Special Sauce with Ed Levine Can Restaurants Survive In 2026
Jan 16, 2026
Stephanie Breijo, LA Times food reporter who covers restaurant crises in Los Angeles. Tim Carman, Washington Post food reporter who tracks restaurant economics in D.C. They discuss rising food costs, tariffs, immigration-related enforcement, wage fights, landlord pressures, and how restaurants are shrinking footprints and changing service to survive in 2026.
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L.A.'s Compound Year Of Shocks
- Stephanie Breijo describes L.A.'s compounded blows: strikes, fires, raids, curfews and lost tourism.
- Restaurateurs across neighborhoods reported falling check averages and declining customer traffic.
D.C.'s Troops And Tourism Drop
- Tim Carman recounts D.C.'s National Guard deployments and their chilling effect on visitors and workers.
- Tourism, conventions and federal employment losses translated into steep declines for local restaurants.
Margins Crushed By Rising Operating Costs
- Rising wages, insurance, rent and food costs squeeze already tiny restaurant margins.
- Shifting pricing models (service charges, higher sticker prices) produce customer sticker shock and lower check averages.