Chick-fil-A to Open New Restaurant in Danville at Former Red Lobster Site

The fast-food chain plans to build on the vacant property after the city demolishes the old building.

Published on Feb. 15, 2026

Chick-fil-A has signed a lease with the City of Danville, Illinois to open a new restaurant at the former Red Lobster location on North Vermilion Street. The city will demolish the old Red Lobster building at a cost of $80,000 and reimburse the developer $300,000 for costs associated with the new Chick-fil-A development. While formal construction plans have not been finalized, the city is hopeful the new restaurant will help spur additional development in the area.

Why it matters

The arrival of a major fast-food chain like Chick-fil-A is seen as an economic boost for Danville, which has struggled with vacant commercial properties in recent years. The city is willing to invest in the project through demolition and development incentives in hopes of attracting more businesses and revitalizing the local economy.

The details

Chick-fil-A has officially signed a lease with the City of Danville to open a new restaurant at the former Red Lobster location on North Vermilion Street. The city will first demolish the old Red Lobster building at a cost of $80,000 to prepare the site. The developer has had to provide proof of a 10-year lease for the new Chick-fil-A facility, and the city will reimburse the developer $300,000 for associated costs. While formal construction plans have not been finalized, the new Chick-fil-A is expected to be a sizable restaurant.

  • Red Lobster closed the Danville location in May 2024 without notice.
  • Within the next month or two, the city will demolish the old Red Lobster building.
  • Chick-fil-A has now signed a lease with the city to open the new restaurant.

The players

Chick-fil-A

A major fast-food restaurant chain known for its chicken sandwiches and waffle fries.

Rickey Williams Jr.

The mayor of Danville, Illinois, who is overseeing the city's efforts to redevelop the former Red Lobster site.

Red Lobster

A national seafood restaurant chain that previously occupied the Danville property now slated for a new Chick-fil-A.

Got photos? Submit your photos here. ›

What they’re saying

“Right now we are going over preliminary building plans and after demo is finished, we will be looking at construction.”

— Rickey Williams Jr., Mayor of Danville (Chambana Today)

“With land being purchased and the lease being signed, Williams said that plans for the new restaurant will be for a sizable restaurant.”

— Rickey Williams Jr., Mayor of Danville (Chambana Today)

What’s next

Within the next month or two, the City of Danville will demolish the old Red Lobster building in preparation for the new Chick-fil-A development.

The takeaway

Chick-fil-A's decision to open a new restaurant in Danville represents a significant economic opportunity for the city, which is willing to invest in redeveloping the vacant property in hopes of attracting more businesses and revitalizing the local economy.