By Howie Hanson
Grandma’s Restaurant Group announced it has agreed to sell its Miller Hill building to Vireo Growth Inc., with Grandma’s Saloon & Grill on Miller Hill set to close May 3.
The decision ends 35 years of full-service dining at the location. Company officials cited shifting consumer habits since the COVID-19 pandemic, including reduced late-night dining and declining traffic in retail areas, as key factors in consolidating operations at its waterfront restaurants.
“Having a second Duluth location has been a great benefit for three and a half decades,” said Brian Daugherty, president of Grandma’s Restaurant Group. “However, the landscape has changed. The late-night dining and drinking culture that thrived near the mall and movie theaters didn't return after COVID. With the area becoming much quieter after 9:00 p.m., coupled with rising costs impacting full-service restaurants across Minnesota, the timing was right to make this move.”
Company officials said the sale aligned with long-term strategic goals after Vireo Growth approached the group with an offer for the site. Vireo focuses on cannabis operations with an emphasis on safe access and community restorative justice.
“We have truly appreciated our relationship with the Miller Hill community,” Daugherty said. “But we want to assure our fans that there is always a table waiting for them at our Canal Park and Virginia restaurant locations.”
Grandma’s Restaurant Group said it plans to prioritize its Miller Hill workforce during the transition. Employees will be offered opportunities to transfer to other company operations, including Grandma’s Saloon & Grill in Canal Park, Little Angie’s, Bellisio’s Italian Restaurant, The Garden Wedding & Event Center and Adventure Zone Family Fun Center.
