The subway closed more locations in 2024, and the US continues to decline for several years
More than 600 metro sandwich restaurants closed in 2024, and the decline has continued for nearly a decade.
Scripps News
- Fat Brands, owner of Smokey Bones, converts about half of the location into a Twin Peaks restaurant.
- The move aims to take advantage of the higher profitability of Twin Peaks, a sports bar similar to the Hooters.
- 9 inadequate Smokey Bones locations will close and 30 will be rebranded.
Fat Brands Inc., a global company behind dozens of iconic food chains such as Fazoli’s and Fatburger, is shifting the business model of barbecue favourite Smokey Bones across the country.
This is what you need to know.
What will happen to the rebrand?
Under the new company, low-performing locations will be closed, with half of all smoky bones moving to an all-new restaurant, Twin Peak.
When did the fat brand buy smoky bones?
With over 2,300 franchise stores in 40 countries, Fat Brands purchased Barbecue Bar and Grill from Sun Capital Partners Private Equity for $30 million in 2023. In early 2025, Fat Brands created the Twin Hospitality Group, the operating unit of the Twin Peaks and Smokey Bones brand. Proceeds from the IPO help repay the debts of the parent company, which owns 95% of its twin hospitality stocks. In return, sports bars will focus on opening up more places with the funds they receive.
Fill in the blank
Twin Peaks is a growing brand in the US, filling the niche left behind by the odd Hooters.
“Converting the Smokey Bones location to Twin Peaks provides a return on investment as it cuts construction time of about a year and a half for a standing restaurant with similar area and real estate draws like Smokey Bones,” said Ken Kuick, co-finance director at Fat Brands in a statement. “Twin Peaks is our fastest growing concept, creating a strong, growing average unit volume.”
According to 2024 revenue call statistics, Twin Peak’s profits were split into shifting lower performance locations to more profits, as they are four times higher in margins compared to BBQ joints.
How many places will be closed?
The company announced it would be closed to a low-performing location on March 9th. These locations have not been announced.
Will it be rebranded?
With nine restaurants closed, 45 can be rebranded. Of the 45, 30 Smokey Bones restaurants will be rebranded over time, the company said in its first statement.
Of the 54 locations, nine will close. Then 45 is reduced again. The company said in its first statement as the remaining 30 will be rebranded as Twin Peaks restaurants over time. According to a report from National Restaurant News, the first Smokey Bone was in Lakeland, Florida location in late 2024.
How many locations will the Smokey Bones remain?
Eventually, the Smokey Bones will be reduced to the remaining 15 locations. At the brand’s highest point, Smokey Bones had over 100 locations nationwide. The company has yet to say which Smokey Bones location will close or convert to the Twin Peaks brand.
What is Twin Peak?
Twin Peaks are similar to Hooters. The restaurant serves cold drinks, American food, and most of the food.
Think of a casual sports bar with twin peaks on display. Following the popularity of Hooters in the 90s and 2000s, the dining spot offers cold drinks, American food, and most of it. According to Twin Peaks location trackers, there are 109 locations in the US. In the short term, the company plans to open at least 11 new locations by the end of 2025, capping it to 650 locations across the United States in the distant future.
Which place is next to it?
Communication appears to be limited as to which location is next to the chopping block. Even employees in some places seem to be left in the darkness.
“When (the fat brand) first bought us, they sent a small number of people to check out our restaurant and came and went within 5-10 minutes,” the employee said at a Springfield, Illinois location. “It was quite a while ago six months ago, but I haven’t heard anything since.”
Calls to the general manager to check the restaurant’s status were not answered as of June 25th.
Claire Grant writes about the business, growth, development and other news topics for the state’s Journal Register. She can contact clgrant@gannett.com. and x (formerly known as Twitter): @claire_granted
