Chi-Chi’s is making a comeback after closing 20 years ago.
The Mexican chain once had more than 200 locations before the last restaurant closed its doors in 2004.
Now, the founder’s son is leading the comeback with a plan to reopen Chi-Chi’s locations in 2025.
Michael McDermott, son of Chi-Chi’s founder Marno McDermott, who opened the restaurant in 1975 with former Green Bay Packers player Max McGee, signed a deal with Hormel Foods, owner of Chi-Chi’s trademarks, allowed him to open and update the eponymous restaurant, according to a press release.
McDermott, like his father, built a career in the restaurant industry and is behind the Kona Grill and Rojo Mexican Grill brands.
McDermott plans to honor his father’s legacy by bringing back the Chi-Chi’s restaurant experience everyone knew and loved — with a modern twist.
“I still have fond memories of growing up in the Chi-Chi restaurants that my father built throughout their time, instilling in me the passion and determination to pursue my career in the restaurant industry,” he said in a statement.
“We have seen the impact our restaurant has had on individuals and families across the country and believe there is a strong opportunity to bring the brand back in a way that resonates with today’s consumer – an updated dining experience with the same taste of wonderful and Mexican flavor.
Chi-Chi’s struggled through a series of ownership changes and filed for Chapter 11 bankruptcy in October 2003, according to Restaurant Business Magazine.
Later that month, an outbreak of hepatitis A at a Pennsylvania location was traced to green onions at Chi-Chi’s. It eventually became the largest hepatitis A outbreak in US history, sickening 660 people, resulting in four deaths and leading to more than 300 victims suing for damages.
In 2004, the chain closed the remaining 74 restaurants, which were purchased by Outback Steakhouse in a $42.5 million deal and converted to their own brands, including Outback Steakhouse, Carrabba’s Italian Grill and Bonefish Grill.
Although the chain closed, the brand was still alive internationally and in grocery stores under Hormel Foods, packaged salsa, tortilla chips and other supermarket products — which will still be available when restaurants reopen.
The first two Chi-Chi’s locations to open in its comeback will be in Minnesota, where the restaurant chain first got its start nearly 50 years ago.
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