Kroger Food Halls Close Amid Ghost Kitchen Challenges

Kroger Food Halls Close Amid Ghost Kitchen Challenges

All seven Kitchen United food halls inside Kroger stores, operated by the ghost kitchen company, are closed, accounting for a third of its 25 total locations, according to an Eat This, Not That! article which reports,

 

“A major change is underway at Kroger—and it may come as a disappointment to shoppers who like to pick up their groceries and hot meals under one roof.

 

Kitchen United, which runs ghost kitchens across the country, has officially confirmed that all seven food halls it was operating inside Kroger stores have been shuttered. These locations make up about a third of its total fleet of 25 locations.”

 

Kitchen United has undergone leadership changes and confirmed the closure of its seven food halls in Kroger stores, according to a Nation’s Restaurant News article. They say, 

 

“The company has gone through multiple leadership changes over its lifetime, from cofounder and former CEO Massimo Noja De Marco, who grew the company to thousands of ghost kitchen locations and left Kitchen United in 2020; to Michael Montagano, who served as CEO of Kitchen United until August, when he left to become CEO of Dog Haus. Under Montagano’s leadership, Kitchen United acquired ghost kitchen developer Zuul, and began partnering with major brands like Restaurant Brands International, Kroger, Google Ventures, and Fidelity Investments.

 

Kitchen United did not give any further details on the new direction the company is taking, but it is not the only ghost kitchen company to announce an operational pullback. Crave Collective from Crave Hospitality Group — which opened in Nov. 2020 with chef Michael Mina as a hybrid ghost kitchen food hall with 16 locations and its own delivery fleet — has closed and is no longer operating, according to the Idaho Statesman. The app is no longer available for download and customers are no longer able to order from it because Crave Collective no longer exists:”

 

The closure of Kitchen United’s Kroger food halls is surprising, given the previous $100 million investment by Kroger. Kroger customers will need alternative options for takeout in affected areas.