Restaurant chain once frequented by Kardashians files for bankruptcy after 36 years
A 36-year-old Southern California brunch chain filed for Chapter 11 bankruptcy, owing over $1 million after rent disputes and construction woes forced multiple closures.
TL;DR
- Marmalade Cafe, a 36-year-old Southern California restaurant chain, filed for Chapter 11 bankruptcy protection on September 2.
- The company owes more than $1 million to creditors including Gilmore Farmers Market and US Foods.
- Reasons for the bankruptcy include rent disputes, mounting supplier debts, unsustainable financial losses, and lack of rent relief.
- Several locations have closed in recent years due to construction disruptions, loss of business, and financial losses.
- The four remaining locations in El Segundo, Malibu, Sherman Oaks, and Westlake Village are reportedly still open and healthy.
- The restaurant industry, particularly in California, is facing challenges from rising costs in rent, wages, insurance, and utilities.
- Marmalade Cafe has downsized its workforce from over 200 employees to about 50.