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Fast-Casual Overexpansion Leaves A Graveyard Of Failed Chains In Its Wake


Fast-casual is exploding in the US, but not every eatery can keep pace and the casualty list keeps growing as the US experiences one of the largest restaurant shake-ups in years.

Three restaurants went under in just one week, with Cosi; Don Pablo’s parent Rita Restaurant Corp; and Garden Fresh Corp, operator of Souplantation and Sweet Tomatoes, seeking Chapter 11 bankruptcy protection, the Wall Street Journal reports. At least five other eateries have filed for protection this year.

One reason for the consolidation is the disparity between restaurant supply and foot traffic—between 2006 and 2014 the number of restaurants in the US jumped by 7.3% while the US population grew at 6.9% and foot traffic didn’t keep pace. [WSJ]