The slow-motion disappearing act of a Texas dining icon continues.
Houston-based Luby’s, Inc. announced in June that it would be selling its operations and assets to pay down debt and distribute proceeds to stockholders.
The announcement came weeks after the company temporarily suspended service at 50 Luby’s Cafeteria locations in the face of the threat from the coronavirus.
While some Luby’s locations around the state have reopened for delivery and take-out service, including three in the Austin area, the Brodie Lane location has closed permanently.
A sign on the door at the restaurant in Sunset Valley that originally opened in 1992 announces that the restaurant’s equipment, sold at auction since late June, will be removed starting Saturday.
Luby’s, which appeals to an older crowd more at risk for complications stemming from COVID-19, released a bleak third-quarter statement in late July that showed the cafeterias’s sales were down about 74% compared to the third quarter of 2019.
"Luby's restaurant sales were significantly impacted (like all restaurant operators) by the unprecedented nature of the COVID-19 pandemic and sate and local governments' responses, which resulted in temporary store closures and limited service at operating stores," the company wrote in a release.
Luby’s still operates 70 locations in Texas, according to its website, including Austin locations on MoPac, US 183 and William Cannon Drive, though 23 of them remain temporarily closed. Luby’s, Inc. announced in late 2018 that it had closed 21 of its restaurant locations in the pprevious year.
Luby’s was founded by Robert Luby in San Antonio in 1947, but the headquarters for the parent corporation, which includes Fudruckers and Cheeseburgers in Paradise, moved to Houston in 2001 after Pappas Restaurants owners Chris and Harris Pappas bought a majority stake in the company.
Historic restaurant closures: Dart Bowl | Magnolia Cafe West | Shady Grove | Threadgill’s