New York
CNN
—
Nearly two dozen more Red Lobster locations are set to close in the coming days as part of the seafood chain’s ongoing bankruptcy proceedings.
A recent court filing indicates that the company is refusing to lease 23 additional locations by Saturday, Aug. 31, joining the more than 100 Red Lobster restaurants it closed earlier this summer. Once they’re complete, the chain will have about 500 outlets — a sharp drop from the 650 it had last year.
Red Lobster is preparing to sell itself to Fortress Credit Corp., a seasoned restaurant management lender that also owns Crystal, Logan’s Roadhouse and J. Alexander’s restaurants. The company recently gave the seafood chain a $100 million loan to keep it afloat.
Poor management, competition, inflation and other factors led to the collapse of Red Lobster, a pioneer in the restaurant industry. Thai Union, a global seafood supplier, became Red Lobster’s majority shareholder in 2020 and declared bankruptcy four years later in May.
Red Lobster’s culture turned toxic under Thai Union’s leadership, former leaders told CNN. Red Lobster cut costs, eliminated longtime suppliers and implemented strategies that backfired, such as making the $20 Endless Shrimp a permanent menu item. The chain lost $11 million on the Endless Shrimp deal.
The company said in the filing that the new list of restaurant leases identified as closed “will likely continue to result in losses” and that the company “does not anticipate the need for these in order to operate its business in the future and may be denied.”
Here are the locations Red Lobster plans to close:
Arizona
-1521 South Yuma Palms Parkway, Yuma
California
-8703 Murray Drive, La Mesa
-8407 West Markham Street, Little Rock
Colorado
-4925 N. Academy Blvd., Colorado Springs
Florida
-326 Miracle Strip Pkwy., Fort Walton Beach
-5110 N 9th Street, Pensacola
-8909 US Highway 19, Port Richey
Georgia
-6550 Tara Street, Jonesboro
Illinois
–1604 N. State Road 50, Bourbonnais
-902 Commons Drive, Geneva
-4625 N Sterling St, Peoria
Indiana
-4353 Franklin Street, Michigan City
Minnesota
-8900 Golden Valley Rd, Golden Valley
-12515 Elm Creek Blvd. North, Maple Grove
Missouri
-2381 Maplewood Commons Drive, Maplewood
New York
-925 Hunts Point Avenue, Bronx
-750 Upper Glenn Street, Queensbury
North Carolina
-304 A Western Blvd, Jacksonville
Ohio
-17227 South Park Center, Strongsville
South Carolina
-1270 Knox Abbott Drive, Casey
Virginia
-555 South Van Dorn Street, Alexandria
-4415 South Laburnum Ave, Richmond
-709 Independence Avenue, Virginia Beach