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Marshalltown KFC closed due to unprofitability, franchisee says

T-R PHOTO BY ROBERT MAHARRY The Kentucky Fried Chicken restaurant at 3007 S. Center St. in Marshalltown, which had been owned by Central Iowa KFC Inc. of Columbus Junction since 1980, closed permanently over the weekend. The franchise company’s owner, Kevin Schlutz, said the decision was made due to unprofitability.

In an email sent to the T-R on Monday evening, Central Iowa KFC Inc. Owner Kevin Schlutz said the Marshalltown location at 3007 S. Center St. closed due to unprofitability.

The company based in Columbus Junction had franchised the restaurant, which has a long history in the community at various addresses, for 45 years, and it was located on Westwood Drive before it moved to its final home. Schlutz said there was no connection between closings in Illinois and Wisconsin last August and the decision to shutter the KFC in Marshalltown.

“KFC required a relocation from our Westwood Drive location, and we bought the existing Taco Bell and converted it to a combo restaurant. It won an award in 2016 for sales improvement in 2015, but sales have since declined and costs have increased,” he said. “We, as an Iowa family company, are consolidating and closing unprofitable locations.”

The property is now for sale, and Keith Olson with Locate Commercial Real Estate is serving as the broker.

“We wish to thank our loyal customers and employees. 45 years is a long time,” Schlutz said. “I remember taking that store over from Wayne Nalvanko, the original local owner, in 1980. The ability to make a profit has changed dramatically since then.”

Marshalltown Area Chamber of Commerce President/CEO John Hall said the organization has identified a handful of potential national and retail chains that could be a good fit for the location, and he plans to begin outreach and marketing to them regarding the space next week.

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Contact Robert Maharry

at 641-753-6611 ext. 255 or

rmaharry@timesrepublican.com.

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