Wahlburgers locations closing after Hy-Vee in-store deal ends: fast-casual burger chain joins list of restaurants with smaller footprint

Fans of the casual dining burger chain Wahlburgers will be disappointed to know that a majority of its locations will shutter within the next two weeks.

That’s because a partnership between Wahlburgers—which was founded by actors Mark and Donnie Wahlberg and their brother Paul—and the Midwestern grocery store chain Hy-Vee is ending. Here’s what you need to know.

What’s happened?

The Hy-Vee grocery store chain is ending a partnership with Wahlburgers. In a January 20 press release, the company announced that it will “transition all its in-store restaurant locations across the Midwest to Hy-Vee Market Grille locations.”

Though the release didn’t mention Wahlburgers by name, those “in-store restaurant locations” are a reference to the burger chain.

In 2018, Hy-Vee, which operates 240 stores across Illinois, Iowa, Kansas, Minnesota, Missouri, Nebraska, South Dakota, and Wisconsin, began replacing many of its existing Market Grille locations with Wahlburgers restaurants. The company is now transitioning the Wahlburgers back to Market Grilles.

As noted by Restaurant Business Online, the ending of the Hy-Vee–Wahlburgers partnership will see Wahlburgers lose a majority of its locations. In total, Hy-Vee will be losing 79 in-store Wahlburgers, leaving the burger chain with just around 40 of its current locations.

Why is the partnership ending?

In its press release, Hy-Vee did not state why it was transitioning its restaurant locations back to Market Grilles. All the company stated was that the new Market Grilles would have “a brand-new menu that primarily focuses on breakfast and burgers.”

Fast Company reached out to Hy-Vee for comment.

What has Wahlburgers said about the news?

Wahlburgers CEO Randy Sharpe has said that the burger chain wants to focus on its actual restaurant locations instead of the locations inside grocery stores, according to Restaurant Business Online. The company was reportedly not happy with the performance of the Wahlburgers in Hy-Vee stores.

“We are growing restaurants,” Restaurant Business Online quotes Sharpe as saying. “We’re not going to be in the grocery business.”

Fast Company has reachedout to Wahlburgers for comment.

When will the Wahlburgers closures be complete?

Hy-Vee says that the transition to Market Grille stores will be completed by February 4. After that date, Wahlburgers will still have around 40 locations across America.

Wahlburgers CEO Sharpe also said the company expects to open another 15 locations in 2025.

Wahlburgers was founded in 2011. The burger chain was popularized thanks to a reality TV series called Wahlburgers that ran on A&E beginning in 2014.

Last year, many family-style and fast-casual restaurant chains announced closures and adjustments to their existing footprint, including Red Lobster, BurgerFi, Tijuana Flats, Rubio’s Coastal Grill, and Roti.