Major SoCal fast food chain closing up to 200 locations nationwide

Last Updated on April 24, 2025 by The HD Post Staff

CALIFORNIA – Jack in the Box announced April 23, that it will close 150 – 200 underperforming restaurants nationwide.

The Southern California-based company introduced its ‘JACK on Track’ plan, which includes selling select real estate holdings, discontinuing dividend payouts, reducing debt, and closing stores.

With 2,200 Jack in the Box restaurants across the country, over 900 of them are in California.

New Jack in the Box CEO Lance Tucker said the plan is a ‘return to simplicity for the Jack in the Box business model and investor story.’

Shift towards an asset-light business model

Tucker said the Jack in the Box brand operates at its best within an asset-light business model.

This means the company will rely more on franchised restaurants rather than owning and operating locations directly. This shifts costs and risks to franchisees while earning revenue through royalties and fees.

According to the news release, Jack in the Box will close 80-120 restaurants by the end of this year, with the remaining underperforming restaurants closing thereafter.

The company said a majority of these underperforming locations have been in the system for over three decades.

Jack in the Box may sell the Del Taco brand

As the owner of the Del Taco chain, Jack in the Box is exploring various options for the brand, including a possible sale.

The company also plans on making improvements to its existing Jack in the Box restaurants.