The casual restaurant chain sector faces more distress in 2025 after several chains filed for bankruptcy and closed locations in 2024.
Prominent casual chains to file for Chapter 11 bankruptcy last year included Tijuana Flats, filing in April 2024; Red Lobster, which filed in May 2024; Rubio’s Coastal Grill, filing in June 2024; Italian chain Buca di Beppo, declaring bankruptcy in August 2024; and TGI Friday’s, filing in November 2024.
More casual restaurants have filed bankruptcy in 2025, including South Carolina-based Sticky Fingers Restaurants LLC, which filed for Chapter 11 bankruptcy to reorganize its business on March 1.
Related: Struggling barbecue chain closes restaurants in huge downsizing
The barbecue dining chain operates four Sticky Fingers Rib House locations in Greenville, North Charleston, and Summerville, S.C., and Chattanooga, Tenn. The dining company is not affiliated with the Sticky’s Finger Joint chicken fingers chain that filed for Chapter 11 bankruptcy in April 2024.
Restaurant chain operator Fat Brands (FAT) , has no plans to file bankruptcy, but said it would close nine of its underperforming Smokey Bones barbecue restaurants in 2025.
Smokey Bones restaurants become Twin Peaks
In its fourth-quarter earnings call, it said that it would convert 30 of its 58 Smokey Bones restaurants to Twin Peaks locations as part of its conversion strategy which it revealed after acquiring the 61-unit Smokey Bones chain in September 2023.
Denny’s Corp. (DENN) also in February revealed plans to close more of its lower-volume restaurant locations than it originally planned through the end of 2025.
The popular breakfast restaurant chain said during its fourth quarter 2024 earnings call that it planned to close 70 to 90 lower-volume restaurant locations in 2025, after shuttering 88 locations in 2024.
Denny’s will close up to 90 locations in 2025. (Photo by: Jeffrey Greenberg/Universal Images Group via Getty Images)
Jeff Greenberg/Getty Images
Denny’s closes longtime restaurant location
The iconic breakfast restaurant chain has followed through with its plans to close locations in 2025 as in the past week it abruptly closed a longtime location in Camillus, N.Y., WSYR-TV reported.
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The Denny’s location in the Syracuse, N.Y., area, which had been operating for over 25 years, posted a sign in the window at its location at 5315 W. Genesee St. that read:
“To our valued guests: We sincerely thank you for your patronage over the years. This location has closed. Please visit us at the other Denny’s located at:
- 103 Elwood Davis Rd., Syracuse NY 13212
- 6591 Thompson Rd., Syracuse NY 13206
- 7872 Brewerton Rd. Cicero, NY 13039
Denny’s issued the following statement regarding the closing, according to WSYR-TV.
More closings:
- Popular retail chain to close unprofitable store locations
- Bankrupt retail chain unloads store leases, key assets
- Popular discount retailer files bankruptcy, closes all stores
“We made the difficult decision to close our Denny’s restaurant at 5315 W. Genesee St., Camillus, NY. Denny’s currently has more than 1,300 restaurants in the U.S. and will be opening more than 20 new locations in 2025 with fresh, exciting new designs.
“We invite our loyal guests in Camillus to visit us at our other nearby locations at 6591 Thompson Road or 200 S James St. We’d like to thank our team members and local community for their love of the Denny’s brand.”
The W. Genesee Street location was one of seven Central New York Denny’s locations that closed down during the Covid-19 pandemic, including four in Syracuse. The Camillus location reopened after the pandemic subsided, but others reportedly did not.
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