Sugar Factory closes at least five U.S. restaurants, leaving Illinois and Michigan without locations

TheStreet

Sugar Factory has permanently closed at least five U.S. restaurants since early 2026, in Miami, Chicago, Rosemont, Jacksonville and Detroit. The closures leave Illinois and Michigan without a location; reasons varied by site, with some not publicly disclosed.

At Jacksonville, inspection records showed numerous health-code violations and temporary shutdowns tied to rodent and insect activity, FirstCoast News reported. Rosemont’s closure came amid financial difficulties and a legal dispute over ownership, its franchise agreement and lease, the Daily Herald reported; no public reason was given for the Chicago or Detroit closures.

The article cites broader restaurant cost pressures but does not establish them as the reason for these closures. U.S. food-away-from-home prices rose 3.4% in the 12 months through August 2026, and the National Restaurant Association said 33% of operators were unprofitable in the first half of 2026.

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