Yard House to be purchased for $585 million by Darden (Olive Garden, Red Lobster)

Discussion in 'Beer News' started by Todd, Jul 13, 2012.

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  1. Todd

    Todd Founder (13,254) Aug 23, 1996 Finland
    Staff Super Mod Pooh-Bah Society Trader

    Hold onto your pints ...

    Darden Restaurants Inc., the parent company behind Olive Garden, Red Lobster, LongHorn Steakhouse and The Capital Grille, just announced that they plan to buy the Yard House chain of beer-centric restaurant chain for $585 million in cash from TSG Consumer Partners.

    Based in Irvine, California, the first Yard House was launched on December 7, 1996 by founder Steele Platt on the shores of Long Beach, California. Today there's 39 multi-beer tap locations across 13 states with expansion plans currently in the works. According to their website, Yard House gets its name from "the 3-foot-tall glass containers originally designed in Great Britain and used to hand stagecoach drivers after a long journey by horse drawn carriage."

    Yard House revenue in the second quarter was up 27% over 2011, which is attractive to Darden who hopes to attract younger and wealthier guests as the rest of their portfolio has apparently been struggling to remain appealing in the highly competitive market.

    Darden plans to eventually expand Yard House to 200 locations.

    The acquisition is expected to happen by November 2012.

    Related links:
    http://online.wsj.com/article/BT-CO-20120712-715744.html
    http://www.huffingtonpost.com/2012/07/13/olive-garden-yard-house_n_1670894.html
    http://www.latimes.com/business/la-fi-darden-yard-house-20120713,0,1299265.story
    http://blogs.wsj.com/privateequity/...house-in-sale-to-darden/?mod=google_news_blog
     
  2. FosterJM

    FosterJM Initiate (0) Nov 16, 2009 California

    I wonder if they will expand the beer selection. Some locations have a MUCH better selection than others.

    Cheers!
     
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  3. evilc

    evilc Initiate (0) Jan 27, 2012 California

    San Diego Yard House does not have yards, more like 18", and if the beer is over 7.5% it is poured into a pint glass. Worst "living up to the name" ever.

    Do other locations actually serve yards of beer, and not just Coors Light in them?
     
  4. otispdriftwood

    otispdriftwood Initiate (0) Dec 9, 2011 Colorado

    I didn't realize Olive Garden, Red Lobster, etc. were doing that well for their parent company to shell out over 1/2 billion for another chain. On the other hand, with the economy down, and people still wanting to go out to eat once in a while, the cheaper chains are the places of choice. I've only been to the Yard House twice since it's not really convenient but it was an enjoyable experience both times and hopefully nothing will change - especially the beer selection. When you have over 100 to choose from, it doesn't matter if it never changes or if some other location has more - you'll always find something enjoyable to drink and you can still go to your local small beer bar for the newest releases.
     
  5. foobula

    foobula Initiate (0) Dec 14, 2009 Illinois

    Looks like all their locations do "half yards" which are around 32 oz.

    While the tap list is undoubtedly grand and the food acceptable, most of my visits to bars lately have been for special tappings (parabola, devil dancer, bourbon county). They don't seem to do that at my Yard House, so I haven't been in ages.
     
  6. robconoclast

    robconoclast Initiate (0) Jun 22, 2012 Ohio

    Well....that sucks. Darden's idea of using "fresh" ingredients is to take it out of the freezer, that it out, and microwave it.
     
  7. otispdriftwood

    otispdriftwood Initiate (0) Dec 9, 2011 Colorado

    It's not only Darden's idea, it's the idea of most of the major chains regardless of their [misleading] advertising.
     
  8. kgoyette

    kgoyette Initiate (0) Feb 13, 2011 Massachusetts

    Darden does use fresh ingredients at Seasons 52, Longhorn, Capital Grille, and Eddie V's, but you are right at their two biggest chains they don't, mostly. That being said, is Yardhouse using all fresh ingredients, or even the best? I doubt that. Not the greatest thing for the Yardhouse, but if Darden can stop "fixing" things they will be fine.
     
  9. dod629

    dod629 Initiate (0) Mar 23, 2010 Massachusetts


    Yard House now has a Chalkboard Series, with rotating taps. Fenway has Devil Dancer on tap, and Dedham has Bourbon County, along with four other rotating, limited release selections.
     
  10. robconoclast

    robconoclast Initiate (0) Jun 22, 2012 Ohio

    Oh for sure. I am a disgruntled former Darden Corporate minion but Applebees' Fridays, etc work the same (Outback is real-deal fresh though). Their profit margins are huge as the frozen processed swill is cheaper. I'm thinking that they see this as a profitable venture due to the increase of craft beer sales in the U.S. I've worked for three different Darden chains. Before Longhorn they owned Smokey Bones and their BBQ was as authentic as Olive Garden's Italian.
     
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  11. BassBone

    BassBone Initiate (0) Jul 14, 2005 California

    This can only end badly for the Yard House. By the way, I believe they stopped using the yard glasses because people were drinking too much with them and/or stealing them.
     
  12. evilc

    evilc Initiate (0) Jan 27, 2012 California

    They should change the name to Foot and a Half House then.
     
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  13. luisc123

    luisc123 Initiate (0) Oct 20, 2011 California

    Drunk retards were constantly breaking them (swordfighting was a common occurrence). So people can talk about "false advertising" with our company name as much as they want, you can't run a restaurant with broken glass spills left and right. Also, each of those glasses are hand blown, not mass produced, and that does not make them cheap.
     
  14. jtmartino

    jtmartino Initiate (0) Dec 11, 2010 California

    Awesome when a restaurant employee calls his customers "drunk retards."

    That'll help business.
     
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  15. luisc123

    luisc123 Initiate (0) Oct 20, 2011 California

    My mistake. You're right. People swinging glass at each other in a social setting deserve more respect
     
  16. otispdriftwood

    otispdriftwood Initiate (0) Dec 9, 2011 Colorado

    If the shoe fits.....
     
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  17. denver10

    denver10 Grand Pooh-Bah (4,081) Nov 17, 2010 New Mexico
    Pooh-Bah Society

    Seems like a fit to me.

    I certainly respect their beer menu but everything else about Yard Houses screamed corporate chains. The culture was stiff and bland, the food generic and i don't think any good, but they got their schtick and their beer menu's are certainly a decent size filled with a ton of respectable beers.
     
  18. jtmartino

    jtmartino Initiate (0) Dec 11, 2010 California

    I disagree - they have a huge menu that is far from "average," although the quality is hit or miss. The servers or bartenders at the locations I've been to were pretty ignorant regarding their beer lists, so for a beer-oriented establishment they're lacking in that field. You might even call the employees "retards."
     
  19. OneBeertoRTA

    OneBeertoRTA Initiate (0) Jan 2, 2010 California

    The place should be renamed "we don't sell yards anymore, if you want a non BMC beer it comes in a 12oz pour"
     
  20. Todd

    Todd Founder (13,254) Aug 23, 1996 Finland
    Staff Super Mod Pooh-Bah Society Trader

    The Yard House in Boston serves most of their beers as 16oz pours. Always fresh and reasonably priced too.
     
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