What Happened To Ponderosa Steakhouse Chain Restaurants?

Once upon a time, Ponderosa Steakhouse was a powerhouse restaurant chain that stretched across the country and into Canada, with nearly 700 locations at its peak in 1989. It began as a single restaurant in Kokomo, Indiana in 1965. Less than a decade later (1972), after explosive growth, it had become the largest steakhouse chain in the United States. Today, there are only 15 left operating in the country. Ponderosa has fallen so far off the map it doesn't even appear on the Chowhound ranking of U.S. steakhouse chains from worst to best.

The steakhouse, known for its extensive all-you-can-eat buffet, fell victim to changing consumer tastes, especially with younger diners, who are more health conscious and prefer fast-casual restaurants like Chipotle. And it's been a long-standing problem. Back in 2016, Bob Goldin, then vice chairman of Technomic Inc., a restaurant consultancy, told the Minnesota Star Tribune, that buffet-style restaurants mainly appeal to older customers and their model is out of touch, running "totally counter to all current menu trends like fresh, customized and made-to-order." It's only gotten worse for Ponderosa and its kind since then.

In 1988, Metromedia Restaurant Group bought Ponderosa and merged it the following year with another steakhouse chain, Bonanza, Ponderosa's former nemesis (both are named for the hit 1960s Western TV show "Bonanza"). In the ensuing years, Metromedia went through a series of bankruptcies, negatively impacting Ponderosa. By 2003, there were fewer than 400 locations. FAT Brands bought Ponderosa and Bonanza in 2017, but the downward trend just kept continuing under the new owners.

The few Ponderosa steakhouses still around don't offer a large selection of steaks for a restaurant with the word "steakhouse" in it. Center cut sirloin and ribeye — the top contender for the best cut of steak — are the only two actual steaks available. What the future holds for the old-school company remains to be seen. 

Not all steakhouses are in decline. Longhorn Steakhouse is currently the largest steakhouse chain in the U.S., with 580 locations as of 2023. In fact, there are only two states without a Longhorn Steakhouse: Alaska and Hawaii. And they probably have all the steakhouses they need. Alas, in most locales, that doesn't include Ponderosa.