Chi-Chi’s Announces Plans to Reopen Restaurants 20 Years After the Chain Closed All Locations

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Chi-Chi’s is making a comeback.

The Mexican restaurant chain had more than 200 locations before closing its last restaurant’s doors in 2004. On Tuesday, Dec. 3, news broke that the founder’s son is leading the charge to reopen Chi-Chi’s locations in 2025.

A Chi-Chi’s source confirmed to PEOPLE that they will open two restaurants in Minnesota in 2025.

Michael McDermott, whose father Marno McDermott opened Chi-Chi’s in 1975 with Green Bay Packers alum Max McGee, signed an agreement with Hormel Foods to open and update Chi-Chi’s, according to a press release.

Michael plans to follow in his father’s footsteps and continue the same Chi-Chi’s taste with a slight twist. “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 great taste and Mexican flavor,” he said in a press release.

There have been no other details about the renewed restaurant’s menu or locations shared as of Wednesday, Dec. 4.

Marno and McGee grew the restaurant chain to hundreds of locations nationwide during the chain’s nearly 30-year run. A release cites “a series of ownership changes” as the cause of the chain’s closure in 2004. 

But right before the chain completely shuttered all of its restaurants, a Pittsburgh-area location had a hepatitis A outbreak traced to green onions in the restaurant’s complimentary salsa. The outbreak caused 650 people to fall ill and four deaths. The incident is the largest hepatitis A outbreak in the U.S., according to CNN.

Over the last 20 years, the brand has continued to diversify its offerings in packaged salsas, tortilla chips and other supermarket products — all of which will continue to be available as the restaurants open.

Chi-Chi’s isn’t the only beloved chain restaurant that previously faced financial woes pursuing a fresh face today, as Red Lobster recently announced its own round of new updates.

Starting on Monday, Dec. 2, customers can pop into the seafood chain for happy hour drink and food deals. Monday through Friday from 3 p.m. to 6 p.m. local time, guests can score $5 drinks and $2 off select appetizers.

Red Lobster filed for bankruptcy in May and has closed over 100 restaurants since that announcement. However, as of September, the chain announced that it is close to exiting bankruptcy, per a press release.

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