An Australia-Based Restaurant Brand Abruptly Closes All Its Chicago-Area Stores

Australian-based Mexican fast-casual chain Guzman y Gomez has shut down all eight Chicagoland restaurants and exited the U.S. market.  

Written By Deepali Singla
Street view of Guzman y Gomez restaurant in Naperville (Image credit: Joe Kain | Google Reviews)

Guzman y Gomez has abruptly closed all eight of its Chicagoland restaurants. The restaurants ceased operations on May 22, 2026, marking the brand’s exit from the U.S. market. Its global operations continue as normal. The company is also facing a lawsuit over claims it failed to provide the required employee notice period.

Guzman Y Gomez Exits U.S. Market

Guzman y Gomez is an Australia-based fast-casual chain known for Mexican-inspired cuisine. It expanded its footprint to the U.S. market in 2020. The brand opened eight restaurant locations in Chicagoland over six years.

However, the expansion did not meet the company’s expectations, and it exited the U.S. market. The eight Chicagoland locations that closed on May 22 are listed below, according to the brand’s Instagram announcement and website update.

  • Evanston: 1710 Sherman Ave, Evanston, IL 60201
  • Naperville: 1519 N Naper Blvd, Naperville, IL 60563
  • Crystal Lake: 5459 Northwest Hwy, Crystal Lake, IL 60014
  • Des Plaines: 2741 Mannheim Rd, Des Plaines, IL 60018
  • Buffalo Grove: 120 McHenry Rd, Buffalo Grove, IL 60089
  • Schaumburg: 795 E Golf Rd, Schaumburg, IL 60173
  • Deerfield: 636 Deerfield Rd, Deerfield, IL 60015
  • Bucktown: 1624 N Damen Ave, Chicago, IL 60647

In the closure announcement, the company said, “After six years of burritos and big dreams in Chicagoland, we’ve made the difficult decision to close our US restaurants.”

The restaurant team thanked guests and staff for their support and for trusting the brand for their meals. The brand’s global presence remains unaffected by the U.S. closures, as the post ended with, “If you’re ever in Australia, Singapore, or Japan, come find us – we’ll have your favs waiting for you.”

Class-Action Lawsuit Filed in the State

According to a report by Business News Australia, the U.S. division of Guzman y Gomez has not been getting the sales momentum the company had hoped. So it has closed its Chicagoland restaurants and exited the country.

Switching to more profitable markets, such as Australia, Singapore, and Japan, was a more suitable option for the company, as continuing operations in the U.S. would take longer and require more capital investment, the report highlighted.

The Guardian reported that soon after the closures, a class action lawsuit was filed in Illinois on behalf of former employees. The employees claimed the company had violated the federal WARN and Illinois laws.

Employees allege they were not given 60 days’ notice of the restaurant’s closing and that they received the information on May 21. The lawsuit calls for damages for lost wages and benefits tied to the sudden closings.

About the Mexican Restaurant Chain

New Yorkers Steven Marks and Robert Hazan founded Guzman y Gomez in Sydney, Australia. The duo wanted to share their love of authentic Mexican flavors and fresh ingredients with the fast casual market in Australia.

The brand is inspired by traditional Mexican street food. The menu at Guzman y Gomez restaurants features made-to-order burritos, tacos, quesadillas, nachos, enchiladas, and breakfast items.

Guzman y Gomez grew from a small restaurant in Newtown, Sydney, to a giant global brand with presence in Australia, Singapore, Japan, and finally the USA. The brand has also integrated drive-thru service and digital ordering for customers’ convenience.

While exiting the U.S. market, the brand continues to expand across its international locations. The firm recently revised its Australian earnings outlook. It has announced that it will allocate its resources to areas of its operations with better long-term momentum and profitability, as cited in the report by The Guardian.

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Deepali Singla is a food technologist by discipline and a seasoned, versatile writer by profession. Her passion for writing emerged during her academic journey. With a strong foundation in research, she excels at crafting well-researched content. Combining technical knowledge with a flair for storytelling, Deepali brings depth and clarity to her work.
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