March 27, 2025 7:21 am

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Lynnwood Shari’s permanently closed after years of financial struggles for diner chain

LYNNWOOD—The Lynnwood Shari’s Cafe and Pies is just one more Washington State closure following the Pacific Northwest diner chain’s years of financial troubles and accrued debt.

Lynnwood Shari’s
Lynnwood Shari’s located in the Jamestown Shopping Center near HWY 99 and 196th St. Lynnwood Times | Mario Lotmore.

A total of 15 of Washington State’s 20 Shari’s locations have now been permanently closed including its other Snohomish County location in Mill Creek. This leaves just five Washington locations still in operation including: Vancouver, Bellingham, Moses Lake, Olympia, and Puyallup.

At this point it’s unclear whether these remaining locations will remain open or transfer to different ownership. As of the publication of this article, the contact page for Shari’s website is down and the Shari’s Management Corp. has not responded to the Lynnwood Times’ inquiries.

Just last year, Shari’s closed all 42 locations in its home state of Oregon followed by closures in both Idaho and Wyoming.

Many Oregon-based Shari’s locations offered video lottery games using equipment provided by the Oregon State Lottery, to generate additional revenue, but the restaurants failed to pay their weekly electric fund transfer draw resulting in accruing over $900,000 in debt, the state lottery said last fall. That debt entered collections earlier this month.

Lynnwood Shari’s
Notice on the door of Lynnwood Shari’s located in the Jamestown Shopping Center near HWY 99 and 196th St. Lynnwood Times | Mario Lotmore.

Additional to this, more than 15 separate landlord companies in Oregon filed lawsuits against the company for failure to pay rent – amounting to more than $4 million owed based on rental contracts.

Since January of 2024 more than 10 unlawful detainers have been filed against the pacific northwest chain in Washington Superior Courts, according to the News Tribune who first reported the story, including debt collection notices in at least 11 counties, three tax warrant issues between October and December of 2023, and numerous eviction notices for unpaid rent.

The unpaid rent notices date back to early on in the pandemic but stretched through last summer.

The Shari’s location in Lynnwood has been a staple community gathering place since opening in 1993, known for its pies, bottomless coffee, and oversized breakfasts. The 24-hour diner was a 3,900 square foot building that underwent an energy saving retrofit in 2012.

Washington State Superior Court documents have no filings in Snohomish County so it’s unclear whether the Lynnwood location fell behind on its rent payments. According to the Secretary of State’s office, its business license is still active.

Lynnwood Shari’s
Lynnwood Shari’s located in the Jamestown Shopping Center near HWY 99 and 196th St. Lynnwood Times | Mario Lotmore.

Shari’s Restaurants, later renamed Shari’s Cafe and Pies, was initially founded in Beaverton, Oregon, in 1978 by husband-and-wife duo Ron and Sharon “Shari” Bergquist. The two ran the restaurants until 1999 when it was acquired by Fairmont Capitol Inc. for $60 million. At the time of the acquisition, Shari’s Restaurants were the ninth largest family restaurant chain in the U.S. by sales and had 96 locations in seven states.

Sam Borgese was named CEO of the chain in 2017.

By early October of 2024, the number of operational Shari’s restaurants dropped to 49 locations and by the end of that same month the number of locations dropped to just 17.

Kienan Briscoe
Author: Kienan Briscoe

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7 Responses

  1. Hi, just some corrections to the article: The location is *James Village* Shopping Center in Lynnwood, not Jamestown. Another fix needed is the inconsistent information in the story: At the beginning the author wrote that the Shari’s locations that hadn’t closed and were still serving were located in Vancouver, Bellingham, Moses Lake, Olympia and Puyallup. However, scrolling through the article, one finds a picture of a poster on the door of the Lynnwood Shari’s pointing patrons to another location that is still open in *Shoreline* on Aurora Ave. N. at 15252.

  2. It was pretty clear for the last couple years that this was inevitable. This location was consistently short staffed and had poor quality food. Corporate cutting corners killed this location. It had a pretty consistent customer base with plenty of tables full. But when they made one waiter bounce between 12 tables and only provided frozen slop from a truck to serve, what can we expect? I’d rather go to the 112th Street Diner.

  3. I for one will miss this diner. It was a favorite place for me to go and have breakfast with my family. The staff were wonderful. Matthew, Jose, and Cory helped create many wonderful experiences for my family. The menu was delicious. I loved their chicken fried steak with stuffed hash browns.

  4. The Shoreline location has also closed. I had a friend that worked at Shoreline and James Village Lynnwood whichever one you prefer but it’s still Lynnwood. She is now working at a Denny’s diner. I loved shari’s but I knew. They were going to close as of last summer. It was pretty dead in there at both locations and they weren’t getting a lot of supplies. It’s sad, but it’s part of what happened with Covid. I wish all the employees that lost their jobs there good luck. I had a lot of friends at work there. Hopefully, they’ve all found better jobs now..

  5. It’s a shame. The Broadway location in Everett Washington is where I took my wife on our first date on August 13th 1997. So many good memories, even going back before that. With a hangout for me and my friends in my late teens when we got kicked out of Denny’s haha. So many great things in the Northwest are disappearing. I think I might be next on the list

  6. The Lynnwood location has been closed since July, I was the acting manager of this location at the time of it’s closing. There are numerous corrections that need to be made to this article….

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