McCormick and Schmick's only has 15 U.S. retaurants left

As the economy continues to struggle, Americans have not stopped eating out. They have, however, become more careful with their dollar, according to

"Although inflation is slowing, cost-conscious consumers are eating more at home or at lower-cost fast-food restaurants, where the average check is $7.92, about half the average check at a sit-down restaurant, according to CREST, a database from consumer insight firm Circana, Time reported.

Across restaurants and retail dining, consumers are not cutting back entirely. They are trading down within categories, shifting spending from premium experiences to lower-cost alternatives that still feel like a treat.

That has caused problems for sit-down restaurants.

"A whole lot of these companies are finding their sales aren't turning out to be as strong as expected," Jim Sanderson, a restaurant industry analyst for Northcoast Research, told Time.

Customer traffic at full-service restaurants in the third quarter of 2024 was down 3% from a year ago and is 17% below the same period in 2019, according to CREST.

And, while the overall number of restaurants has climbed, a number of chains have either closed numerous restaurants or gone out of business entirely.

"The restaurant industry is notoriously competitive," Sara Senatore, a Bank of America analyst who specializes in restaurants, told Investopedia. "And in the current environment, what we're seeing is a return to intense competition."

McCormick & Schmick's, a steakhouse concept now owned by Landry's has been steadily shrinking over the past 15 years, and the current economic situation has accelerated its problems, leaving it much smaller than in the chain's heyday.

McCormick & Schmick's faces cheaper competition

Steak remains a popular option for American diners, but many are trading down to get it.

In 2024, Texas Roadhouse became the biggest casual dining chain, surpassing Olive Garden, which had held the top spot since 2018, according to research firm Technomic, CNBC reported.

"There's something about steak that it really rings true to the consumer as still being kind of an elevated or a premium consumption or dining experience," Stephens equity research analyst Jim Salera told CNBC.

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Chains like Texas Roadhouse and Longhorn Steakhouse, however, have given consumers options for a steak dinner that's cheaper than a traditional, high-end steakhouse.

"There is a tension between what people want and what they can afford," Darden CEO Rick Cardenas told Nation's Restaurant News. "Consumers continue to seek value … and food away from home is one of the most difficult expenses to give up because going out to a restaurant is still an affordable luxury for them."

McCormick & Schmick's keeps closing restaurants

Market conditions have created increased problems for pricier restaurants like McCormick and Schmick's.

Texas Roahouse and Longhorn Steakhouse, two budget steak chains, sit at the top of the 2025 American Customer Satisfaction Index (ACSI) ratings for full-service restaurants.

"The current inflationary environment is benefiting some of these brands as higher-income consumers opt for more affordable chain restaurants over pricier alternatives. This is definitely worth monitoring," said Forrest Morgeson, an assistant professor of marketing at Michigan State University and director of research emeritus at the ACSI in a press release.

McCormick & Schmick's, which had over 100 locations during its heyday, now has 15 U.S. restaurants listed on its official location page, as of April 2026, placing it below ACSI's restaurant coverage threshold.

McCormick & Schmick's: Closures since 2024

McCormick and Schmick's, which was purchased by Landry's in 2012, according to SEC documents, did not have a single moment when the chain lost dozens of restaurants. Instead, it has been slowly contracting.

Most closures stand on their own:

• Chicago Loop location closed after lease expiration (2025): The downtown Chicago McCormick & Schmick's closed after its lease expired, ending its long-running presence in the Loop," according to NBC Chicago.
• Ongoing portfolio shrink under Landry's (2024-2025): The chain has continued to contract as parent company Landry's removes underperforming locations and consolidates its restaurant portfolio, reported NRN.
• Steady closures tied to lease exits and underperformance (2024-2025 trend):
  
  Industry reporting notes continued closures across multiple markets as leases expire and underperforming units are cut from the system, according to SeafoodSource.
• Houston-area and legacy market reductions continuing into 2025-2026:
  
  Additional closures have been reported in legacy markets, including Houston, as part of ongoing consolidation, according to the Houston Chronicle.
• More locations close: A McCormick and Schmick's restaurant in Portland, Oregon closed in March of this year, which was the last location in the state, according to KGW8.
• Landry's makes replacements: In Atlanta, Georgia, Landry's also announced that one of its restaurant concepts, Mastro Ocean Club, will soon take over a former McCormick & Schmick's location in the city, What Now Atlanta reported.

The company does not comment on the specific closures. It did share a broad statement.

"As a company with over 500-plus locations, some of which have been open for over 20 years, we make the strategic decision to close certain locations given traffic patterns and new developments," Senior Vice President and Chief Administration Officer Karim Tamir told SeafoodSource.

"Locations, markets, and customer patterns naturally change," he added.

Related: Popular 41-year-old Mexican restaurant closing

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This story was originally published April 26, 2026 at 7:00 AM.