A restaurateur has signed a letter of intent to move into the Allied Arts Guild in Menlo Park, it was learned today.

Jean Coblentz, president of the Woodside-Atherton Auxiliary, which owns and operates the historic complex at 75 Arbor Road, would not disclose the identity of the restaurateur, but said the two parties are negotiating a lease.

A successful restaurant is crucial to drawing people to the guild, whose net revenue goes to the Lucile Packard Children's Hospital at Stanford. Since the volunteer-operated restaurant closed Feb. 28, artists and craftsmen at the guild have experienced a significant drop in foot traffic and business.

The Palo Alto Auxiliary to the children's hospital operated a restaurant at the site for 75 years, but the Woodside-Atherton Auxiliary opted to not renew its lease in favor of finding a more profitable restaurant.

Initial plans to have local restaurateur Jesse Cool set up a restaurant at the guild fell through, and the space has been empty since.

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