1. Applebee’s
The casual dining giant is facing growing competition and a shift in consumer preferences toward fast-casual or delivery options. As a result, several underperforming locations are slated to close in 2025. Despite efforts to rebrand with new menu items, declining foot traffic has proven challenging to overcome.
2. Chili’s Grill & Bar
While known for its Tex-Mex offerings, Chili’s has struggled to maintain relevance with younger diners. Rising operational costs and stagnant sales have led to plans for closures in less profitable regions. Many loyal fans lament the loss of their neighborhood locations.
3. Red Lobster
Red Lobster is grappling with rising seafood costs and changing dining habits. Several locations in smaller markets will shutter in 2025 as the chain focuses on optimizing its presence in high-demand areas. This marks a continued shift toward streamlining its operations.
4. TGI Fridays
With the decline of the traditional casual dining experience, TGI Fridays has seen a significant drop in revenue. The chain plans to close multiple outlets, particularly in suburban areas where sales have plummeted. This move highlights the struggles of once-thriving sit-down dining chains.
5. Buffalo Wild Wings
Sports enthusiasts may find fewer Buffalo Wild Wings locations to frequent in 2025 as the chain downsizes its footprint. High lease costs and a decrease in on-site dining have contributed to the closures. Management is pivoting toward a focus on delivery and smaller, more efficient venues.
6. Outback Steakhouse
Outback is facing tough competition from newer steakhouse brands and a shift toward home dining. Closures in less profitable regions are planned to realign resources with higher-performing markets. Fans of the Bloomin’ Onion might need to travel farther to enjoy their favorite dish.
7. Panera Bread
Despite its popularity, Panera Bread is not immune to financial pressures, particularly in markets with high rents. Several underperforming locations are set to close in 2025 as the chain refines its approach. The brand continues to invest in digital ordering and delivery to adapt to changing consumer demands.
8. Denny’s
The iconic diner chain is reducing its footprint, focusing on markets with higher profitability. Increased competition and changing consumer habits have made some locations unsustainable. While Denny’s remains a beloved brand, the closures are part of a larger strategy to cut costs.
9. IHOP
Known for its pancakes and breakfast classics, IHOP is scaling back in certain areas due to declining customer traffic. Closures in less populated regions will allow the company to concentrate on its top-performing locations. Fans hope the chain’s focus on innovation will keep it thriving elsewhere.
10. Ruby Tuesday
Ruby Tuesday has been on a downward trend for years, and 2025 will see further closures as the chain struggles to compete with more modern dining options. Fewer locations in suburban malls and shopping centers are part of the plan to regain profitability.
11. Cracker Barrel
Cracker Barrel, known for its Southern charm and comfort food, is reevaluating its location strategy. Higher operational costs and dwindling sales in certain regions have prompted the closure of several outlets. The brand remains committed to maintaining its core fanbase.
12. Pizza Hut
Pizza Hut’s dine-in locations have seen a sharp decline in popularity as delivery and carryout dominate the market. Closures of underperforming restaurants will continue in 2025 as the brand shifts focus to modern delivery concepts. Nostalgic fans of the dine-in experience feel the loss deeply.
13. Subway
Once the king of fast-food franchises, Subway has faced mounting competition and franchisee dissatisfaction. In 2025, many locations will close as part of the company’s ongoing restructuring efforts. The closures signal a major shift in how the brand operates.
14. P.F. Chang’s
The upscale Asian-inspired chain is downsizing by closing less profitable locations in suburban and rural markets. High operational costs and shifting dining preferences are behind the decision. The brand aims to focus on its more lucrative urban and international locations moving forward.
