#rising-costs

#rising-costs

Los Angeles's restaurants continue to face difficult headwinds, starting in 2020 with the onset of a global pandemic and exacerbating with the Hollywood labor strikes in 2023, which led to an industry-wide slowdown that's continued into 2026. From the lingering effects of the Hollywood strikes to rising costs (labor, rent, ingredients, etc.), many factors continue to strain restaurant owners operating on razor-thin margins.

Momofuku founder David Chang says America's youth isn't drinking alcohol in the same way as earlier generations, and it has become the "real existential threat" to the restaurant industry. "Kids just don't drink anymore," Chang said in an interview with TBPN talk-show hosts John Coogan and Jordi Hays this week. "They are never going to know what it is like to wake up at 3 p.m. in the afternoon and be like: 'Shit, I left my credit card in that bar.'"

This is brutal.

And the big beer companies, which built or acquired smaller craft breweries during the industry's heyday, are now jettisoning some of those brands. Last year, Molson Coors sold four of its craft beer companies to a cannabis company, Tilray Brands. Brewers and others in the industry say they're in the midst of a broader shakeout that will probably push more smaller breweries over the edge.

Dabners Pet Shop, located in Croydon, will close permanently on August 16, after over 60 years of serving the community. The closure is attributed to rising costs and increased shoplifting.