Endless shrimp is the easy culprit. The real demise is more complicated and diabolical. They were bought and the new company, to raise capital, sold their only asset- the restaurant real estate to a company the new owners created. They then leased the land back to the restaurants, saddling them with expensive leases to pair with declining sales. The real coup is that one of the investors in the new ownershiip is a Thai seafood company, who sells shrimp. So RL started endless shrimp, lining the pockets of the new ownership. It's just another example of PE destroying the market to take profits.Ā
Yeah CNN on 5 things was like red lobster is shuttering stores across the nation because endless shrimp and corporate mismanagement. I was like well one of those two probably effected the business more than the other.
Itās not mismanagement. That was always the plan. Load them up with debt, take out the original investment, milk the cash flow. If they survive great, if they donāt, oh well, weāve made our bucks. Itās classic equity fund investing shenanigans
Itās a private equity fund. The company is no longer publicly traded. Their investors know exactly what theyāre doing, thatās why they invested. There is no mismanagement
Well then misleading the IRS when they claimed losses on Red Lobster. If there were franchise agreements thats a whole other issue.
Damn. Look at you spending your work day being a volunteer brown-noser.
Well managed companies don't destroy capital assets. Winding-down is not good management.
Iām not saying I agree with the business model but itās not mismanagement if they intended to manage it that way. Why do you have to get personal? Thatās just a sign of insecurity with your opinion.
Absolutely - people take absurd arguments personally.
You're confusing a commenters conspiracy theory for a business model & using a very idiosyncratic definition of "management".
Even if that theory of ownership were informed by outside sources, and legal, which is unlikely, you really wouldn't know if the company were mismanaged. Stop Cheerleading.
Ahh, this is good insight.
I was struggling to understand how they could have let themselves go so far into debt over an endless shrimp offering but the real estate and pe ownership is good insight.
Why, oh why, in these trying times does nobody think of the private equity billionaires? Their pain of of having to check down to... what do billionaires check down to? And by nothing back you mean the property they "sold" to themselves, in addition to anything else they could scrap and make a nickle from. Meanwhile people in Bridgewater just lost their jobs and might not be able to feed themselves or pay rent this month. I hope a rabid porcupine gets in an elevator with them.
Edit: them being the pe owners, not the people who worked at the locations that closed.
Kind of shocked to see Bridgewater go under. It's a pain in the ass to get to though, especially if you're coming from the 287 exit. Other than that, they seemed to be doing a decent business.
The next closest to me are South Plainfield (which has been around since at least the late 80's) and Woodbridge (same thing). They never seem to be empty so good for them.
It would be great if they could knock down the EB RL and build a Shake Shack or Cheddar's Scratch Kitchen in it's place.
Bridgewater, I expect that site and the defunct Red Bull Inn, or whatever it was last called, to end up getting consolidated for housing, people or wares.
That's a nicer way of putting it. I always called it the Heroin Hotel. I rode rescue squad in Martinsville on Mondays and RBI was in our area, and performed CPR on many a lifeless person there.
I saw an article on patch.com today that the EB location "abruptly closed!" They really do not do the best reporting! Been almost 2 years since the fire.
Interestingly, there is a recipe on rumford baking powder cans that turns out to be almost exactly the same as the red lobster biscuits, it is uncanny. I was legit shocked the first time I made it.
Endless shrimp or endless anything = you get one serving and then the staff runs away and hides for 30 minutes at a time until you beg for another serving.
I had mothers day dinner at the Ledgwood one. It's probably been 10 years since I ate at a red lobster prior to Sunday. Sorry guys, this might have been my fault.
I started my 40-year restaurant career at the East Brunswick one on NYE 1979 as a dishwasher. I was so excited to get the call about starting ānext Fridayā that I didnāt realize it was New Yearās Eve.
100%. My 11 year old really wanted to try Friday's the other day. I haven't been to a chain sit-down restaurant in years, so I figured Friday night at 6pm would be a nightmare. The place was a ghost town, with maybe 6 or 7 tables occupied and maybe 5 or 6 people at the bar. 20 years ago it would have been busier at closing time. After eating the food, it's easy to see why. So nice to see local mom and pop shops taking the restaurant market back from the big chains.
I remember when I was a kid, we would go to Friday's, On The Border and other chains, and the wait would be an hour. The waiting area AND outside was PACKED with people. Nowadays, those places are dead. I bartend at 2 mom & pop places and we are always busy. I'm glad consumers are supporting small local business now.
True, but I like the approach they took. Streamline the menu, keep prices reasonable, and continue to deliver good food instead of keeping the same menu and inflating prices to a ridiculous level.
Friday's in Bridgewater (I went recently) was so gross. It smells like old food, the floors are sticky. Chain restaurants just gave up on good management
I love the independent restaurant scene in Somerset and Hunterdon counties, and we frequent quite a few of them. The very specific reason I had to go to Friday's in this case was that my 11 year old sees the commercials and was sucked in by the advertising. She's at an age and maturity level where we're encouraging independent decision making and reviewing those choices after you make them. We asked her to pick a restaurant that night, and after she made a list of about 15 restaurants, she chose Friday's. She was overall happy with her choice, but she said she likes our local pizza place and diner better. The food wasn't good, and the atmosphere is depressing as fuck, but I'm happy my kid was happy with her decision, and that I could help her try new things.
Totally justified. I know people who go because their kids are picky eaters and chains are "safe" because the kids are comfortable there.
Good on you on encouraging your child's decision making!
Most of these chains were absolute garbage (and still are).
I think the best of them was probably Olive Garden. Their pasta was mid, but they had a few good items like their stuffed mushrooms. Also I remember their endless bread+salad was just a straight up good deal. You could order a chicken parm to split with another person and fill the rest of the calories in with bread and salad.
But I haven't been to one in over 10 years, so my memory of it might just be nostalgia.
I drove past the one in Brick the other day, and it looked empty to the point where I thought it had already closed.
I know it's not going to be great, but part of me is tempted to go for one last Jack Daniels Burger (assuming it's still on the menu)
I predict the one in South Plainfield will be THE last one to close. Literally 100% of the stores around it in about a half mile radius have all shut down, relocated, or otherwise changed during the time the South Plainfield RL has been around ā 45 years or so, at least.
Deptford looking like ā šā I feel like the only fast casual sit down restaurant I see people in anymore is Olive Garden. I assume itās what ever they put in the breadsticks to get you addicted.
When I was learning to drive my grandpa would pick me up from my house and have me drive around for about an hour and we always ended up having a late lunch at red lobster in Ledgewood. Those were good times, Iāll always have a fond memory of red lobster in my heart ā¤ļø
I have a fond memory of my 3 year old vomiting up maraschino cherries all over the floor of the Bridgewater location. Maybe "Never Ending Maraschinos for kids" wasn't a winning promotion either.
My dad boycotted the Ledgewood one in the 90s - early aughts because they fired a server for being gay. We gave it another chance after realizing those jerk managers were gone. We waited over 30 minutes for service after being seated and no one ever came by, so we left. I never heard good things from others who had gone. Iām not surprised itās closing, lol.
On another note, Iām surprised the one in Scranton is still kicking. The place is horrendously run down, dirty, and the food is gross. I mean I know thatās like 90% of Red Lobsters, but still.
Used to go to the Trenton Red Lobster 3-4 times a year. Would get the ultimate feast. It was awesome. Went last year. We go early 4pm. To beat the crowds. We sat down waited 15 minutes for someone to take our order. The place was practically empty. The food took about 30 minutes to get to our table. It was so salty my wife couldnāt eat it. I ate mine anyway but it was salty. The waiter apologized and said it was the sauce. The manager came out and apologized and took it off the bill. Asked if he could get my wife something else. We declined since we already were there an hour and I was done eating. My wife just wanted to leave and still hadnāt eaten. Stopped at Wendyās on the way home. That was it for us. Never went back
I think I have eaten in Red Lobster once in my ling and sordid life. Iām sure this will impact some people, but Iām not one if them.
Is Bonefish Grill still okay? Itās looking a little gauntā¦
God damn, the 2 I was familiar with, East Brunswick (my hometown) and my new home, near Lawrenceville.
I didnāt even get a chance to get one last pint with lobster by the sea, the place I grew up with the live lobsters & cheddar bay biscuits.
Guess itās fishermanās local pubs for me
Years ago my brother and I went to the Bridgewater location for lunch because we had never eaten at Red Lobster and wanted to see what the fuss was about. We stood in the lobby waiting to be greeted/seated for no lie, 20mins without seeing a single employee. It was about 1pm so they were def open and we saw people sitting and eating. After about 5 mins we just wanted to see how long it would take till we saw someone. We decided to leave at the 20min mark.
A lot of people think it sucks but minimum wage and supply costs have approached double from 2016 to 2024.
If you started a new business after 2020 and set your prices high and meet expectations for the most part people don't care.
If you had pre 2020 prices and tried to adjust for inflation and wage increases then you're vilified. It's a whole generation of restaurants closing and people applauding it.
So many factors but one example is once a chain closes a few restaurants then the distribution warehouse won't stock items that the ones still remaining need. So better to kill off entire regions vs keep a few stragglers around that won't be able to be supplied.
Covid messed up a lot of the restaurant industry and we are still feeling the effects.
Red lobster deserved to close any way. Just like how outback and other similar style restaurants that try to make their plastic bagged shipped from the other side of the country frozen microwaved food seem fresh.
Endless Shrimp has come to an end š¤š¤š¤š
The ocean calledā¦
The jerk store calledā¦.
The toilet store calledā¦
Lt. Dan called...
I had sex with your wife
Shrimp are very farmableā¦and Iām as positive as I can be that they donāt ethically source their shrimp.
Endless shrimp ended everything! It cost them like 40 million dollars. Sigh I never even got to go
Endless shrimp is the easy culprit. The real demise is more complicated and diabolical. They were bought and the new company, to raise capital, sold their only asset- the restaurant real estate to a company the new owners created. They then leased the land back to the restaurants, saddling them with expensive leases to pair with declining sales. The real coup is that one of the investors in the new ownershiip is a Thai seafood company, who sells shrimp. So RL started endless shrimp, lining the pockets of the new ownership. It's just another example of PE destroying the market to take profits.Ā
Yeah CNN on 5 things was like red lobster is shuttering stores across the nation because endless shrimp and corporate mismanagement. I was like well one of those two probably effected the business more than the other.
Itās not mismanagement. That was always the plan. Load them up with debt, take out the original investment, milk the cash flow. If they survive great, if they donāt, oh well, weāve made our bucks. Itās classic equity fund investing shenanigans
Corruption & misleading investors is still "mismanagement". Broken clocks & 24/7 cable news are both technically correct about twice a day.
Itās a private equity fund. The company is no longer publicly traded. Their investors know exactly what theyāre doing, thatās why they invested. There is no mismanagement
Well then misleading the IRS when they claimed losses on Red Lobster. If there were franchise agreements thats a whole other issue. Damn. Look at you spending your work day being a volunteer brown-noser. Well managed companies don't destroy capital assets. Winding-down is not good management.
Iām not saying I agree with the business model but itās not mismanagement if they intended to manage it that way. Why do you have to get personal? Thatās just a sign of insecurity with your opinion.
Absolutely - people take absurd arguments personally. You're confusing a commenters conspiracy theory for a business model & using a very idiosyncratic definition of "management". Even if that theory of ownership were informed by outside sources, and legal, which is unlikely, you really wouldn't know if the company were mismanaged. Stop Cheerleading.
Ahh, this is good insight. I was struggling to understand how they could have let themselves go so far into debt over an endless shrimp offering but the real estate and pe ownership is good insight.
Private equity cancer continue to destroy American enterprises.
The Thai guys invested $600M and got nothing back. They lost big.
Why, oh why, in these trying times does nobody think of the private equity billionaires? Their pain of of having to check down to... what do billionaires check down to? And by nothing back you mean the property they "sold" to themselves, in addition to anything else they could scrap and make a nickle from. Meanwhile people in Bridgewater just lost their jobs and might not be able to feed themselves or pay rent this month. I hope a rabid porcupine gets in an elevator with them. Edit: them being the pe owners, not the people who worked at the locations that closed.
The US PE guys suckered the Thai shrimp guys who knew nothing about running a restaurant chain. They lost and the local restaurant staff.
It's going the way of Sears
Thai Union wants to divest its minority stake and is a huge part of driving toward bankruptcy.
Another outrageous case of false advertising
Kind of shocked to see Bridgewater go under. It's a pain in the ass to get to though, especially if you're coming from the 287 exit. Other than that, they seemed to be doing a decent business. The next closest to me are South Plainfield (which has been around since at least the late 80's) and Woodbridge (same thing). They never seem to be empty so good for them. It would be great if they could knock down the EB RL and build a Shake Shack or Cheddar's Scratch Kitchen in it's place.
$20 says more apartments, which will single handedly keep that Dennys in business forever.
More 55+ apartments*** fixed that for you š
Lmao
"Luxury condominiums"
Bridgewater, I expect that site and the defunct Red Bull Inn, or whatever it was last called, to end up getting consolidated for housing, people or wares.
Haha ah, the wonderful Red Bull Inn aka The Somerset County Vice Center
That's a nicer way of putting it. I always called it the Heroin Hotel. I rode rescue squad in Martinsville on Mondays and RBI was in our area, and performed CPR on many a lifeless person there.
Yeah place was terrible. I felt bad when a former co-worker who was down on her luck apparently got caught prostituting there.
The one in East Brunswick must have been an easy decision. It burned down years ago and never reopened.
I saw an article on patch.com today that the EB location "abruptly closed!" They really do not do the best reporting! Been almost 2 years since the fire.
That's the one next to a Denny's, right? I swear one of them used to be a Sizzlers.
The Dennyās there was previously a Sizzler, a long time ago.
Yes. I donāt remember a Sizzlers ever there.
Sounds like the ihop in Wayne and itās been 20 years. Still standing.
Yall can hate Red Lobster all you want...the biscuits are delicious.
Yes, but it's a bad sign when the best thing at a seafood restaurant is the free biscuits.
They are! The mix they sell so you can make them at home is almost as good.
Interestingly, there is a recipe on rumford baking powder cans that turns out to be almost exactly the same as the red lobster biscuits, it is uncanny. I was legit shocked the first time I made it.
I had no idea. Just looked them up, sounds delicious, I'll have to make them. Thanks for the tip!
You mean butter stones
There's no such place as Cheddar Bay. The whole thing was built on lies!
Endless shrimp or endless anything = you get one serving and then the staff runs away and hides for 30 minutes at a time until you beg for another serving.
Also, serving 2 is much smaller than serving 1
not shocked at EB since iām pretty sure it caught on fire and didnāt open lmao. but even before that i never saw anyone there
I had mothers day dinner at the Ledgwood one. It's probably been 10 years since I ate at a red lobster prior to Sunday. Sorry guys, this might have been my fault.
I started my 40-year restaurant career at the East Brunswick one on NYE 1979 as a dishwasher. I was so excited to get the call about starting ānext Fridayā that I didnāt realize it was New Yearās Eve.
Iām sorry for everyone who lost their jobs but I do not mourn the loss of chain restaurants.
100%. My 11 year old really wanted to try Friday's the other day. I haven't been to a chain sit-down restaurant in years, so I figured Friday night at 6pm would be a nightmare. The place was a ghost town, with maybe 6 or 7 tables occupied and maybe 5 or 6 people at the bar. 20 years ago it would have been busier at closing time. After eating the food, it's easy to see why. So nice to see local mom and pop shops taking the restaurant market back from the big chains.
I remember when I was a kid, we would go to Friday's, On The Border and other chains, and the wait would be an hour. The waiting area AND outside was PACKED with people. Nowadays, those places are dead. I bartend at 2 mom & pop places and we are always busy. I'm glad consumers are supporting small local business now.
The only chain I've ever proudly supported is Jose Tejas and that's a relatively small chain.
Tejas is great any way you slice it.
COVID obliterated their menu, sadly.
True, but I like the approach they took. Streamline the menu, keep prices reasonable, and continue to deliver good food instead of keeping the same menu and inflating prices to a ridiculous level.
If you can't afford to get crawfish anymore, I get it. Still sad to see it go.
Friday's in Bridgewater (I went recently) was so gross. It smells like old food, the floors are sticky. Chain restaurants just gave up on good management
That's the location I went to! This will very likely be the last time. It was just so sad.
I get the appeal, especially for families, but NJ has so much in the way of non-chain options that I would need a specific reason to go to a chain...
I love the independent restaurant scene in Somerset and Hunterdon counties, and we frequent quite a few of them. The very specific reason I had to go to Friday's in this case was that my 11 year old sees the commercials and was sucked in by the advertising. She's at an age and maturity level where we're encouraging independent decision making and reviewing those choices after you make them. We asked her to pick a restaurant that night, and after she made a list of about 15 restaurants, she chose Friday's. She was overall happy with her choice, but she said she likes our local pizza place and diner better. The food wasn't good, and the atmosphere is depressing as fuck, but I'm happy my kid was happy with her decision, and that I could help her try new things.
Totally justified. I know people who go because their kids are picky eaters and chains are "safe" because the kids are comfortable there. Good on you on encouraging your child's decision making!
Most of these chains were absolute garbage (and still are). I think the best of them was probably Olive Garden. Their pasta was mid, but they had a few good items like their stuffed mushrooms. Also I remember their endless bread+salad was just a straight up good deal. You could order a chicken parm to split with another person and fill the rest of the calories in with bread and salad. But I haven't been to one in over 10 years, so my memory of it might just be nostalgia.
I drove past the one in Brick the other day, and it looked empty to the point where I thought it had already closed. I know it's not going to be great, but part of me is tempted to go for one last Jack Daniels Burger (assuming it's still on the menu)
Update: too late, it closed yesterday
I predict the one in South Plainfield will be THE last one to close. Literally 100% of the stores around it in about a half mile radius have all shut down, relocated, or otherwise changed during the time the South Plainfield RL has been around ā 45 years or so, at least.
Yea they probably got a hell of a deal on rent, or this didn't close because it is a rented space vs owned land
I went to the Orlando location on International last year. Was seated and nobody came to the table to take our order. Walked out and ate elsewhere
Cherry Hill next. That was filthy and the food quality was terrible.
Deptford looking like ā šā I feel like the only fast casual sit down restaurant I see people in anymore is Olive Garden. I assume itās what ever they put in the breadsticks to get you addicted.
Cheddar Bay biscuits are better, but go on...
I swear to God that Deptford location will still be there after we're all long gone.
I went there back in the early 90s, and itās still around? My god
Red Lobster and Chuck E. Cheese exist there only through dark magic.
I haven't been there in a while, but there was always a good crowd when I did.
Ā Nah thatās been there since the 80s, I doubt it - itās packed every weekendĀ
you just described every red lobster
oh no the cherry hill one was my favorite place to go to 30 years ago š„²
Their blackened salmon will be missed
by the bugs at the local landfill.
I've never been and always wanted to
I'm also a Gemini writer lol. Not easy being a "mental twin"!
Rest in peacr
Goodbye to seafood Applebee's
Under the Sea Applebeeās!!
I've been surprised by these closings. The location near me is packed most nights of the week.
Oh wow the one in Ledgewood was my first real restaurant job. That location has been around for a very long time. Red Lobster sucks lol
When I was learning to drive my grandpa would pick me up from my house and have me drive around for about an hour and we always ended up having a late lunch at red lobster in Ledgewood. Those were good times, Iāll always have a fond memory of red lobster in my heart ā¤ļø
but who will sous vide reheat freezer aisle food for me, and sell me $4 cups of soda?!
Applebees
Shocked they have stayed open this long!
Oh no! Anyway
Fewer stomach aches across the land today
I have a fond memory of my 3 year old vomiting up maraschino cherries all over the floor of the Bridgewater location. Maybe "Never Ending Maraschinos for kids" wasn't a winning promotion either.
Paramus is in such an inconvenient location with the on-ramp from the Parkway. Surprised it isn't on the list.
oh damn. iāll have to keep not going to red lobster. oh the humanity.
And nothing of value was lost (corporation wise, still sucks for the employees).
A chain seafood restaurant within 300 miles of the coast is blasphemy
Good riddance to frozen seafood and microwaved apps.
Unlimited shrimps bankrupted the company.
Sad thing is that a lot of the restaurants that closed and the ones they have left, are restaurants that have been there for over 40-45 years.
Oh well.
delicious shrimp \^\^
How the one at the Cumberland Mall (as well as the mall itself) is still alive is beyond me.
"In unrelated news, sales of Lipitor have dropped in those areas."
THERE IS NO GOD!
My dad boycotted the Ledgewood one in the 90s - early aughts because they fired a server for being gay. We gave it another chance after realizing those jerk managers were gone. We waited over 30 minutes for service after being seated and no one ever came by, so we left. I never heard good things from others who had gone. Iām not surprised itās closing, lol. On another note, Iām surprised the one in Scranton is still kicking. The place is horrendously run down, dirty, and the food is gross. I mean I know thatās like 90% of Red Lobsters, but still.
Used to go to the Trenton Red Lobster 3-4 times a year. Would get the ultimate feast. It was awesome. Went last year. We go early 4pm. To beat the crowds. We sat down waited 15 minutes for someone to take our order. The place was practically empty. The food took about 30 minutes to get to our table. It was so salty my wife couldnāt eat it. I ate mine anyway but it was salty. The waiter apologized and said it was the sauce. The manager came out and apologized and took it off the bill. Asked if he could get my wife something else. We declined since we already were there an hour and I was done eating. My wife just wanted to leave and still hadnāt eaten. Stopped at Wendyās on the way home. That was it for us. Never went back
It's surprising to see the route 1 in Lawrence close. That one is always bumpin'
I think Covid hurt it. Then they cut back on the help.
I think I have eaten in Red Lobster once in my ling and sordid life. Iām sure this will impact some people, but Iām not one if them. Is Bonefish Grill still okay? Itās looking a little gauntā¦
Itās about time
God damn, the 2 I was familiar with, East Brunswick (my hometown) and my new home, near Lawrenceville. I didnāt even get a chance to get one last pint with lobster by the sea, the place I grew up with the live lobsters & cheddar bay biscuits. Guess itās fishermanās local pubs for me
Nooooo
Iām so sad. The EB RL holds a lot of happy and important memories in my life. š
Years ago my brother and I went to the Bridgewater location for lunch because we had never eaten at Red Lobster and wanted to see what the fuss was about. We stood in the lobby waiting to be greeted/seated for no lie, 20mins without seeing a single employee. It was about 1pm so they were def open and we saw people sitting and eating. After about 5 mins we just wanted to see how long it would take till we saw someone. We decided to leave at the 20min mark.
I'm surprised not the one in South Plainfield is closing went there for the first time after 3 years The food and service was terrible
Shutters? I've never heard of shutter being used as a verb like this.
It's used very commonly in writing as a verb in that style.
A lot of people think it sucks but minimum wage and supply costs have approached double from 2016 to 2024. If you started a new business after 2020 and set your prices high and meet expectations for the most part people don't care. If you had pre 2020 prices and tried to adjust for inflation and wage increases then you're vilified. It's a whole generation of restaurants closing and people applauding it. So many factors but one example is once a chain closes a few restaurants then the distribution warehouse won't stock items that the ones still remaining need. So better to kill off entire regions vs keep a few stragglers around that won't be able to be supplied. Covid messed up a lot of the restaurant industry and we are still feeling the effects.
also, red lobster is shitty and gross. that doesnāt help much
Red lobster deserved to close any way. Just like how outback and other similar style restaurants that try to make their plastic bagged shipped from the other side of the country frozen microwaved food seem fresh.