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IHOP closes branch due to safety concerns: what happened?

PANCAKES IHOP

The international restaurant chain IHOP announced the definitive closure of its branch in the city of Culiacán, Sinaloa, Mexico, due to the growing insecurity in the region. The announcement was made on December 30, 2024, through a statement on the chain’s social media platforms.

In the statement, IHOP expressed: “With great regret, we inform you that IHOP Culiacán is closing its doors due to the growing insecurity in our city. This difficult decision aims to prioritize the safety of our team and you, our customers.”

The message also included words of gratitude toward the local community, recalling shared moments since the branch opened in 2019, located at Torre Tres Ríos, in front of Plaza Fórum. “We carry the love and warmth of the people of Culiacán in our hearts,” the company noted.

2024, a year of fury and fear in Culiacán

Culiacán has faced an increase in violence since September 2024, stemming from clashes between factions of the Sinaloa Cartel following the kidnapping of Ismael ‘Mayo’ Zambada by the sons of Joaquín Guzmán Loera, known as ‘Chapitos.’ This situation has affected not only the quality of life for residents but also the economic activity of the region.

‘Mayo’ Zambada was considered the leader of the Sinaloa Cartel, the main criminal organization trafficking fentanyl to the United States. He was arrested on July 25, 2024, in El Paso, Texas, USA. The capture took place at a private airport, where Joaquín Guzmán López, son of Joaquín “El Chapo” Guzmán, was also arrested. Reports indicate that Guzmán López subdued Zambada, facilitating his arrest.

According to the Confederation of Employers of the Mexican Republic (Coparmex), insecurity in the city has led to the closure of at least 85 businesses and the loss of 25,000 jobs in recent months. Additionally, economic losses are estimated at 18 billion pesos, while local business sales have decreased by up to 70%, according to data from Concanaco Servytur.

READ ALSO: Norovirus 2024: what is it and what are the symptoms of the infection that is causing alert in the USA?

Impact on the economy and business operations

IHOP’s closure adds to a growing list of companies that have reduced or suspended activities in Culiacán. Chains like Grupo Coppel and Oxxo have implemented measures such as adjusted hours, safe transportation for employees, and temporary closures to protect their staff and ensure operational continuity.

The IHOP branch in Culiacán was one of more than 50 units the chain operates in Mexico, a country IHOP entered in 2008 with its first unit in Monterrey, Nuevo León. Currently, IHOP is present in cities such as Mexico City, Mérida, Chihuahua, and Cuernavaca.

IHOP’s closure in Culiacán marks the first known case of an international chain deciding to cease operations in the city due to insecurity. However, the company did not detail the financial impact or the number of employees affected.

In its farewell message, IHOP left open the possibility of returning to Culiacán in the future, hoping for improved circumstances.

Here is IHOP’s statement announcing its closure in Culiacán:

NOTICE

To our beloved community:

With great regret, we inform you that IHOP Culiacán is closing its doors due to the growing insecurity in our city. This difficult decision aims to prioritize the safety of our team and you, our customers.

Over these years, we have had the privilege of being part of this wonderful community, sharing unique moments: family breakfasts, celebrations, and so many smiles.
We carry the love and warmth of the people of Culiacán in our hearts.

We hope that circumstances improve and that we can meet again in the future. Thank you for your loyalty and support throughout this time.

With gratitude,
IHOP Culiacán

Facts and statistics about IHOP

  • IHOP, known as the International House of Pancakes, is a global restaurant chain. In 2023, IHOP operated 1,814 restaurants worldwide, an increase of 33 establishments compared to the previous year.
  • Most of these restaurants, 1,696, are located in the United States, while 118 are in international markets.
  • In Mexico, IHOP has experienced steady growth, expanding from 51 restaurants in 2022 to 54 in 2023. This makes Mexico the country with the largest IHOP presence outside the United States. In Latin America, besides Mexico, IHOP operates in Ecuador (7 restaurants), Puerto Rico (7), Panama (3), and Peru (2).
  • IHOP primarily operates through franchises, with 1,657 franchised restaurants in 2023.
  • The chain generated approximately $3.56 billion in the United States in 2023.

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