Lum's
Lum's was an American family-restaurant and fast-food chain best known for hot dogs steamed in beer.
Last updated August 31, 2026
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Overview
Lum's was an American family-restaurant chain that grew from a single hot-dog stand in Miami Beach, Florida, into a large franchised network before disappearing as a standalone operating brand. The business was established in 1956, when brothers Stuart and Clifford S. Perlman purchased an existing Lum's hot-dog stand for $10,000. The Perlmans developed the concept around a straightforward, highly recognizable menu, with hot dogs steamed in beer becoming the chain's defining specialty. This preparation method gave Lum's a distinctive product identity at a time when American roadside and family restaurants were increasingly competing through memorable signature items. The Perlman brothers initially expanded cautiously. They added three more restaurants, bringing the total to four by 1961, and then pursued more aggressive growth through company-operated restaurants and franchising. Clifford Perlman left his position as president of Southern Wood Industries, Inc., to work full-time on Lum's, indicating the extent to which the restaurant business had become the brothers' principal focus. The chain's appeal rested on a combination of informal family dining, relatively simple food preparation, and a brand proposition that could be reproduced across multiple locations. Lum's reached a major corporate milestone in 1969, when Lum's, Inc., was admitted to the New York Stock Exchange. That same year the company made an unusually large diversification move by purchasing Caesars Palace, then a 500-room hotel-casino on the Las Vegas Strip, for $60 million. The acquisition connected the restaurant company with the casino and hospitality industry, but it also represented a significant departure from Lum's original operating model. The company's food operations were sold in 1971 to John Y. Brown, then chairman of Kentucky Fried Chicken, and a group of investors. At the time of the sale, Lum's reportedly owned and franchised approximately 400 restaurants across the continental United States, Hawaii, Puerto Rico, and Europe. Under Brown's ownership, the business sought to refresh and broaden its menu. Brown conducted a search for what he described as the ideal hamburger and acquired Ollie Gleichenhaus's Ollie Burger recipe in 1971. The transaction also included stock in the new company and a ten-year arrangement under which Gleichenhaus would receive $50,000 per year to serve as the official spokesperson for the Ollieburger on behalf of Lum's. The hamburger initiative illustrates the brand's attempt to move beyond its hot-dog heritage and compete more directly in the broader fast-food market. During the 1970s, entertainer Milton Berle also served for a period as the company's commercial spokesman, giving Lum's a nationally recognizable advertising presence. The chain changed hands again in 1978, when Wienerwald Holdings, A.G., a Swiss holding company and parent of the Wienerwald restaurant chain, acquired the 273-restaurant chain under the direction of Friedrich Jahn. Wienerwald subsequently became overextended and filed for bankruptcy in 1982. Two Jahn-controlled Lum's franchise operations were also forced to close their 70 Lum's locations and enter bankruptcy proceedings. These financial difficulties severely reduced the brand's footprint and undermined its franchise network. The original Lum's location closed in 1983. For many years afterward, the Bellevue, Nebraska, restaurant was reported to be the only remaining operating Lum's location. A brief revival occurred when a Lum's opened in Seekonk, Massachusetts, in 2010, but that restaurant later closed. The Bellevue location, effectively the last known outpost of the chain, closed on May 28, 2017. Lum's is therefore regarded as a defunct restaurant brand, although its best-known product concept and its role in the history of American restaurant franchising continue to receive retrospective attention. The chain also appeared briefly in Martin Scorsese's 2019 film The Irishman.
History
Lum's began in 1956 in Miami Beach, Florida, when Stuart and Clifford S. Perlman purchased a Lum's hot-dog stand for $10,000. The brothers built the business around a distinctive preparation method: hot dogs steamed in beer. This unusual product helped distinguish Lum's from other American roadside restaurants and became the central element of the brand's identity. The Perlmans expanded the concept from its original site to three additional restaurants, reaching four locations by 1961. The company then adopted a more ambitious growth strategy that combined company-owned restaurants with franchising. Clifford Perlman left his presidency of Southern Wood Industries, Inc., to devote himself to Lum's. The chain subsequently developed a broad geographic presence, eventually reaching the continental United States, Hawaii, Puerto Rico, and Europe. In 1969, Lum's, Inc., was admitted to the New York Stock Exchange. The company also entered the hospitality and gaming sector by purchasing Caesars Palace in Las Vegas for $60 million. Caesars was then a 500-room hotel-casino on the Las Vegas Strip. The acquisition was a major diversification away from the chain's restaurant origins. In 1971, Lum's food operations were sold to John Y. Brown, then chairman of Kentucky Fried Chicken, and other investors. At the time, the business reportedly owned and franchised about 400 stores. Brown attempted to strengthen the menu by seeking a highly competitive hamburger product. In 1971 he acquired Ollie Gleichenhaus's Ollie Burger recipe for $1 million, together with stock in the new company and a ten-year, $50,000-per-year spokesperson contract for Gleichenhaus. The resulting Ollieburger initiative represented an effort to make Lum's more competitive beyond its signature hot dogs. Milton Berle also served for a period as the chain's commercial spokesman. In 1978, Wienerwald Holdings, A.G., a Swiss holding company associated with the Wienerwald restaurant chain, acquired Lum's under Friedrich Jahn. Wienerwald later became overextended and filed for bankruptcy in 1982. Two Jahn-controlled Lum's franchise operations likewise closed their 70 locations and entered bankruptcy proceedings. The chain's decline continued after the original Miami Beach restaurant closed in 1983. For many years, one Lum's restaurant in Bellevue, Nebraska, remained in operation. A later location opened in Seekonk, Massachusetts, in 2010, but it eventually closed. Bellevue's restaurant closed on May 28, 2017, ending the chain's last known operating presence. Lum's is now a defunct restaurant brand remembered chiefly for beer-steamed hot dogs, its unusually large mid-century expansion, its association with Caesars Palace, and its unsuccessful later ownership transitions.
- 2017
Bellevue location closes
[1]The final known Lum's restaurant, in Bellevue, Nebraska, closed on May 28.
- 2010
Seekonk location opens
[1]A Lum's restaurant opened in Seekonk, Massachusetts, although it later closed.
- 1983
Original location closes
[1]The original Lum's restaurant closed.
- 1982
Bankruptcy-related contraction
[1]Wienerwald filed for bankruptcy, and two Jahn-controlled Lum's franchise operations also entered bankruptcy proceedings after closing their locations.
- 1978
Wienerwald Holdings acquires Lum's
[1]The Swiss holding company acquired the 273-restaurant chain.
- 1971
Food operations sold and Ollieburger developed
[1]John Y. Brown and investors acquired the food operations, and Brown purchased the Ollie Burger recipe for use in Lum's menu expansion.
- 1969
Public listing and Caesars Palace acquisition
[1]Lum's, Inc., joined the New York Stock Exchange and purchased Caesars Palace for $60 million.
- 1961
Chain reaches four restaurants
[1]The Perlman brothers had opened three additional restaurants, bringing the total to four.
- 1956
Lum's founded in Miami Beach
[1]Stuart and Clifford S. Perlman purchased a Lum's hot-dog stand for $10,000 and established the restaurant business.
Products and positioning
A casual American family-restaurant and fast-food chain built around a distinctive beer-steamed hot dog, later expanded with hamburger offerings and broad franchising.
Signature fast-food item
Beer-steamed hot dogs
Lum's best-known product was a hot dog steamed in beer. The preparation method was central to the chain's identity and gave its restaurants a distinctive signature item that could be promoted consistently across company-owned and franchised locations.
Hamburger · 1971
Ollieburger
The Ollieburger was introduced as part of John Y. Brown's effort to improve and broaden Lum's menu. Brown acquired Ollie Gleichenhaus's recipe in 1971 and arranged for Gleichenhaus to act as the product's official spokesperson.
Marketing campaigns
- 1970Milton Berle advertising
United States
Milton Berle served for a period as Lum's commercial spokesman, giving the chain a recognizable entertainment personality in its advertising.
Outcome. The campaign was a historical advertising association; its duration and measurable results are not specified.
Brand decisions
1978
Acquisition by Wienerwald HoldingsM&ABackground
Lum's remained a large restaurant chain after its period under John Y. Brown and investor ownership.
Action taken
Wienerwald Holdings, A.G., acquired the 273-restaurant chain.
Aftermath
Wienerwald later became overextended and filed for bankruptcy, contributing to the collapse of Lum's franchise network.
1971
Sale of Lum's food operationsM&ABackground
Lum's restaurant business was separated from the company's broader activities and transferred to new ownership.
Action taken
John Y. Brown and a group of investors purchased the food operations.
Aftermath
The chain continued operating under Brown's ownership and pursued menu development, including the Ollieburger.
1971
Ollieburger menu expansionProduct launchBackground
John Y. Brown sought a stronger hamburger offering as a complement to Lum's established hot-dog business.
Action taken
Brown acquired Ollie Gleichenhaus's Ollie Burger recipe and associated promotional rights.
Aftermath
The initiative broadened Lum's product positioning, although the available reference does not document its long-term commercial performance.
Recipe acquisition price. $1 million (1971)
1969
Purchase of Caesars PalaceM&ABackground
During a period of rapid restaurant expansion, Lum's diversified into hospitality and gaming by acquiring the Las Vegas hotel-casino Caesars Palace.
Action taken
Lum's, Inc., purchased Caesars Palace for $60 million.
Aftermath
The transaction marked a major expansion beyond the restaurant business. The available reference does not establish the acquisition's standalone financial outcome.
Acquisition price. $60 million (1969)
Recent events
- 2019
Lum's appears in The Irishman[1]
Other
Lum's was shown briefly in Martin Scorsese's film The Irishman, providing a later cultural reference to the former chain.
- 2017
Bellevue Lum's location closes[1]
Other
The Bellevue, Nebraska, restaurant, long described as the chain's sole remaining location, closed on May 28, 2017.
- 2010
Lum's opens in Seekonk, Massachusetts[1]
Other
A new Lum's location opened in Seekonk, Massachusetts, creating a brief later presence for the otherwise largely vanished chain.
- 1983
Original Lum's location closes[1]
Other
The original Lum's restaurant in Miami Beach closed, marking a major contraction of the chain.
- 1982
Wienerwald bankruptcy affects Lum's franchises[1]
Bankruptcy
Wienerwald's overextension led to bankruptcy, while two Jahn-controlled Lum's franchise operations also closed their 70 locations and filed for bankruptcy.
- 1978
Wienerwald Holdings acquires Lum's[1]
M&A
Swiss holding company Wienerwald Holdings, A.G., acquired the 273-restaurant chain under Friedrich Jahn.
- 1971
Lum's food operations sold to John Y. Brown and investors[1]
M&A
The company's restaurant operations were sold to John Y. Brown and a group of investors while the chain had approximately 400 owned and franchised locations.
- 1971
Ollieburger introduced through recipe acquisition[1]
Product launch
John Y. Brown acquired Ollie Gleichenhaus's Ollie Burger recipe and associated promotional arrangements for use in Lum's menu development.
- 1969
Lum's admitted to the New York Stock Exchange[1]
Other
Lum's, Inc., became a publicly traded company on the New York Stock Exchange during its period of rapid expansion.
- 1969
Lum's purchases Caesars Palace[1]
M&A
The restaurant company acquired the 500-room Caesars Palace hotel-casino on the Las Vegas Strip for $60 million, diversifying into hospitality and gaming.
Sources1 sources
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