Applebee’s Restructuring: Planned Closures and New Dual-Branded Ventures
Applebee’s Restructuring Strategy
Applebee’s is currently undergoing a significant restructuring initiative that spans several years, which involves shutting down underperforming outlets while simultaneously launching new dual-branded locations in partnership with IHOP, under the umbrella of Dine Brands Global. The company anticipates closing between 20 to 35 restaurants in 2025 as part of its efforts to optimize operations and address escalating costs.
Upcoming Closures in 2025–2026
In Evansville, Indiana, two longstanding Applebee’s establishments on East Morgan Avenue and Pearl Drive have unexpectedly closed their doors after nearly three decades of service. Signage has been taken down, and a message expressing gratitude to patrons for their support has been posted.
In Glenville, New York, the Applebee’s located at 268 Saratoga Road is set to close permanently on April 12, 2026. The company has attributed this decision to economic difficulties, including increased food, utility, and labor expenses that rendered the site unviable.
Other closures include a location in Columbia, Missouri (West Stadium Blvd/I-70 Drive SW) on February 18, 2026, after 30 years of operation. Additionally, eight restaurants in the Kansas City area were shut down in late 2024 due to a franchisee bankruptcy, impacting sites in Mission, Overland Park, and Olathe. Other permanent closures have been noted in Appleton, Wisconsin (December 2024), Sarasota, Florida (May 2025), and Little Rock, Arkansas (December 2023).
Despite these closures, Applebee’s continues to operate approximately 1,500 locations across the United States, two territories, and 15 countries. The company has plans to establish 80 dual-branded Applebee’s/IHOP restaurants by the end of 2026, with the first combined venue having opened in Seguin, Texas, in February 2025, and further expansions on the horizon.
This strategic shift comes as franchisees grapple with rising costs for fuel, food, and utilities, alongside evolving consumer preferences. While some communities bid farewell to their familiar dining spots, Applebee’s asserts that these changes are designed to foster long-term stability and growth.
FAQs
How many Applebee’s restaurants are closing? The company has projected 20 to 35 closures in 2025 as part of its restructuring strategy.
Why are locations closing? The closures are primarily due to increasing operational costs and diminished profitability at specific sites.
Is Applebee’s shutting down completely? No, the chain continues to operate around 1,500 locations globally.
What is the dual-brand concept? This concept merges Applebee’s and IHOP under one roof, sharing kitchens and staff to enhance efficiency and revenue.