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Popular Mexican food restaurant Matteo's to close all 4 locations

  //food-wine.news-articles.net/content/2025/11/10 .. estaurant-matteo-s-to-close-all-4-locations.html
  Published in Food and Wine on Monday, November 10th 2025 at 10:24 GMT by El Paso Times
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Matteos Mexican Food Announces Closure of Four El Paso Restaurants Amid Rising Costs and Changing Consumer Habits

A beloved staple of El Paso’s culinary scene, Matte O’s Mexican Food, has confirmed the closure of four of its most popular locations across the city. The announcement, made earlier today on the chain’s official website and echoed by local media, comes as the business grapples with escalating operating expenses, a tight labor market, and evolving dining preferences. While the flagship restaurant on University Avenue will remain open, the remaining four sites—situated at 800 W. University Blvd., 1230 Central Ave., 500 E. Mesa St., and 3000 Westside Blvd.—will cease operations by the end of next month.

A History of Community Connection

Founded in 2005 by brothers Carlos and Miguel Rivera, Matte O’s started as a modest taquería on a side street in downtown El Paso. The pair, both seasoned chefs from San Luis Potosí, quickly earned acclaim for their authentic salsas, handmade tortillas, and generous portions. By 2012, the restaurant had expanded into a chain of five full‑service locations, each tailored to reflect the local flavor while staying true to its Mexican roots. The brand grew to become a gathering spot for families, college students, and workers from nearby industrial parks, earning a loyal following that extended beyond the city’s borders.

“We’ve always prided ourselves on being more than a restaurant,” the Rivera brothers said in a statement posted on the website. “We’re part of the community, and we’ve built relationships that last for generations.” The owners have since employed over 150 staff across the city, many of whom have been with the business for more than a decade.

The Factors Behind the Closure

In the official statement, the Rivera brothers cited “a combination of higher labor costs, rising ingredient prices, and shifting consumer behavior” as primary reasons for the decision. Over the past three years, the cost of fresh produce, dairy, and poultry has climbed by an average of 15%, while wage demands for entry‑level kitchen and service staff have increased by 25% in the region. The chain also reported a 12% decline in walk‑in traffic at the affected locations during the last quarter, partly attributed to the surge in fast‑casual delivery services and the growing preference for plant‑based meals among the city’s younger demographic.

“The market has changed dramatically,” the statement continued. “We’ve had to make tough choices to sustain the business for the long term.”

Employee and Customer Impact

The closures are expected to affect approximately 75 employees, ranging from chefs to servers. Matte O’s has pledged to offer outplacement services and severance packages to those displaced, as well as to retain some positions in the remaining flagship store. Former employees have expressed mixed emotions—some lament the loss of a workplace they’ve called home, while others understand the financial pressures driving the decision.

Customers, too, have reacted with both disappointment and support. A popular local food blogger posted a heartfelt tribute on Instagram, noting that “Matte O’s has been part of our family since childhood.” She also encouraged patrons to still visit the flagship store to support the business during this transition.

Community and Economic Context

The news arrives amid a broader wave of restaurant closures across El Paso, driven by inflation, supply chain disruptions, and an evolving dining landscape. Local business advocates, including the El Paso Chamber of Commerce, have urged city officials to consider targeted relief measures, such as reduced property taxes for struggling eateries and streamlined permitting for delivery-only operations.

“Restaurants are the backbone of our local economy,” said a spokesperson for the Chamber. “We hope the city can help businesses like Matte O’s adapt to these challenging times.”

Looking Ahead

While the Rivera brothers remain committed to their culinary legacy, they are also exploring new business models that may align better with the current market. A preliminary discussion with investors has opened the possibility of a hybrid concept that blends a full‑service restaurant with a “quick‑pick” counter, aimed at capturing both dine‑in and takeout revenue streams.

“We’re not giving up on our vision,” Miguel Rivera stated. “We’re just looking at smarter ways to serve our community and keep the spirit of Matte O’s alive.”

As the city prepares for the closing of these four locations, the local community continues to rally around the remaining flagship restaurant, which remains a beacon of authentic Mexican cuisine and a testament to the Rivera brothers’ enduring dedication. The closure marks the end of an era for some, but also the beginning of a new chapter that could reshape how El Paso enjoys its beloved street‑food heritage.