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International Business Times UK
International Business Times UK
David Unyime Nkanta

Is Paula Deen Going Bankrupt? Celebrity Chef Closes Her Iconic 'Lady & Sons' Restaurant After 36 Years

Paula Deen (Credit: Flickr/digitas)

Celebrity chef Paula Deen has officially closed her legendary Savannah restaurant, The Lady & Sons, ending a 36-year chapter in Southern dining history. The announcement came on 31 July 2025, leaving fans stunned and sparking speculation about the future of her empire.

By the following morning, the restaurant's windows were covered in brown paper, with a handwritten sign that read: 'It is with heavy hearts and tremendous gratitude that we announce that we have retired and closed.'

The closure also extended to The Chicken Box, a takeaway counter behind the main restaurant. Both shutdowns were confirmed in a heartfelt Facebook post, thanking diners and staff for decades of loyalty.

A Landmark Shutters

Founded in 1989 as a catering business called The Bag Lady, Deen's rise to fame began in Savannah, Georgia. By 1996, she had opened The Lady & Sons with her two sons, Jamie and Bobby, serving up fried chicken, banana pudding, and other Southern staples. The restaurant quickly became a tourist magnet, earning USA Today's 'Meal of the Year' award in 1999 and drawing thousands of diners weekly.

However, on 1 August, passers-by found the restaurant's windows covered in brown paper, with a sign reading: 'It is with heavy hearts and tremendous gratitude that we announce that we have retired and closed.'

Deen also shut down The Chicken Box, a companion takeout counter located behind the main restaurant. The closures were confirmed via a heartfelt Facebook post, thanking customers and staff for their loyalty over the decades.

Net Worth Still Intact

Despite the closures, Paula Deen is not facing bankruptcy. As of 2025, her net worth is estimated to be $14 million, according to Finance expert Michael Dinich. Her wealth stems from a diversified portfolio that includes television shows, cookbooks, product endorsements, and restaurant ventures.

Deen's financial standing remains solid, bolstered by her continued ownership of four Paula Deen's Family Kitchen restaurants in Pigeon Forge, Myrtle Beach, Nashville, and Branson. These locations offer all-you-can-eat Southern meals and remain popular with fans of her signature comfort food.

Still Cooking, Just Not in Savannah

With over 18 cookbooks and millions sold, Paula Deen proves her recipes and her resilience still resonate with fans across generations. (Credit: Flickr/thomsheridan)

Far from retreating, Deen has pivoted her focus to digital platforms and her remaining restaurants. She regularly shares recipes on Instagram and her official website, including recent posts about summer pasta dishes and peanut butter creations. Her YouTube channel, which boasts over 500,000 subscribers, continues to feature cooking tutorials and lifestyle content.

Deen also remains active in publishing, with her lifestyle magazine Cooking with Paula Deen still in circulation. She has authored more than 15 cookbooks and maintains a loyal fan base despite past controversies.

A Complicated Legacy

The closure of The Lady & Sons has reignited public debate about Deen's legacy. In 2013, she faced a major scandal after admitting in a legal deposition to using racial slurs, leading to the loss of multiple endorsement deals and the cancellation of her Food Network contract. Though she apologised and gradually rebuilt her brand, the incident remains a defining moment in her career.

A new documentary titled Cancelled: The Paula Deen Story is set to premiere at the Toronto International Film Festival, promising to re-examine her rise, fall, and attempted comeback.

Savannah Reacts to the End of an Era

Locals expressed sadness at the closure. 'Nobody knew anything was wrong,' said Martin Rowe, who works across the street. 'I walk by there two or three times a week at lunch, and it was always packed.'

Former employees, however, voiced anger at the lack of notice. One staff member told WJCL News they learned of the closure by email on the morning of a scheduled shift and were advised to apply for unemployment.

For Savannah, the loss marks the end of a restaurant that once defined the city's food scene. For Deen, however, it signals not a downfall, but a reinvention — proof that the Lady of the South is far from finished.

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