70-year-old Mexican dining chain closes location, no bankruptcy

Core Insights - Smaller Mexican restaurant chains are facing significant challenges in 2025, leading to closures and some going out of business due to rising costs, declining customer traffic, and unsustainable lease rates [1] Group 1: Reasons for Closures - Chains are citing rising labor and product costs, a decline in customer traffic and sales, and unmanageable lease rates as primary reasons for shutting down locations or ceasing operations [1] - Matteo's Authentic Mexican Food closed all four of its Texas locations, attributing the decision to rising inventory costs, declining sales, and a commitment to high-quality ingredients [2] - Session Taco has closed or rebranded four locations after expanding to nine by 2022, indicating struggles in maintaining profitability [3] Group 2: Specific Closures - Taco Cabana, a larger chain, closed five underperforming locations in September 2025, highlighting the broader trend of closures among Mexican restaurant chains [3] - Monterey House, a 70-year-old chain, is closing its Beaumont, Texas location after 62 years, with the owner suggesting retirement as a factor in the decision [4][5] - The owners of Monterey House expressed pride in their long-standing presence in the community and gratitude towards their customers and staff [6]