The Cherry Creek Food Hall in Greenwood Village, Colorado, permanently closed its doors on November 30, 2024. RCI Hospitality Holdings, the owner of the food hall, cited high labor costs and inconsistent business as reasons for the closure. This announcement comes just two years after RCI acquired the establishment, formerly known as The Grange, from Denver restaurateur Troy Guard.
Financial Challenges Lead to Closure of Cherry Creek Food Hall
RCI CEO and President Eric Langan stated that the Cherry Creek Food Hall was not generating sufficient returns to justify the investment. The challenges of maintaining a consistent level of business, coupled with significant labor costs, ultimately led to the difficult decision to shut down the operation. The food hall, a 12,500-square-foot venue, housed a diverse array of food vendors, a microbrewery, a bar, and an arcade.
The Cherry Creek Food Hall, formerly The Grange, prior to its acquisition by RCI Hospitality Holdings.
From The Grange to Cherry Creek Food Hall: A Short-Lived Venture
RCI acquired The Grange in 2022 for $5.2 million, a deal that included a cash payment and a five-year financing note. The company rebranded the establishment as the Cherry Creek Food Hall, aiming to capitalize on the vibrant culinary scene in the Cherry Creek area. The food hall offered a wide variety of cuisines, including sushi, artisan sandwiches, Korean dumplings, charcuterie, Mexican dishes, pizza, and ramen. Despite this diverse offering, the food hall struggled to maintain profitability. One of the vendors within the Cherry Creek Food Hall was a branch of RCI’s Bombshells restaurant chain, known for its chicken wings, salads, and resemblance to establishments like Hooters and Twin Peaks.
RCI Shifts Focus to Other Ventures
Despite the closure of the Cherry Creek Food Hall, RCI is continuing its expansion in other areas. The company plans to open a military-themed Bombshells restaurant in downtown Denver in January 2025. RCI also owns and operates several adult entertainment venues in the Denver metro area.
RCI’s Restaurant Business and Future Plans
While primarily known for its adult entertainment clubs, RCI has been venturing further into the restaurant industry with its Bombshells brand. However, the company recently announced plans to sell three underperforming Bombshells locations in Texas. In addition to the Denver Bombshells project, RCI is also working on opening a Rick’s Cabaret and Steakhouse in Central City, Colorado, in the spring of 2025. This venture has faced legal challenges, with RCI currently involved in a federal lawsuit with Central City regarding permits for the location. The opening date for the Rick’s Cabaret and Steakhouse remains uncertain due to the ongoing litigation. RCI’s original plan to open two casinos in Central City, one under the Rick’s brand and another as a Bombshells casino-restaurant, was withdrawn in May 2024 after the company withdrew its request for Colorado gaming licenses.
