Red Lobster announces sudden decision to axe iconic Times Square location weeks after bringing back endless shrimp deal that previously sank the company

By Daily Mail (U.S.) | Created at 2026-06-01 17:12:00 | Updated at 2026-06-07 20:30:28 6 days ago

Red Lobster has made a 'difficult decision' regarding its infamous Times Square restaurant. 

The seafood chain announced it will shutter the Manhattan location on Sunday, June 14, after operating for a whopping 23 years. 

Red Lobster released a statement saying the restaurant was an 'important chapter' in its history, but the long-term construction at the 41st street building has impacted access, visibility and foot traffic.

Because of these conditions, in addition to plans for the building to be converted to residential housing, it was 'no longer viable' to keep the New York storefront open. 

Red Lobster released a statement saying they 'are grateful to the team members and guests who have made this restaurant special over the years.'

All team members are being offered the opportunity to transfer to another Red Lobster location of their choice and to receive additional pay to support them as they make the switch.

Despite Red Lobster closing restaurants nationwide, the chain announced it would bring back its Endless Shrimp deal, a promotion that partially led to its 2024 bankruptcy

Diners can mix and match five different shrimp styles, like shrimp scampi and coconut shrimp, for a starting price of $24.99. The deal returned in April 2026 and it's unclear how long it will remain at the chain. 

Red Lobster's Times Square location in New York has been at that location for more than two decades 

Red Lobster restaurants are nautical-themed to match their seafood food options 

After more than two decades at its Manhattan location, the Times Square Red Lobster developed its own cult following, with some social media users sharing their disappointment at the news. 

'Made one more trip to Red Lobster Times Square before it closes its doors in June,' one X user wrote, posting a photo of the margarita flight. They added that they took a moment to reflect on 'all the memories' it holds. 

'I can’t believe I procrastinated going here for longer than it existed,' another X user added. 'Was genuinely excited when it opened because I had never been to a Red Lobster and felt alienated from American food culture because of it. Now it’s too late.'

Former customers mentioned their favorite menu items, including the cheddar bay biscuits. Now, if they want to nosh on the beloved appetizer, they will have to travel to the next closest location in Secaucus, New Jersey. 

Some also referenced the chain's Endless Shrimp special, which was previously available at the Times Square Red Lobster.  

The promotion proved far more popular than expected, with diners returning for high-cost shrimp dishes that wiped out profits and led to an estimated $11 million loss in just a few months.

Along with mounting issues like rising labor costs and expensive leases, those losses contributed to Red Lobster filing for Chapter 11 bankruptcy protection in May 2024. 

The company was eventually taken over by new owners and restructured after exiting bankruptcy later that year. A new leadership team was installed, including current chief executive Damola Adamolekun. 

Red Lobster is bringing back it's 'Endless Shrimp' promotion, where customers can enjoy the seafood option for $24.99

At the time, the new boss was skeptical about bringing back Endless Shrimp, saying he understood 'how to do the math' and warning that the promotion had previously overwhelmed kitchens and strained operations.

Despite its history, the chain is now cautiously reviving a limited-time version of the deal, while still restricting it to dine-in customers.

This news comes just days after the seafood chain announced it would close its longest-running restaurant in Tallahassee, Florida, after over 50 years.

'Red Lobster continuously evaluates restaurant performance and lease terms and may, from time to time, choose to close or relocate select restaurants,' the chain said at the time. 

Read Entire Article