza restaurant at the SoNo Collection mall, the location's landlord has filed a lawsuit claiming they are owed over $1 million from the iconic pizzeria chain.

The lawsuit was filed in January by Norwalk Land Development, LLC, which is listed in the complaint as the property's landlord.

Sally's and Lineage Hospitality, LLC, are listed as defendants.

"Sally's remains fully committed to opening its Norwalk location at the SoNo Collection in 2026," a company spokesperson said in a statement sent Friday to Patch. "Despite the extended development timeline, construction challenges and change of mall ownership, the Sally's team is continuing to work diligently to open this spectacular new location for pizza fans in the Norwalk area this year."

According to the complaint, Norwalk Land Development and Sally's, as a tenant, entered into a written lease agreement in August 2019 for an approximately 4,860-square-foot space at the mall.

The lease was amended three times after that, according to the complaint.

In November, Norwalk Land Development notified Sally's of "installments of rental and other charges due under the lease," which at that time amounted to $990,906.34, according to the complaint.

A copy of the notice indicated Sally's failure to pay the charges in full within 10 days "shall constitute a default."

In December, Norwalk Land Development notified Sally's that it additionally owed "liquidated damages" in the amount of $498,400 "based on Sally's failure to open to the public for business by Dec. 31, 2023," which "were continuing to accrue at the rate of $700 per day until Sally's opens for business," according to the complaint.

According to the complaint, a sum of $1,568,634.82 is presently "due and owing from Sally's," which continues to occupy the space at the mall, under the terms of the lease.

"The failure of Sally's to pay the outstanding amount constitutes a breach of the lease," the complaint reads, "and, as a result of said breach of the lease, Norwalk Land Development has suffered damage."

The complaint also accuses Sally's of owing money, identified in the document as mechanic's liens, to a contractor and two subcontractors claiming to have supplied labor and materials as part of work on the Norwalk space.

According to the complaint and other materials related to the lawsuit, the three liens amount to $666,455.24, $17,946 and $1,558,533.44.

Norwalk Land Development demanded that Sally's cause the liens "to be released, discharged, or bonded pursuant to the requirements" of the lease.

According to CT Insider, the lease indicates that Sally's is required to pay the liens so they are not charged to the mall.

The complaint notes Norwalk Land Development is seeking "$1,568,634.82, plus interest, costs, and such other and further relief that this court deems just."

A request for comment from General Growth Properties, which lists the SoNo Collection as one of its properties, was not immediately returned Friday.

The full complaint can be viewed here.

Back in October, Sally's said the SoNo Collection restaurant "has been under an extended development timeline" as the company continues to formulate a combination of special features for their Norwalk location.

Plans announced at that time indicated the SoNo Collection restaurant will now combine a large programmable 4K video wall with a large tree in the center, as well as living walls in the dining room.

The company said in October the Norwalk restaurant was planned to open in early 2026. Prior to that, the opening was anticipated for the end of 2025.

Plans for the SoNo Collection restaurant were first announced back in 2019.

In addition to its famed New Haven location, Sally's currently operates restaurants in Stamford, Fairfield, Wethersfield and Farmington, as well as Woburn and Dorchester, Mass.

The pizzeria's website teases a number of new locations "coming soon," including Norwalk, Newington and South Windsor, as well as two more Massachusetts locations.