We've seen multiple retailers closing stores over the past few years, and the same thing is happening to restaurants. Many of them have been struggling lately. Even major players like Wendy's, Red Lobster, TGI Fridays, and more have shuttered locations recently for one reason or another. Since 2020, restaurants have faced a lot of issues, including rising food costs (like crazy high egg prices), supply chain problems, higher wages, labor shortages, competition, and changing consumer behaviors.
Here's the ever-growing list of restaurants closing locations in 2025 and the reason(s) behind them. Plus, we've included closures from last year to help you understand how widespread this problem is.
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Restaurant Closures in 2025
Denny’s is closing 70 - 90 restaurants this year.
On top of closing 88 locations last year, Denny's recently announced they plan to shutter another 70 - 90 in 2025. The reason behind closing about 150 locations (which started in 2024)? The buildings are too old for remodeling or they aren't turning a profit. On the bright side, Denny's still has over 1,300 locations in the U.S. and is opening 20 new locations this year.
Red Robin is shuttering 70 locations, starting in 2025 and beyond.
As part of their plan to get their sales "back on track," Red Robin announced in February 2025 that they're looking at 70 restaurants for possible closure (when their leases expire) over the next five years, starting with 10 - 15 this year. In addition to closing about 14% of their 500 locations, Red Robin has revamped their loyalty program and added new menu items and limited-time offers.
TGI Fridays is closing around 30 restaurants in 2025.
Since January 2025, TGI Fridays has closed around 30 restaurants. New Hampshire, New York, Maryland, Massachusetts, and Ohio locations made the list. These restaurant closings are on top of the 100 they shuttered last year. Whether TGI Fridays intends to close additional locations this year is unknown, but they're down to 123 locations in the U.S.
Restaurant Closures in 2024
Applebee’s shuttered 45 locations in 2024.
Applebee's parent company Dine Brands closed 35 restaurants during 2024, while one franchisee filed for bankruptcy and shuttered eight of their locations around Kansas City, KS, in October of last year. A second franchisee closed two locations without authorization from Applebee's and was sued by them because of it. In the end, Applebee's still has over 1,500 U.S. locations.
Denny’s closed 88 restaurants last year.
Last year, Denny's said goodbye to 88 U.S. locations that were either underperforming or were outdated and couldn't be remodeled.
Dickey’s Barbecue Pit said goodbye to 97 (or more) locations in 2024.
As of May 2024 (end of their fiscal year), Dickey's Barbecue Pit had closed 97 locations. Although that leaves them with just over 500 restaurants (as mentioned on their locations page) in the U.S., Dickey's Barbecue Pit remains the nation's largest barbecue chain.
Note that we counted only 316 total U.S. locations, according to the number of locations listed on their website. As of this writing, we can't find info on whether they've lost another 200 or so restaurants, or someone has miscounted.
KFC abruptly shuttered 25 locations in the Midwest.
One KFC franchisee was responsible for the 25 restaurant closings in 2024. EYM Chicken closed the locations in Illinois, Indiana, and Wisconsin. The franchisee also had Pizza Hut and Burger King locations that ran into legal and financial trouble.
Hooters closed an estimated 40 restaurants across 14 states.
In 2024, Hooters closed an estimated 40 underperforming restaurants. States that lost Hooters locations were Alabama, Florida, Georgia, Illinois, Indiana, Kentucky, Maryland, Missouri, North Carolina, Oklahoma, South Carolina, Tennessee, and Texas (which lost the highest number at 16), and Virginia. Shortly into 2025, many outlets are reporting Hooters is preparing to file for bankruptcy, which may lead to a slew of more closures in 2025.
Outback Steakhouse shuttered about 41 locations in 2024.
The states that saw Outback Steakhouse disappear in 2024 were Florida, Illinois, Iowa, Michigan, Ohio, and New Hampshire. Reasons for the closures were underperformance and the high cost of remodeling them.
Red Lobster closed 100 locations last year.
Red Lobster filed for bankruptcy in 2024 and shuttered about 100 locations (Florida saw the most at 22) across the U.S. Although their "Endless Shrimp" promotion is often blamed for the bankruptcy, it was more about their leases and rising material and labor costs. On the upside, Red Lobster is back to baking Cheddar Bay Biscuits and offering seafood extravaganzas like Lobsterfest in about 500 U.S. locations.
Rubio’s Coastal Grill saw 48 location closures in 2024.
At the end of May last year, Rubio's abruptly closed 48 locations across California. A company statement at the time shared it was due to the "rising cost of doing business in California." The closures happened two months after the state increased the minimum wage to $20 an hour. With last year's closures, Rubio's has 82 locations across Arizona, California, and Nevada.
TGI Fridays closed about 100 in 2024.
TGI Fridays restaurant closures started with 36 locations across 12 states (California, Colorado, Connecticut, Florida, Maryland, Massachusetts, New Hampshire, New Jersey, New York, Pennsylvania, Texas, and Virginia) in January 2024. Then in mid-October, with word of bankruptcy on the horizon, TGI Fridays shuttered another 50ish locations. According to CNN, TGI Fridays had 270 locations at the beginning of 2024. And as of this writing (March 2025) they're down to 123.
Wendy’s shuttered 140 locations last year.
Last year, Wendy's closed 140 underperforming locations. However, Wendy's continues to grow (replacing those they've lost) with new locations, collaborations, and limited-time offers. With over 5,900 locations in the U.S., finding a Wendy's shouldn't be too hard.
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