The Whataburger sign went dark on December 15, 2024, at 11:59 p.m. as the doors closed for the last time at seven Southern locations, with one additional location in Athens, Georgia closing on December 14, 2024. The beloved Texas brand pulled the plug on these eight restaurants in Alabama, Georgia, and Tennessee—less than a year after most opened.
The once-bustling drive-thrus and dining rooms now sit vacant, leaving local communities stunned. Why did these fast-growing sites close so abruptly? Was it a sign of trouble ahead for Whataburger’s ambitious Southeast expansion, or a smart move to refocus its efforts?
Regional Jolt
The closures are striking, especially in college towns and fast-growing suburbs that Whataburger targeted for its expansion into the Southeast. Locations in Auburn, Tuscaloosa, Athens, and Middle Tennessee were poised to cater to heavy student and commuter traffic.
Their swift reversal is making waves in local communities where the brand had become an integral part of daily life.
Rapid Expansion
Whataburger has been expanding aggressively in the Southeast, opening dozens of new locations in cities like Atlanta and Nashville since late 2022. However, that rapid pace of growth seems to have come with its own set of challenges.
The chain’s desire to transform from a Texas favorite into a regional powerhouse may have exceeded what some markets could handle, leading to operational strains.
Growing Pains
Some of the shuttered locations were less than a year old, highlighting a fast shift in expectations. Locations opened between March 2024 and July 2024 are now closing, with several North Georgia locations seeing only light traffic.
It seems the chain’s ambitious expansion exceeded market demand and faced execution issues, casting doubt on the pace at which the brand can scale successfully.
Eight Stores Gone
Whataburger is permanently closing eight restaurants across three states. Four locations are in Tennessee, two in Georgia, and two in Alabama, all closing at 11:59 p.m. on December 15, 2024, except for the Athens location which closed December 14, 2024.
While these closures represent less than 1% of the brand’s total locations, it’s clear that the company is being selective, focusing on pulling back from underperforming areas rather than retreating entirely.
Local Fallout
The closures have a significant impact on communities. College towns like Auburn and Tuscaloosa in Alabama, as well as Athens, Georgia, will lose Whataburger as a late-night dining option.
In Tennessee, suburbs like Murfreesboro, Mt. Juliet, and Clarksville will also be without a drive-thru. Residents in these areas are left grappling with sudden changes to their fast-food landscape.
Jobs In Limbo
Employees affected by the closures are being offered transfers to nearby locations. While this mitigates some of the impact, it doesn’t eliminate the inconvenience.
Workers in smaller markets with fewer alternative options face long commutes, schedule shifts, or tough choices about staying with Whataburger as doors close for good.
Strategic Refocus
Whataburger insists these closures are part of a broader strategy, not a retreat. The company says it regularly reviews locations to focus on areas with the most growth potential.
Shutting underperforming sites allows the company to redirect resources to higher-volume areas, refining its expansion model for greater long-term success.
Bigger Growth Plan
Despite the closures, Whataburger is planning a massive expansion for 2026. The company intends to open around 70 new locations, with more than 40 focused on the Southeast.
This move signals a commitment to high-potential markets, even as the company scales back in others. The closures should not be viewed as a failure but as a recalibration of its approach.
Collateral Closures
Along with the Southeastern pullback, Whataburger also closed a 20-year-old downtown Houston tunnel location on September 22, 2024. According to company statements, the closure was attributed to reduced traffic due to remote work and the tunnel’s limited operating hours.
The company’s decision to close this long-standing location reflects how the brand is reassessing its urban presence in response to changing customer routines post-pandemic.
Franchise Expansion Challenges
In Georgia, closures are linked to rapid expansion by franchise operators in the metro Atlanta area.
Market conditions and execution challenges in competitive metropolitan areas resulted in lower-than-expected traffic at several locations, making these sites less viable.
Ownership & Leadership
Whataburger’s rapid growth since its 2019 acquisition by BDT Capital Partners, a Chicago-based investment firm, has been fueled by a desire to scale the brand across the country. The company has grown from approximately 828 locations in 10 states to over 1,100 locations in 17 states.
This acquisition has influenced the company’s decision to invest heavily in new states while updating technology and formats, including digital-forward locations. The current closures are a test of how this growth strategy evolves.
Notable Innovation
The Tuscaloosa location made headlines for being one of Whataburger’s first “digital-forward” restaurants, featuring food lockers for order pickup and kiosks for ordering.
The location also notably did not feature the company’s signature orange branding on its exterior to maintain aesthetic consistency with the local Auburn-colored environment, honoring the regional college rivalry.
Comeback Strategy
Despite the closures, Whataburger is committed to continuing its expansion in the Southeast, with new Nashville-area locations slated for 2026 and beyond.
The company continues to open new sites in Georgia, including recent locations in Duluth (opened September 22, 2024) and East Cobb (opened December 1, 2024). These closures represent less than 1% of the total locations and are part of a strategy to strengthen its position in the long term.
Skeptical Outlook
Industry analysts and local commentators remain skeptical about Whataburger’s ability to succeed in new markets. National chains often face challenges when trying to replicate the home-market excitement.
Several commentators have pointed to operational inefficiencies and underperformance in certain regions, questioning if the closures are indicative of deeper issues.
Sources:
“Whataburger closing 8 locations this month ahead of next phase of growth.” Yahoo News, 15 Dec 2025.
“[WOW] Whataburger Will Now Close A Total of Eight Locations in Georgia, Alabama & Tennessee.” Tomorrow’s News Today, 11 Dec 2025.
“2 Whataburger locations closing in Alabama college towns.” The Bama Buzz, 14 Dec 2025.
“Downtown Houston’s tunnel Whataburger is closing.” Chron, 18 Sep 2025.