MINNEAPOLIS – Minnesota-born Mexican restaurant chain CHI-CHI’s is making a comeback, twenty years after ending its “celebration of food.”
CHI-CHI announced Wednesday that a new agreement has been reached with Minnesota-based Hormel Foods, which has owned the restaurant’s trademarks since 1987.
The deal gives Michael McDermott, the son of CHI-CHI’s co-founder Marno McDermott, use of the restaurant name at physical locations set to open in 2025.
CHI-CHI’s was founded in 1975 by Marno McDermott and former Green Bay Packer Max McGee, with the first location opening in Richfield in 1976. At one point there were more than 200 locations across the country.
Associated press
Ownership changed hands several times over the next three decades, with the demise of the franchise coming in 2004 with the one-two punch of bankruptcy and a hepatitis A outbreak at one of the sites near Pittsburgh, killing four people and sickening nearly 600 others.
The owners of Outback Steakhouse then spent millions to buy dozens of locations and convert them into their own family of restaurants.
Michael McDermott, who also co-owns the Kona Grill and Rojo Mexican Grill chains, said he has “fond memories” of the franchise his father helped build.
“We have seen the impact our restaurant has had on individuals and families across the country and believe there is a great opportunity to bring the brand back in a way that resonates with today’s consumers: an updated dining experience with the same great taste and Mexican flavor.” ,” said Michael McDermott.
There’s no word yet on where the locations will be, and it will indeed return to its home state of Minnesota.
