Texas to Open First Combined IHOP and Applebee’s Restaurant in the U.S.

SAN ANTONIO, TX — Texas is set to welcome the nation’s first combined IHOP and Applebee’s restaurant, providing diners the chance to enjoy breakfast pancakes alongside Applebee’s dinner options under one roof.

The dual-branded location, owned by Dine Brands, will open around 35 miles west of San Antonio early next year.

The joint restaurant, a first for Dine Brands in the U.S., aims to revitalize both chains as they navigate recent revenue slumps. Applebee’s reported a 6% decrease in same-store sales last quarter, while IHOP’s sales dropped 2.1%.

The layout features distinct areas for each brand: a traditional IHOP dining area and an Applebee’s section with a bar and TVs. Both menus are accessible throughout the location, allowing patrons to order IHOP’s classic breakfast fare and Applebee’s dinner staples regardless of where they’re seated.

With a shared kitchen, the concept maximizes space and operational efficiency by catering to different mealtimes throughout the day. The goal is to drive more visits across meal periods and cut costs associated with running separate venues.

Dine Brands already operates 13 similar locations internationally, in places such as Canada and the Middle East, where the concept has shown promising results. CEO John Peyton emphasized that the hybrid model provides a competitive edge, increasing revenue by 1.5 to 2 times compared to standalone locations.

The trend of combining brands in one space is growing, with companies like GoTo Foods and Inspire Brands offering joint venues, such as Auntie Anne’s-Cinnabon and Jimmy John’s-Dunkin’, to attract diverse customer bases across various dayparts.