By Daily Mail (U.S.) | Created at 2024-10-30 16:42:21 | Updated at 2024-10-31 03:33:27
10 hours ago
More than 20 Frisch's Big Boy locations have been threatened with evictions - sparking fears for the beloved burger chain.
The fast-casual burger chain is behind on around $4.5 million in rent on at least 20 of its 80 locations, the Cincinnati Enquirer reported.
The franchise, loved for its Big Boy Burgers and sizable breakfasts, has asked an Ohio court to delay the eviction proceedings to give it time to negotiate with the landlord.
The franchise argues that a delay would also enable them to set a schedule to shutter restaurants if no agreement can be reached, arguing this would be fairer to employees who would lose their jobs.
The eviction threats have sparked concerns the whole brand may go under after a round of abrupt closures in Ohio and Kentucky in the spring.
Dozens of Frisch's Big Boy locations are under threat of closure
Such fears were stoked further by the brand's own statement which said select locations may have to close due to 'unforeseen circumstances and various other factors.'
The company did not give any further detail about what those undisclosed factors may entail.
'Due to unforeseen circumstances and various other factors, Frisch's Big Boy Restaurants will be closing certain locations,' the statement read.
'We look forward to serving our loyal and beloved Frisch's customers at other locations and apologize for any inconvenience.'
If the under-threat locations close, the brand's footprint would be reduced by around a quarter.
Most of the locations are in Ohio, with three in Indiana and 16 in Kentucky.
It comes after the chain shut five underperforming locations earlier this year, claiming it was necessary for the health of the overall company.
The chain was acquired by an Atlanta-based investment firm for $175 million in 2015.
Four months later, a Florida-based company paid $47 million for 74 of the company's 121 stores in a sale-leaseback agreement.
The company, operating as the franchise's landlord, is now the one trying to evict it from some of the locations.
Big Boy is the latest family-dining chain to face closures during a brutal year for legacy restaurant chains.
Earlier this year, Red Lobster closed more than 100 locations and entered into Chapter 11 bankruptcy, before being bought out.
Denny's recently announced the closure of 150 of its locations after five quarters of sales declines.
Applebee's also closed 35 locations this year, blaming consumer caution and economic conditions.
The American grill chain, famous for its $10 burgers and 'dollaritas', closed 46 of its more than 1,500 locations due to 'underperformance' last year.
