Why a $500 Steak Dinner Only Yields a $25 Profit

On the ground floor of Chicago's tallest building, the restaurant Kindling features tall ceilings, lots of light and a 13-foot live-fire hearth presided over by the tattooed chef, Jonathon Sawyer.

The fine-dining establishment serves a range of dishes, but steak dominates the menu, with options like a 16-ounce prime New York strip and a "Mrs. O'Leary," an 8-ounce filet served with a red wine demi-glace and fried shallots...