LA's dining apocalypse as 300-plus spots close this year
Key Points:
- Los Angeles has seen at least 301 restaurant, bar, and cafe closures in 2026, a 25% increase from 2025, with rising minimum wages, insurance costs, and regulatory hurdles cited as key factors.
- High-profile closures include Employees Only, Crustacean, Pineapple Hill Saloon, and Everson Royce Bar, reflecting widespread challenges from escalating expenses and declining customer spending.
- Hospitality industry veterans highlight soaring labor costs, utility bills, and bureaucratic red tape as threats to business viability, with some owners considering exiting California altogether.
- The crisis extends beyond restaurants, impacting related sectors like architecture and construction, while new businesses struggle with slow and costly city licensing processes.
- In response, outgoing LA Mayor Karen Bass signed an executive directive aimed at reducing regulatory burdens and supporting restaurants through grants and streamlined services.