As dozens of Red Lobster restaurants across the US suddenly closed this week, the question remains; could Canadian locations soon follow suit?
The Florida-based casual dining seafood chain is reportedly sinking due to onerous leases and labour costs.
Last month, Bloomberg reported the restaurant was considering filing for Chapter 11 bankruptcy.
Red Lobster has since temporarily closed at least over 87 locations across the US, according to USA Today.
TAGeX Brands — a restaurant and food industry equipment auctioneer — announced it will be selling off items from some of the shuttered US locations.
Red Lobster locations CLOSED as of yesterday. We have 50+ auctions LIVE — largest restaurant liquidation ever — with fixtures, furniture, and equipment. WINNER TAKES ALL. Foodservice operators, outfit your ENTIRE operation for a fraction of the price. https://t.co/Y7XUZAuDgJ pic.twitter.com/nktHFOfLSs
— TAGeX Brands (@TAGexBrands) May 14, 2024
On LinkedIn, TAGeX referred to the sale as “the largest restaurant liquidation EVER through its online auction marketplace.”
The chain has 27 locations in Canada, with restaurants in Alberta, Manitoba, Ontario, and Saskatchewan. Daily Hive reached out to Red Lobster for comment on the potential closures of its Canadian restaurants but did not receive a response before deadline.
Ken Wolter/Shutterstock
Currently, all of Red Lobster’s Canadian locations are listed as “open” on its website.
Bloomberg noted that “restructuring discussions are ongoing” for the troubled chain. Filing for Chapter 11 bankruptcy allows the restaurant company to continue operations while creating a plan to cut its debts.
If you’re a Canadian Red Lobster fan, it seems you’ll still be able to fill up on the restaurant’s cheesy biscuits and popcorn shrimp — for now, at least.