We asked readers why Lexington restaurants keep closing. Here’s what they said
AI-generated summary reviewed by our newsroom.
- Readers cite higher costs, rent and supply inflation as drivers of restaurant closures.
- Reduced downtown foot traffic and pandemic work shifts cut diner demand.
- Calls for policy, incentives and landlord collaboration to stabilize downtown dining.
After six Lexington restaurants closed in the past seven weeks, we asked Kentucky.com readers for their thoughts about what’s happening.
They were not shy about sharing why they are eating out less: Higher prices, unexciting choices, dampened appetites for food and alcohol due to GLP1s, and just too many restaurants were consistent themes among the many thoughtful responses.
Here’s what our readers said:
Downtown Lexington in trouble
“This should be a major red flag for our city,” wrote Erin Goins, who operates the Bites of the Bluegrass walking tours that visit local restaurants and bars. “It’s devastating to see locally owned businesses closing their doors. These places are more than storefronts — they’re part of what gives our downtown its personality, its culture, and its sense of community.”
She succinctly outlined many issues that business owners are facing: Higher rents, higher food and supply costs. Parking challenges. And, of course, repercussions of the pandemic.
“COVID permanently changed the landscape. Many people no longer work downtown daily, and foot traffic simply isn’t what it once was.,” Goins said. “That means we need new strategies. If we want a thriving downtown, we need policies and partnerships that support small businesses — incentives that make it possible for entrepreneurs to open and stay open, rent structures that encourage occupancy rather than vacancies, and real collaboration between city leadership, property owners, and business operators.
“A vibrant downtown doesn’t happen by accident. It takes intention, investment, and a willingness to listen to the people trying every day to keep our city alive and interesting.”
But the problems are not isolated to downtown: While Zim’s Cafe, in the historic courthouse on Main Street, was downtown, many of the businesses were not: Joella’s Hot Chicken was in the busy Hamburg shopping area; Sam’s Hot Dogs was in between Fayette Mall and Lexington Green. Tolly-Ho and Bad Wolf Burgers had recently been near the University of Kentucky campus (although Bad Wolf moved back to Leestown.) One, Columbia Steak Express, was on Southland Drive and offered only delivery or carry out.
So the problems are not universal. But there are just so many pain points, readers said.
Diners have less to spend
“Most folks, us included, now look at the prices rather than just sign the slip. There have been days were we now spend over $100 at mid-level restaurants. If we keep within a budget, that means fewer meals eating out,” said frequent restaurant diner McAllister Bryant, who commented in the Herald-Leader’s Facebook group for restaurant and food lovers. “As pointed out by others on this thread, we are facing economic issues. Costs go up, but wages ... not so much. There is a tipping point, and we are quickly heading toward it.”
Lexington chef Ruth Ralph also commented: “Food cost on every single item I use has doubled since 2023. I could raise prices to national average, but Kentuckians just won’t pay that. Throw in tax hikes and insurance through the roof, and we are all fighting a loosing battle with no end in sight.”
Too much of the same choices
Others pointed to oversaturation in the Lexington market and lack of exciting choices.
“Another thing is the restaurants that keep coming are just the same ol’ things. Fast food chains, burgers and wings, steak houses, Mexican food etc. Where’s the Eastern European restaurants? Where’s the African cuisine spots? There are so many markets that could be being tapped in here, but we get another burger joint or a Mexican restaurant,” said Christina Baldridge Abney.
GLP1s dampening appetite for food, drinks
And people aren’t only eating less — they’re drinking less too.
Alcohol consumption is at its lowest level in decades, a trend that has been attributed to a variety of factors including cost and increased use of GLP1 medications, such as Ozempic, that reduce appetite across the board.
The hospitality industry depends on the high profits on alcohol to boost overall bottom lines, which have very little margin.
Tipping pressures
Other commenters pointed at more societal issues: “The modern American restaurant model is kind of built on a quiet contradiction. We culturally expect restaurant meals to be cheap, abundant, and fast. At the same time, we want high-quality ingredients, ethically sourced food, nice ambiance, and friendly, attentive service. Those things don’t coexist easily in the same spreadsheet. So the system solves the tension by pushing costs onto labor and customers in indirect ways instead of pricing food at what it actually costs to deliver sustainably,” said Paulie Felice. “Tipping is the most obvious example of this. Restaurants structurally underpay servers and then outsource wage responsibility to the customer. ... From the customer’s perspective, it feels like you’re being nickel-and-dimed for something that should have been priced in from the start. Nobody’s really happy with it, but the whole industry is propped up on it.”
What restaurant owners say
Krissy Fraser, chef and co-owner of Courtyard Deli downtown, summed things up: “This business is brutal. Those of us hanging on for dear life are hoping that our originality, uniqueness and great local food will find you customers coming back after this financially devastating winter. Yes. We all are the neighborhood gathering places. Our food is hand-crafted because it’s our passion.”