Hooters Closes Dozens of Restaurants Across U.S. as Bankruptcy Restructuring Continues
UNITED STATES – Hooters of America has quietly shuttered at least 23 restaurant locations across 12 states, marking a significant phase in its ongoing Chapter 11 bankruptcy proceedings. The closures come just two months after the company first announced its financial restructuring without providing specifics on which locations might be affected.
According to Fast Company, the impacted restaurants were removed from Hooters’ online store locator and confirmed via pre-recorded phone messages and Google listings.
States and Cities Affected
The closures have hit a wide range of regions, with locations closed in:
- Florida: Sanford, Orlando (Kirkman Rd), Kissimmee (Osceola Pkwy), Melbourne (Babcock St)
- Georgia: Atlanta (Peachtree Rd), Douglasville, Duluth, Valdosta
- Indiana: Indianapolis (US-31)
- Illinois: Rockford
- Kentucky: Newport
- Michigan: Flint, Taylor
- Missouri: St. Louis (7th St)
- North Carolina: Charlotte (South Blvd)
- South Carolina: Columbia, Rock Hill
- Tennessee: Murfreesboro, Memphis (Peabody Pl), Nashville (Largo Dr)
- Texas: Grapevine, Houston (Farm to Market 1960), San Marcos
Additionally, locations in Fort Smith, Arkansas, and Madison, Wisconsin have been delisted, suggesting they may also be closed.
Company’s Response and Strategy
Hooters of America, in a statement to USA Today, said the closures involve company-owned stores, calling the decision “difficult.” When the company filed for bankruptcy in March 2025, it issued an FAQ stating that Hooters was “here to stay” — but also noted it would review its “operational footprint.”
That review has now led to the shuttering of select restaurants, with a strategy to focus resources on its most profitable units.
“As part of the company’s broader business transformation and planning, Hooters is evaluating its operational footprint to invest resources in its strongest assets moving forward,” the company previously stated.
What Happens Next?
Hooters of America plans to divest physical store ownership, selling locations to existing franchisees. The company will transition to being a licensing-only business, no longer directly operating any Hooters locations.
This approach mirrors other chains like Red Lobster and Buca di Beppo, which have also turned to bankruptcy amidst inflationary pressures, rising labor costs, and declining consumer spending on dining out.
Have any Hooters locations in your area recently closed? How do you feel about the restaurant chain’s shift to a franchise-only model? Share your thoughts with the Saluda Standard-Sentinel team.