June 3, 2024
Taco empire closes almost 50 restaurants, including its last in the Bay Area
Casual Mexican and fish taco chain Rubio’s Coastal Grill will no longer operate in the Bay Area.
The company headquartered in Carlsbad (San Diego County) abruptly closed 48 stores, around one third of its total franchises, on Friday. This included two outlets in the South Bay, a company spokesperson told the Chronicle. A company statement said it cut “underperforming” locations and cited the “rising cost of doing business in California.”
Assembly Bill 1228, known as the FAST Act, went into effect on April 1 and bumped the minimum wage for fast food workers up to $20 an hour, among other protections. Fast food franchise operators have opposed the law, claiming it will raise prices and force job cuts. A spokesperson for the company said the South Bay locations were shut down as part of this move.
Though the spokesperson did not confirm which South Bay locations closed, two of Rubio’s last three locations in the Bay Area were in San Jose’s Brokaw Plaza and Sunnyvale, according to a 2023 SFGATE story. (SFGATE and the Chronicle are both owned by Hearst but operate independently). Those two locations are now closed, according to the company’s website. A Rubio’s in Pleasant Hill closed in 2023, the spokesperson said.
The Los Angeles Times first reported on the company’s abrupt action.
Rubio’s Coastal Grill, which has operated under the names Rubio’s Baja Grill and Rubio’s Fresh Mexican Grill, launched in 1983. Founder Ralph Rubio was inspired by fish tacos he had on spring break in San Felipe, Baja California as a student at San Diego State University. The company claims to have sold 270 million fish tacos since. Rubio’s also offers burritos and Mexican-style bowls and salads.
In October 2020, Rubio’s filed for Chapter 11 bankruptcy, with a plan that culled 36 underperforming restaurants and restructured its debt, the San Diego Union-Tribune reported. The Mercury News reported four Bay Area locations closed as part of this bankruptcy process.
Rubio’s still operates 86 locations in California, Arizona and Nevada. The majority of these are in Southern California.