Your Favorite Dining Spots in Illinois are Disappearing

In the past year, Illinois has seen several prominent and popular restaurant chains close their doors. Rising costs, shifting consumer habits, and economic uncertainties are putting pressure on even well-established brands. In the rural scene, things are even more dire as existing restaurants are being closed up; considered "underperforming" by the brand's standard. Here are some of the more notable closures to hit Illinois in the last year.

Outback Steakhouse

Outback Steakhouse, known for its bold flavors and signature Bloomin' Onion, closed multiple locations across Illinois in 2024. Parent company Bloomin' Brands cited financial restructuring and a focus on more profitable markets as reasons behind the decision. Additionally, the parent company closed locations for Carrabba's and Bonefish Grill as well.

Applebee's

According to a Forbes report, Applebee's also scaled back its footprint in Illinois as part of Dine Brands Global's plan to close up to 35 underperforming locations nationwide. With rising operational costs and changing dining preferences, Applebee's has faced challenges maintaining profitability in certain regions, again closing underperforming locales.

Red Lobster

The seafood chain Red Lobster filed for Chapter 11 bankruptcy in May 2024, which led to the closure of 23 restaurants across the U.S., including several in Illinois. According to People, the company cited inflation and higher labor costs as major factors driving the decision. How will we ever get our cheddar bay biscuits and endless shrimp now?

Denny's

Denny's, a familiar name for late-night diners and breakfast lovers, closed 15 restaurants in mid-2024, with additional closures expected. Illinois, home to 44 Denny's locations, was among the impacted states. The company pointed to rising costs and competition from fast-casual eateries as contributing factors.

Red Robin

Red Robin, known for its gourmet burgers, endless fires, and family-friendly vibes, announced plans to close 70 stores nationwide. This includes several in Illinois where they currently operate 17 locations. According to Fox Business, the closures follow declining sales and a change in customer preferences.

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Michael Jordan's Steak House

Even local favorites weren't spared. Michael Jordan's Steak House in Oak Brook, a notable upscale dining spot, closed its doors after just seven years in operation. While the exact reasons were not detailed, economic factors and customer base are said to have played a role according to a report in The Sun.

Hooters

Though not yet finalized, Hooters has announced plans for bankruptcy and potential closures, with Illinois locations expected to be impacted. Rival chain Twin Peaks has steadily taken a share of Hooters' customer base, contributing to its decline.

Wahlburgers

Hy-Vee announced in January that it will be closing 79 of its in-store Wahlburgers locations. Hy-Vee first partnered with the fast food chain in 2018, and converted some of its Market Grille restaurants into the burger chain. Most Hy-Vee's are now returning to their original Market Grille concept.

TGI Fridays

TGI Fridays, once a staple in the casual dining scene, has faced significant financial hurdles. In November 2024, the company filed for Chapter 11 bankruptcy protection, aiming to restructure its operations amid mounting debts and declining sales, according to Axios. This financial turmoil led to a series of closures nationwide. By October 2024, TGI Fridays had abruptly shuttered around 50 locations, bringing the total closures to almost 100 in 2024. So far, there are still 4 operational locations in Illinois.

Jack in the Box

Jack in the Box seems to be going back and forth when it comes to its Illinois locations. First, it closed six underperforming locations. It then announced five new outlets in "targeted markets." That number has since been upgraded to 10 new locations, according to NBC Chicago. Several Jack in the Box restaurants currently operate across Illinois.

The Bigger Picture

These closures are a clear sign that economic pressures are reshaping the restaurant landscape; not just locally, but across the United States. When it comes to rural communities, be prepared to travel even more for a nice night out on the town. With rising costs for ingredients, labor shortages, and changing consumer habits, brands are being forced to adapt or fold up altogether. According to a report from Food & Wine, even more closures and bankruptcies could be coming through 2025. As Illinois residents adjust to the many changes still coming, the dining scene will continue to adapt or die. Hopefully, this will lead to more innovation and new culinary experiences and not the decline of the industry as a whole.