El Paso just took a one-two punch to the appetite. In less than a week, Chihuahua Charlie’s shuttered its UTEP-area spot, and Matteo’s Mexican Food said it’s closing all four of its Borderland locations. The double hit lands right as the holiday season ramps up, a time many small eateries count on, and it’s a stark reminder of the financial squeeze facing neighborhood favorites.
Matteo’s owners announced they would “cease operations at all four of our locations,” calling the move “difficult.” Rising inventory costs and declining sales, paired with the company’s push for higher-quality ingredients, made continuing impossible, according to KFOX.
Chihuahua Charlie’s posted a farewell on Facebook, saying the economy had “caught up” with the business and thanking loyal customers for the ride. The El Paso location, which opened May 31 across from the Don Haskins Center, leaned on the brand’s longstanding roots in Juárez, KVIA reported.
The back-to-back closures underscore wider industry strain: operators are battling higher food and labor costs, softer traffic, and thinner margins. Analysts warn closures and consolidation remain risks for mid-size and independent concepts, with many turning to price tweaks and back-of-house tech to cope, per Restaurant Dive. Local outlets framed the news as “a rough week” for El Paso foodies headed into the holidays, according to 93.1 KISS FM.
Both owners signaled hopes to regroup and urged fans to watch their social channels for updates. For those seeking confirmation or catering options, Matteo’s still lists locations and contact details on its official site, Matteo’s Mexican Food.
