Popular Mexican restaurant chain closes more locations

The Mexican restaurant sector's economic issues in 2025 have continued into 2026, as dining chains close underperforming locations.

Despite certain Mexican chains facing economic issues, the market size of the sector is expected to rise from $76.2 billion in 2025 to $80.2 billion in 2026, according to Business Research Insights.

Underforming Mexican restaurants

On The Border Mexican Grill & Cantina, had about 120 locations at the beginning of 2025 and closed or vacated 40 non-performing stores on Feb. 24, 2025, because of problems with rent and/or financial performance.

It later filed for Chapter 11 bankruptcy on March 4, 2025, with plans to sell its assets to its prepetition bridge loan lender.

Fast-food chain Taco Cabana, which had operated 146 restaurants in New Mexico and Texas, closed five locations in September 2025.

Torchy's Tacos difficult decisions

This year, popular fast-casual Mexican restaurant chainTorchy’s Tacos announced it will close four of its locations in two states on Feb. 3, 2026, after evaluating the performance of its portfolio.

“After carefully evaluating performance across our portfolio and our long-term plans for the brand, we’ve made the difficult decision to close the locations,” the company said in a statement sent to the media.

“The decision to close a restaurant is never an easy one. We’re incredibly grateful to the team who dedicated their time and energy to these locations,” the statement said.

Session Taco closes locations

And now, Mexican restaurant chain Session Taco has closed another location with plans to open a new dining concept in the space.

The St. Louis-based casual Mexican chain, which at one time operated nine locations in Missouri, closed its Session Taco store in St. Charles, Mo., on Feb. 13, with plans to open a new restaurant in the space, to be known as Sobremesa, the chain announced in a Facebook post.

Sobremesa is a Spanish term for the tradition of hanging out after a meal to converse, relax, and connect with family and friends.

New restaurant planned

The new restaurant will continue serving tacos and burritos, but will add soups, salads, fajitas, and other new entrees, according to the post.

The restaurant space will be renovated, adding some booths, more lower seating options, warm colors, new lighting, and artwork.

Session Taco closed the St. Charles restaurant about three weeks after closing its location in Kirkwood, Mo., on Jan. 25, 2026, as reported by St. Louis Magazine.

The mexican restaurant chain closed its Town and Country location in St. Louis in November 2025 after opening in April 2024.

Difficult to gain traction

"We signed the lease there in early 2023 when restaurants were seeing a post-Covid boom, but then the restaurant sales started declining across the country the second half of 2023, and by the time we opened it was very difficult to gain any traction at the location, despite mostly positive reviews," Co-owner Adam Tilford told KSDK-TV after closing.

The chain in December 2025 closed its Central West End location in St. Louis and rebranded the restaurant as Lapez Mod Mex, according to the Webster-Kirkwood Times.

Session Taco had some setbacks since opening as Mission Taco Joint in 2013, facing a trademark infringement lawsuit in 2023, and completing a name change in September 2024.

The Mexican restaurant chain settled a lawsuit with Mission Foods parent Gruma in November 2023, agreeing to change its name from Mission Taco Joint, after the Mission tortillas maker sued the restaurant chain for trademark infringement.

Session Taco’s owner explained that the restaurant dropped the M and the I in the Mission Taco Joint name and added an S and an E to come up with its new name.

“And yes, if you drop the M and the I, you have Session Taco. And yes, this was intentional,” owner Tilford told KTVI-TV.

The chain has either closed or rebranded six locations since expanding to as many as nine locations by 2022.

Session Taco’s menu features 13 different taco choices, 5 burrito options, 9 starter choices, 6 side dishes, and other items, such as chicken fajita quesadilla, a fajita bowl, carne asada fries, and an LA Street Dog. The menu also offers 4 different kid’s meals.

Remaining Session Taco locations

• 908 Lafayette Ave., St. Louis, Mo.
• 6235 Delmar Blvd., St. Louis, Mo.
• 409 E. 18th St., Kansas City, Mo.

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