What’s happening with Applebee's closures in 2025
In 2025, Applebee’s has continued a gradual store reduction that has been underway for several years, closing underperforming locations while keeping the majority of its restaurants operating. These moves reflect ongoing adjustments to traffic patterns, labor challenges, and competitive pressures in the casual dining segment. Below is a clear, fact-focused look at which stores have closed, why the exits occur, and how the closures affect customers, employees, and the brand’s long-term outlook.
Confirmed and reported Applebee's closures in 2025
Company-wide totals remain in flux as operators update leases and franchise agreements, but the observable pattern shows selective exits in markets where sales and traffic have struggled to recover. Not all rumored closures are confirmed; only locations with verified closure dates or formal announcements are treated as confirmed below.
| Metric | Verified Detail | Source Type |
|---|---|---|
| Applebee's locations open in 2024 | Approximately 1,700 | Company filings and franchise disclosures |
| Applebee's locations closed in 2025 (confirmed) | Low-double-digit range reported through midyear | Franchise notices, lease records, local news confirmations |
| Applebee's locations as of mid-2025 | Slightly below 1,700, still above 1,600 | Proprietary estimates adjusted for confirmed exits |
Why Applebee's is closing some stores
Closings are primarily driven by a combination of structural shifts in dining behavior, elevated operating costs, and performance gaps in specific markets. Unlike a rapid exit, Applebee’s approach is methodical, targeting sites that show persistent revenue shortfalls or limited recovery prospects.
- Traffic and transaction trends: Lower visit frequency and smaller checks in certain metro areas.
- Labor and occupancy pressures: Wage inflation and rising real estate costs squeeze thin margins.
- Portfolio optimization: Reallocating resources to stronger-performing units and formats.
- Competition: More dining options, including fast-casual and delivery-centric concepts.
How closures affect customers and communities
For diners, the loss of a nearby Applebee’s can mean fewer casual dining choices, especially in secondary markets and mid-density suburbs. In some neighborhoods, the space is repurposed quickly; in others, the gap persists, reflecting underlying demand dynamics.
Employees face the immediate impact of job displacement, with severance and transition support varying by franchisee and location. Applebee’s corporate and franchise partners sometimes assist with relocation or transfer options where feasible, though availability depends on proximity and staffing needs.
Applebee's business model and what’s next
Units, formats, and franchise structure
Applebee operates as a mix of owned and franchised restaurants, with the majority run by franchisees who make location-level decisions about leases and staffing. This structure means closures often originate with franchisees responding to local conditions, rather than a top-down shutdown campaign.
Menu, marketing, and experience tweaks
To counter traffic softness, Applebee’s has continued to refresh menus, streamline operations, and test limited-time offers focused on higher-margin items. These adjustments aim to improve unit economics without requiring every location to hit the same volume thresholds.
Comparing Applebee's to peers in casual dining
| Attribute | Verified Detail | Source Type |
|---|---|---|
| Store count range (mid-2025) | 1,600–1,700 | Company ranges and franchise reports |
| Annual sales trend (recent years) | Mixed; modest recovery in some segments, declines in others | Restaurant industry analyses |
| Closure pace versus earlier years | Moderate, selective versus sharper exits in prior contractions | Lease and market data |
Relative to some larger competitors, Applebee’s closure rate in 2025 is modest, consistent with a strategy of trimming underperformers while preserving a broad restaurant footprint. The chain’s emphasis on operational tweaks and menu focus reflects an attempt to stabilize unit economics without aggressive downsizing.
What to watch going forward
Key indicators that may signal shifts in Applebee’s footprint include quarterly franchise disclosures, lease expirations in major markets, and public statements about format innovation. For now, the pattern aligns more with steady normalization than a crisis-driven retreat.
Customers can expect selective changes at individual locations rather than sweeping corporate announcements. Employees and local partners should monitor franchisee communications and regional labor market trends for near-term implications.
Frequently asked questions
- Is Applebee's going out of business in 2025?
- Which regions saw the most Applebee's closures this year?
- Will closed Applebee's locations become something else?
- Are Applebee's employees being laid off en masse?
- How can I find reliable information on Applebee's closures near me?
No. The chain remains one of the largest casual-dining brands in the United States, with roughly 1,600-plus locations still operating. The modest number of 2025 closures reflects ongoing portfolio refinement, not a systemic exit.
Confirmed exits through mid-2025 are spread across multiple metros, with higher shares in markets where traffic recovery and wage growth have lagged. No single region accounts for a majority of closures.
Some former Applebee buildings have been repurposed for other food-service or retail uses, while others remain vacant until new operators step in. Outcomes depend on local real estate dynamics and lease terms.
Employment impacts are localized to closing units. Corporate and franchise partners typically handle transitions case by case, with severance and, where possible, assistance toward internal transfer options.
Check local news outlets for confirmed reports, review county property records for lease cancellations, and consult Applebee’s corporate or franchisee contacts for the most accurate, location-specific guidance.