Red Lobster is shutting down an additional 23 of its establishments. These locations include:
Recently revealed documents indicate that the business is terminating the leases of another 23 sites by August 31st, 2023, which coincides with over 100 Red Lobster establishments that closed this summer earlier. Once this process is finalized, the chain will only have approximately 500 locations left – a significant decrease from the 650 they had just last year.
Red Lobster is in the midst of being sold to Fortress Credit Corp., a financial institution well-versed in restaurant management and currently owns Krystal, Logan’s Roadhouse, and J. Alexander’s. Fortress Credit Corp. recently provided Red Lobster with a $100 million loan to help maintain its operations.
Red Lobster's downfall can be attributed to mismanagement, intense competition, inflation, and other unforeseen factors. In 2020, Thai Union, a significant global seafood supplier, became Red Lobster's primary shareholder. However, four years later in May 2024, Thai Union itself filed for bankruptcy.
During Thai Union's leadership, Red Lobster's work environment became increasingly hostile, former executives revealed to CNN. Red Lobster made drastic cost-cutting measures, severed relationships with long-time suppliers, and adopted strategies that backfired, such as making the "endless shrimp" deal permanent on the menu. The chain reported a loss of $11 million as a result.
The list of restaurants set to close mentions "these locations are expected to continue generating losses" and "the company does not envision needing them to operate its business and can therefore reject the leases," the documents explain.
Here are the Red Lobster restaurants that will be closing:
Arizona
-1521 S. Yuma Palms Pkwy., Yuma
California
-8703 Murray Drive, La Mesa
-8407 W. Markham St., Little Rock
Colorado
-4925 N. Academy Blvd., Colorado Springs
Florida
-326 Miracle Strip Pkwy., Fort Walton Beach
-5110 N. 9th Ave., Pensacola
-8909 U.S. Highway 19, Port Richey
Georgia
-6550 Tara Blvd., Jonesboro
Illinois
-1604 N. State Road 50, Bourbonnais
-902 Commons Drive, Geneva
-4625 N. Sterling Ave., Peoria
Indiana
-4353 Franklin St., Michigan City
Minnesota
-8900 Golden Valley Road, Golden Valley
-12515 Elm Creek Blvd. North, Maple Grove
Missouri
-2381 Maplewood Commons Drive, Maplewood
New York
-925 Hunts Point Ave., Bronx
-750 Upper Glen St., Queensbury
North Carolina
-304 A Western Blvd., Jacksonville
Ohio
-17227 Southpark Center, Strongsville
South Carolina
-1270 Knox Abbott Drive, Cayce
Virginia
-555 S. Van Dorn St., Alexandria
-4415 S. Laburnum Ave., Richmond
-709 Independence Blvd., Virginia Beach
CNN's Nathaniel Meyersohn contributed to this report.
After securing a $100 million loan from Fortress Credit Corp., Red Lobster decided to focus on its core business, resulting in the closure of several underperforming restaurants. Despite these closures, Red Lobster continues to serve delicious seafood dishes to its loyal customers.
