Austin’s Taqueria Chapala restaurant will be closing its Cesar Chavez Street location. The owner announced the closure on social media, citing lease renewal issues.
Taqueria Chapala Prepares for Farewell
A longtime family-owned Mexican restaurant, Taqueria Chapala, has confirmed its closure. The restaurant at 2101 E. Cesar Chavez St. is expected to close in September 2026, according to the MYSA report.
The restaurant is currently operated by brothers Mauricio Lopez and Manuel Lopez. Co-owner Manuel Lopez announced the closure in a Facebook post on July 2.
Taqueria Chapala has been part of the Austin dining scene for nearly three decades and is known for its traditional Mexican cuisine. The menu includes mouthwatering Mexican dishes like quesadillas, tacos, and tortas.
In addition to its East Cesar Chavez Street restaurant, Taqueria Chapala operates two other locations in the Austin area.
Reason for the Closure
In the closure announcement post, Lopez highlighted that the sudden closure decision was led by a dispute over the lease renewal with the owners. Lopez explained that on May 1, the property owners visited to collect rent and tax payments and gave a document to Lopez to sign. The document stated that the owners would not renew the lease.
Lopez said he signed the document without reading it, calling it a mistake. “I wasn’t given any other options,” shared Lopez. Lopez said the property owners verbally confirmed on June 15 that they would not renew the lease.
Lopez mentioned, “I tried to reach an agreement, but they told me someone else was going to rent it and that they were going in a different direction.”
He also clarified that “the rumor about our rent being raised to $20,000 is not true. We were not allowed to renew our lease at any price.”
As a result of the lease dispute, Taqueria Chapala will close its East Cesar Chavez Street location in September while continuing to operate its other Austin-area restaurants.
