Wave of Hamburger Chain Closures Sweeps Across the United States
In recent months, several prominent hamburger chains have announced significant closures across the United States, reflecting the challenges faced by the restaurant industry amid changing consumer preferences and economic pressures.
Red Robin Plans to Close Up to 70 Locations
Red Robin Gourmet Burgers has initiated a strategic plan to shutter approximately 70 underperforming restaurants over the next five years as leases expire. In the first quarter of 2025 alone, the company closed six company-owned locations and one franchise outlet. This move aims to streamline operations and improve financial performance in a competitive market.
Steak ‘n Shake Continues Closure Trend
Steak ‘n Shake, known for its burgers and milkshakes, has been closing locations since 2018. By March 2025, the chain had closed 200 locations, citing challenges in transitioning from table service to a fast-casual model. The closures are part of an ongoing effort to adapt to evolving consumer demands and operational efficiencies.
Hardee’s and Carl’s Jr. Face Mass Closures
Hardee’s and Carl’s Jr., both operated by CKE Restaurants, have experienced widespread closures. In 2023, a major Hardee’s franchisee filed for Chapter 11 bankruptcy, leading to nearly 40 closures across multiple states. The trend has continued into 2025, with additional closures reported in various regions. Carl’s Jr. has also faced similar challenges, with multiple locations shutting down over the past several months.
Wahlburgers Reduces Footprint
Wahlburgers, the burger chain backed by actor Mark Wahlberg, has seen a significant reduction in its number of locations. In January 2025, Hy-Vee, a major partner, announced the closure of 79 in-store Wahlburgers locations, leaving the chain with approximately 40 standalone restaurants nationwide. The decision reflects a strategic shift by Hy-Vee to focus on its own dining concepts.
Burbs Burgers Shuts Down All Locations
Seattle-based Burbs Burgers, known for its smash burgers, filed for Chapter 11 bankruptcy in November 2023. By February 2024, all five locations in the Seattle area had closed. Owner Josh Henderson cited financial difficulties and an inability to secure investors as reasons for the shutdown.
These closures underscore the ongoing challenges within the restaurant industry, as chains grapple with shifting consumer behaviors, economic pressures, and the need to adapt to a rapidly changing market landscape.
