Turkey Leg Hut’s bankruptcy case has officially wrapped up with over $6.5 million in debt discharged and no assets left to repay creditors.
According to court records obtained by The Houston Chronicle, the trustee confirmed, “The bank statements reflect a final zero balance, and no other funds or assets of the estate remain in my custody.” Just $442 was collected during the process, which was fully returned.
The restaurant filed for Chapter 11 in March 2024, citing nearly $5 million in debt, including $1.95 million owed to the Texas Comptroller and a $931,000 claim from former co-owner Steven Rogers. The case was later converted to Chapter 7 after a judge ruled co-founder Nakia Holmes failed to file tax returns.
Over $564,000 in assets were also abandoned. Unless objections are raised within 14 days, the discharge will become permanent, leaving all creditors, including government agencies, unpaid.
On the same day the trustee filed the report, Holmes appeared in court on a separate felony charge for allegedly helping a kidnapping suspect avoid arrest.
Founded in 2015, Turkey Leg Hut once attracted celebrities and long lines in Houston’s Third Ward. But years of lawsuits, health code violations, and internal disputes led to its permanent closure in 2024. The bankruptcy case closes the final chapter on a Houston hotspot that went from viral fame to financial ruin.
