The woman who ran one of America’s most famous restaurants for 55 years has blamed the pandemic, corporate overhead and California’s rising minimum wage when she closed her doors for the last time.
Marilyn Leviton, 91, opened Arby’s on Hollywood’s Sunset Boulevard in 1969 and her 10-gallon hat sign became a landmark on the strip, drawing millions of customers to try her roast beef sandwich.
But diners were greeted with a sign that said “Goodbye Hollywood.” TY for 55 great years,” as they arrived this morning as the iconic restaurant became the latest victim of the plague plaguing America’s restaurant industry.
“I’m so sorry it’s come to this,” he said. KTLA. “I think we did a good job for 55 years.”
Marilyn was a 34-year-old elementary school teacher when she and her husband Mike moved with their three children from Skokie, Illinois, to venture into the new business.
The restaurant, with its original neon cowboy hat sign, has been a landmark on Hollywood’s Sunset Boulevard since it opened in 1969.
Owner Marilyn Leviton, 91, ran it for 55 years, but blamed it on a combination of the pandemic, corporate overhead and California’s rising minimum wage when the boards adjourned Monday.
The franchise was only five years old, but the site at 5920 Sunset Blvd was near several major movie studios and the restaurant was the only one on the street that offered a view of the iconic Hollywood sign.
It quickly became a backdrop for movies and television shows and served as the location for the Emmy-nominated Baskets with Zach Galifianakis.
It celebrated its 50th anniversary in January 2019 by serving its signature roast beef sandwich at its original price of 79 cents, but the sun was about to set on the family-owned restaurant.
“The truth is, I think it was the pandemic that wiped us out,” Marilyn said. ‘I really feel like we would have closed during the pandemic if it weren’t for the federal loans.
“Arby’s requires more technical equipment that we couldn’t afford and I don’t think the $20 an hour wage increase has helped either.”
A law signed by the Democratic governor of California, Gavin Newsom, in September of last year increased the minimum wage for fast food workers to $20 an hour in chains with more than 60 locations in the United States.
This was a 25 percent increase over California’s standard minimum wage of $16 an hour, which itself went into effect in January.
The measure has sparked fury among restaurant owners, and nearly 10,000 positions at chains from Pizza Hut to Burger King have been cut since the law took effect April 1, according to a report from a state trade group.
The closing notice that broke the news to diners on Monday morning
Marilyn’s children, Judy, Bob and Ruth, worked at the restaurant as teenagers after it opened in 1969 and reunited for its 50th anniversary in 2019.
California Governor Gavin Newsom signs the fast food bill raising the minimum wage surrounded by workers at SEIU Local 721 in Los Angeles on September 28, 2023.
To highlight the impact of the law, the trade group California Business and Industrial Alliance took out a fake ad with mock ‘obituaries’ of popular brands.
On top of that, chains have been closing restaurants, including beloved Mexican chain Rubio’s Coastal Grill, which filed for Chapter 11 bankruptcy earlier this month and closed 48 locations in the state.
“California businesses have been under attack and outright assault for years,” Tom Manzo, president of the California Business and Industrial Alliance, told Fox Business.
“It’s just another law that puts businesses in greater danger.”
The Alliance put out a mock obituary-style ad to highlight the damage they say has been done to some of the industry’s favorite brands.
But restaurants across the United States have struggled to attract former diners since the pandemic, as they increasingly succumb to food delivery services.
Red Lobster abruptly closed 93 of its roughly 700 restaurants on May 13, days before filing for Chapter 11 bankruptcy.
And court documents suggest there are another 135 Red Lobster locations that bosses say will continue to lose money if leases remain as they are.
Applebee’s closed 46 stores last year and has announced plans to open at least 25 more this year.
And Denny’s hopes to follow the closure of 57 restaurants with up to 20 more this year.
News of Arby’s departure sparked an avalanche of nostalgia among Californians, including actor Dean England, who worked on Baskets.
“I saw that sign many times when I was a kid,” he wrote on Facebook. “So it was a little surreal to be cast and film in Hollywood while playing Arby’s head of HR. I hope that poster is saved.
“One of the first places I ate when I moved here,” added Samantha Lloyd Gordon. “Starving actor, literally.”
‘Let me guess…in its place will be another high-rise condo building that will remain largely vacant?’ David Silver predicted.
“That sign should be donated to the Las Vegas Neon Museum,” Melissa Jean suggested.
“I’m glad I saw it in person.”