Sonterra Innovative Southwest Grill, 28 S. Tejon St. in Colorado Springs, closed its doors Saturday.

Owners cited rising labor costs as one factor in the closure of the restaurant that was honored as a top spot for business lunches earlier this year.

“We closed Sonterra last night,” Randy Price, president of Rocky Mountain Restaurant Group said in a Sunday phone interview. “We’ve had a great 16 years downtown. It’s time for us to close this culinary chapter. We want to watch how downtown is evolving and determine the best use for the space.”

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In the meantime, Urban Egg, a daytime eatery adjacent to Sonterra, will continue using additional seating in Sonterra for overflow.

“The same as we have used it for the past three years,” Price said. “The space will also be available for private parties and special events. We already have several things booked.”

Rocky Mountain Restaurant Group will use the kitchen space to launch its newest endeavor, 6035 Catering & Events. Joshua Davis, executive chef at the former Sonterra Grill, will be involved with product development for the catering company.

“Joshua is a valuable asset to our company,” Price said. “He has always been involved with product development for all our concepts and will continue that work.”

Employees of Sonterra were offered the opportunity to transfer to other restaurants within the company. Rocky Mountain Restaurant Group owns eight Urban Egg locations and two Salsa Brava Fresh Mexican Grills.

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