2 Twin Cities Red Lobsters Closing After Endless Shrimp Promo: Report

TWIN CITIES, MN — Two Red Lobster locations in the Twin Cities metro area are reportedly among the 23 set to close this week.

The news comes as Red Lobster continues bankruptcy proceedings, CNN reported. The latest round of closures means the restaurant chain will only have about 500 locations left, down from 650 in 2023.

Minnesota locations closing this week

• 8900 Golden Valley Road, Golden Valley
• 12515 Elm Creek Blvd. North, Maple Grove

Red Lobster will have 11 eateries in Minnesota that will remain open.

Red Lobster’s bankruptcy was expected. Last year, its “Ultimate Endless Shrimp” promotion was intended as a limited-time offer but brought in enough new customers that the chain added to its permanent menu in June. Customers gobbled it up, and the chain reported fourth-quarter 2023 losses of $12.5 million, according to CNN.

In its Chapter 11 bankruptcy petition, Red Lobster said it had more than $1 billion in debts and less than $30 million cash on hand.

The chain is in the process of being sold off to Fortress Credit Corp., a lender that also owns Krystal, Logan’s Roadhouse, and J. Alexander’s.

In June, Red Lobster said its remaining restaurants will remain open and continue operating as usual during the bankruptcy process.

“This restructuring is the best path forward for Red Lobster. It allows us to address several financial and operational challenges and emerge stronger and re-focused on our growth,” CEO Jonathan Tibus said in a news release. “The support we've received from our lenders and vendors will help ensure that we can complete the sale process quickly and efficiently while remaining focused on our employees and guests.”