On The Border Mexican Grill & Cantina, the casual Tex-Mex dining chain founded in Dallas in 1982, is permanently closing all of its company-owned restaurants. Operations for the affected corporate locations will officially cease on Friday, June 12, 2026.
The shutdown directly impacts the brand’s corporate footprint, following abrupt notifications delivered to restaurant managers and staff members only days or hours prior to their final shifts.
Texas is On The Border’s largest market, and the DFW metroplex is getting hit incredibly hard. A whopping 12 local North Texas spots are shutting down their grills for good this Friday:
- Arlington
- Bedford
- Burleson
- Cedar Hill
- Denton
- Fort Worth
- Garland
- Mansfield
- Mesquite
- McKinney
- Rockwall
- Weatherford
A select number of independently operated franchise locations will remain open. These ongoing operations are primarily located in California, Florida, Nevada, and South Dakota.
“This decision follows a thorough evaluation of the business and was not made lightly. We are currently evaluating the future of the On The Border brand and exploring a range of strategic options,” OTB Hospitality under Pappas Restaurants said in a statement.
The corporate closure concludes a multi-year period of financial instability for the legacy brand, driven by shifting post-pandemic consumer habits, rising labor costs, and inflation.
On The Border filed for Chapter 11 bankruptcy protection in March 2025 while burdened with more than $25 million in debt. This restructuring resulted in the immediate closure of roughly 40 underperforming locations nationwide.
In May 2025, Pappas Restaurants purchased On The Border out of bankruptcy for $15.9 million. Following the acquisition, Pappas implemented a sweeping menu overhaul. However, the changes drew mixed reactions from long-standing customers.
While the physical restaurant footprint is closing, the On The Border products will still be available in grocery stores.
