Restaurants have been absolutely battered in the post-pandemic era. The only sector that seemed to have it harder is retail.
Running a successful restaurant is hard in the best of times, but rising rents, labor and food costs, increases in the cost of utilities and technology — e.g., the expense of setting up digital ordering — have made restaurants in nearly every category suffer.
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The one bright spot is fast-casual restaurants like Chipotle, Wingstop, and Panda Express.
Sit-down restaurants are really struggling, including some of the most well-known restaurant chains in the country.
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Last year Red Lobster filed for bankruptcy and TGI Fridays closed nearly 50 locations. Hooters closed dozens of locations over the last year, and even budget-friendly Denny’s closed more than 80 locations in 2024 and will close another 70-90 in 2025.
Mom-and-pop eateries aren’t necessarily faring any better, even those that have carved out a niche, such as the popular vegan spot ChagaRoot, based in Las Vegas.
Part of the Vegas spot’s downfall was a controversial decision the owners made about the menu.
Sit-down restaurants are especially challenged these days.
Image source: Shutterstock
What happens when a vegan restaurant adds meat?
Over the past decade, plant-based cuisine has evolved from niche health food to mainstream. Whether they’re motivated by health, environmental impact or ethical concerns for animals, plenty of diners are drawn to vegetarian or vegan eating these days.
Even Las Vegas, long known for its steakhouses and all-you-can-eat seafood buffets, has seen an increase in plant-based eateries.
One of the most high-profile spots was ChagaRoot, a restaurant that opened three years ago and was popular for its mushroom-focused menu featuring mushroom steaks and burgers.
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ChagaRoot won accolades over the years, including placing #55 on Yelp’s Top 100 Vegan Restaurants in the U.S. 2024.
But in an effort to expand their customer base, the owners recently added a bison burger to the menu, in sharp contrast to its previously strict vegan menu.
The move enraged diners.
Owner Shane Stuart was accused of being “traitorous to the vegan community you claimed to love and support,” but he maintained he wanted the restaurant to be a health-focused option for vegans and omnivores alike.
In response to vicious complaints, Stuart released a Facebook video defending his decision. He stated that he wanted to accommodate more diners and that he was committed to maintaining separate cooking areas to avoid cross-contamination.
Not too long after the meat dish was added to the menu, Stuart received an unwelcome delivery: a headless chicken.
Now the restaurant has quietly closed its doors. In early July, the owners posted on Instagram, writing, “ChagaRoot is now closed. From the bottom of our hearts, thank you for being part of this journey.”
The company is still selling its mushroom-based protein powder via its website.
Vegan restaurant closures in Las Vegas
ChagaRoot wasn’t the only Las Vegas vegan spot to close its doors in July. On July 7, NoButcher — a popular plant‑based deli with two Las Vegas locations — announced on Instagram it was “taking a step back.”
The owners cited 30% lower sales than projected and severe building issues, according to the Las Vegas Review Journal.
Shortly after it opened in 2019, NoButcher became known for its house‑made vegan meats and cheeses, drawing crowds beyond vegans.
Still, its closure highlights challenges, even for well‑reviewed operations.
In recent months, several other plant‑based establishments have quietly shut their doors in Las Vegas:
- VegeNation in downtown sparked early excitement as a pioneering vegan spot when it launched in 2015, but shuttered in mid‑2023.
- Graze Kitchen and Pots, other local plant‑centric cafés, also closed their doors in the past few years.
There are, of course, plenty of new spots opening practically daily in Las Vegas. For starters, there’s Via Via, the upscale food court and Bottled Blonde, the $50 million rooftop sports bar. Both have plenty of vegetarian options.
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