Red Lobster closing its oldest location amid financial woes
Red Lobster is closing a landmark location in Florida as part of its ongoing restructuring efforts.
The iconic location at 2583 North Monroe St. in Tallahassee is closing its doors on May 24, the store’s manager and employees confirmed to the Tallahassee Democrat, part of the USA TODAY Network, on May 18.
The Tallahassee location, about 250 miles from Red Lobster's first-ever location in Lakeland, Florida, opened with pomp and fanfare in 1970 and is considered the chain's oldest continuously operating restaurant, the Tallahassee Democrat reported, adding its closure marks the "end of an era" for locals.
At the time of its opening, the Red Lobster was touted bringing "family priced seafood" to the capital in an atmosphere designed to make you feel "at home," according to the Democrat. An ad from its original opening had baby shrimp, crabmeat and baked oysters for $1.85 each, while steak and lobster were priced around $3.55.
Although the longstanding location was able to escape the mass Red Lobster closures that impacted 130 stores, including 17 in Florida, after the chain filed for Chapter 11 bankruptcy in May 2024, even hosting a grand "re-opening" with new menus focusing on "wild caught" seafood flavors in October 2024, it doesn't appear to be lucky this time around.
Red Lobster did not immediately respond to USA TODAY's request for more information on why the location was shuttering. However, the Tallahassee Democrat reported the store is closing as part of the company’s ongoing restructuring.
Red Lobster focused on 'repair' work, CEO says
Damola Adamolekun, who became the chain's CEO in August 2024, told The Wall Street Journal in February that the chain might need to close more locations to continue its successful post-bankruptcy emergence.
Red Lobster has about 460 locations in 44 states listed on its website, about 20 fewer than in February when Adamolekun told WSJ, "There’s a lot of positive signs, but we inherited a very damaged brand, so there’s still work to do to repair all of that.”
The restaurant chain's 2024 bankruptcy came after years of challenges. The company posted a $76 million net loss in 2023, the year it made its Endless Shrimp offer a $20 permanent menu item (previously it had been offered for a limited time).
Red Lobster faced other issues, including significant debt, management changes, high inflation and rent expenses and a decline in customers, court documents revealed. The "endless shrimp" promotion, which has become a signature for Red Lobster, resulted in $11 million of the 2023 net loss, then-CEO Jonathan Tibus said in the bankruptcy filing.
'Endless shrimp' returns
When he became CEO, Adamolekun removed the endless shrimp menu item to relieve stress on the restaurants' kitchens. Adamolekun told the WSJ that the chain's sales have increased by about 10% from last year, with younger people exploring Red Lobster.
Fortunately for Red Lobster fans, endless shrimp made a limited-time comeback starting April 21 for dine-in only at participating locations in the United States and Canada. Red Lobster did not specify when the promotion would end.
Find Red Lobster near me
To find a Red Lobster restaurant near you, visit the Red Lobster locator at redlobster.com/seafood-restaurants.
Contributing: Greta Cross, Saleen Martin, Mike Snider / USA TODAY
Saman Shafiq is a trending news reporter for USA TODAY. Reach her at [email protected] and follow her on X and Instagram @saman_shafiq7.