E-Commerce Turns the Tables on Restaurant Space

As food delivery expands across major U.S. cities, a handful of startup companies are trying to use the latest e-commerce technology to liberate restaurants and grocery stores from pricey, street-facing retail space.

The new breed of startups are opening shared kitchens in industrial buildings, hoping to persuade restaurants to quit their storefronts, move to the new spaces and switch entirely to delivery. Although these companies are still small, some observers say they could leave their mark on the restaurant business and retail real estate.