7 Chain Restaurants Quietly Closing Stores in the US

The fast-casual restaurant sector is under tremendous strain as customers are choosing not to spend money, due to factors such as inflation and perceived low value-for-money. "Quality of food doesn't match the price. Service is lower. I can go to Costco and get their meat loaf meal for less than $20 and feed my family of four and there are leftovers. It also tastes better than most restaurant meals AND I'm not forced to tip," one Redditor said. As a result, many stores have been forced to downsize or shut down altogether. Here are seven chain restaurants closing down stores in an effort to stay afloat.

Subway

Subway quietly shuttered more than 600 restaurants in 2024, and has lost approximately 7,600 stores over the past nine years. The chain is still focused on growth in the U.S and internationally. "Subway achieved positive global net restaurant growth for the second consecutive year," a Subway spokesperson told QSR magazine. "With nearly 37,000 locations worldwide, our focus remains on 'Smart Growth.' In the U.S., we are optimizing our footprint using a strategic, data-driven approach to ensure restaurants are in the right location, image and format and operated by the right franchisees. This includes opening new restaurants as well as relocating or closing locations as needed, to ensure a consistent, high-quality and convenient guest experience."

Jack In the Box

Jack In the Box is closing up to 150-200 underperforming locations, with 80-120 slated to shutter before the end of 2025 as part of its "JACK on Track" plan. "Our actions today focus on three main areas: addressing our balance sheet to accelerate cash flow and pay down debt, while preserving growth-oriented capital investments related to technology and restaurant reimage; closing underperforming restaurants to position ourselves for consistent net unit growth and competitive unit economics; and, an overall return to simplicity for the Jack in the Box business model and investor story," says Lance Tucker, Chief Executive Officer at Jack in the Box.

Denny's

Denny's closed 88 locations in 2024 and plans to close 70-90 in 2025. The company hopes shutting down locations too old to renovate (30 years +) and underperforming restaurants will help the chain bounce back into recovery. New promotions are also being launched to help boost profits, like the Buy One Slam, Get One for $1 deal where guests can buy an Original Grand Slam or All-American Slam and get the second for a friend for just $1, until May 9.

Rubio's Coastal Grill

Rubio's closed down scores of locations on the West Coast last year. "To ensure the future viability of Rubio's, we had to close 48 underperforming locations in California — 13 in the San Diego area, 24 in the Los Angeles area and 11 in northern California," the company said. As of January 2025, the location at UCLA's Ackerman Union has "closed indefinitely".

KFC Franchise

25 KFC restaurants in the Springfield, Illinois area operated by EYM Chicken were shuttered in 2024 after the company filed for bankruptcy. A spokesperson confirmed the news to the Peoria Journal Star, saying the decision was "difficult for both the franchisee and the brand". "We want to take a moment to express our heartfelt gratitude for your loyal support over the years. It is with mixed emotions that we announce the closure of our store," a sign posted on one restaurant door said.

Buca di Beppo

Buca di Beppo closed 18 locations in 2024 and filed for Chapter 11 bankruptcy, according to WFTV9. The chain previously filed for Chapter 11 bankruptcy protection in 2024. "Buca di Beppo has been a beloved gathering place for celebrations and memorable meals for many years, and we are enthusiastic about entering this next phase of our brand's story," president Rich Saultz told Reuters at the time.

Del Taco

Another victim of franchisee issues, Del Taco closed down all but one location in Colorado (18 total) in March. "At this time, our Denver and Colorado Springs franchise locations are temporarily closed," the company said in a statement. "We will re-open these locations as soon as possible and will share updates as they become available."