Another bygone restaurant chain is making a comeback as the appetite for nostalgia shows no signs of slowing.
Chi-Chi’s, the popular Mexican restaurant that began in Minnesota nearly 50 years ago, will return in 2025 with an updated look.
Michael McDermott, son of Chi Chi’s founder Marno McDermott, has struck a deal with Minnesota-based Hormel, which owns the Chi-Chi’s trademarks, to use the name on physical restaurant locations. Although the last restaurant closed in 2004, the brand lives on in the supermarket aisle with packaged seasonings, salsas, chips and tortillas.
“I still have fond memories of growing up in the Chi-Chi’s restaurants that my father built throughout their time, instilling in me the passion and determination to pursue my own career in the restaurant industry,” said Michael McDermott, whose Twin Cities-area restaurants include Rojo Mexican Grill, Tavern 23 and Kona Grill.
“We’re happy to play a part in helping bring that back to the consumer, to the restaurant patron,” Hormel Foods CEO Jim Snee said in an interview Wednesday. “We know that it has been one of people’s favorite restaurant chains from the past, and I do think it’ll be a lot of fun to see it again.”
Austin-based Hormel still sells plenty of Chi-Chi’s salsa and has no plans to stop.
“It is still an important brand for our portfolio,” Snee said. “This is another way to support the brand and marketing; it’s really good for us as well.”
Chi-Chi’s isn’t the only Twin Cities’ retro chain revival. Earlier this year, Steak and Ale opened in Burnsville as diners seek both comfort and value. Chi-Chi’s was a popular gathering spot known for its endless baskets of chips and salsa, supersized margaritas, Tex-Mex dishes and birthday celebrations that involved sombreros. News of its return was met with enthusiasm and walks down memory lane.
