On The Border Restaurants Closing

It is interesting since they were bought by Pappas only last year.
https://www.chron.com/food/article/on-the-border-restaurant-closures-22300153.php

Sucks for people who worked there, but this is not a loss on the food scene imo. They sucked.

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Not sure the last time I ate at one, of course they were pretty much only in suburbs around Houston for the last 15-20 years and not in the city. Last time though I went for nostalgia because I was near one but was really disappointed.

I know they sucked, but they were an oasis of Tex Mex at a few rare locations in SoCal. Only ate there once every few years, as it wasn’t convenient, but Tex Mex is really hard to find out here.

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It really is. It took me a bit to find something that scratched the itch when I was there.

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That’s why places like Qdoba and Taco John’s survive in the Midwest. :laughing:

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The OTB salsa continued to be carried by grocery stores,and it was pretty good.

Suppose the salsa also goes away?

Maybe not, if it was a licensed product. I rember they had chips too. By the way, you just reminded me when I lived in Tucson my first apartment was right behind an On The Border. There was a Black Eyed Pea across the street too.

Ever try Acapulco’s? Not Tex Mex but their fajitas and margaritas scratched my itch

Not bad, but I prefer El Cholo to be honest. Have you tried Arturo’s Puffy Taco in Whittier yet?

Authentic San Antonio Puffy Tacos, and the rest of the menu is pretty decent Tex Mex.

But it’s essentially a taco stand with some seating.

In Tucson there was an OTB on Broadway, not far from U. of A. Campus.

We went there for Taco Tuesday. Their Beer was cold and delicious!

It declined after Covid,and we quit going.

Sad. Used to be a good place.

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Wouldn’t be surprised to see some Pappasitos opening in some of the locations. Better food and atmosphere.

Maybe, but I can’t imagine that was their plan when they bought the brand.

Location, location, location. Retail and restaurants plus tax write offs.

Except they could have immediately started transitioning them into Pappasitos if that’s all they wanted. I don’t think On The Border owned any real estate. The “tax write offs” you mention is just the depreciation on the stepped up leasehold improvements, they could have gotten that from buying any new assets. Really though, that’s spending dollars to save pennies.

My thinking, and from the reading of the announcements as well as the overhaul they did to the menu, this really was a strategic acquisition for growth of the brand. However when it wasn’t getting the turn around as quickly as they liked, they looked at other economic issues and decided to cut bait.

Sure they have the IP and income from the retail products or licensing of them, as well as some franchise fees from the non company owned stores that remain open. But now they have 60 locations that will be idle while they either let leases expire, sell the lease, or remodel and rebrand to reposition. The brand must have been a big drag, because otherwise they may have slowly closed the underperforming stores to transition instead of all of them all at once.

I’m sure they will turn this acquisition around and get some ROI but I really believe they didn’t buy it with the plan to kill it after a year.

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