The History of Taco Cabana

Taco Cabana's Chief Operating Officer, Todd Coerver recently had the pleasure of spending some time with one of the original founders, Lynn Moody. Lynn's father, Felix Stehling started it all 35 years ago at the corner of Hildebrand and San Pedro, in San Antonio, Texas. We also had the pleasure of interviewing his peer, Cappy Lawton, the first contractor and a couple of the original employees. The stories are priceless.
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The Taco Cabana story began at the corner of Hildebrand and San Pedro, in San Antonio Texas. The building was originally a burger stand, but had been abandoned for some time. Founder Felix Stehling leased the property for bar parking for his very popular 70's bar & grill, the Crystal Pistol (just across the street) but it drove him crazy to have it sitting idle, not producing any income.
In 1978, Felix hit on the idea of selling breakfast tacos and other simple Mexican fare during the day when the bar was closed. He got his wife, Billie Jo, stepson Lynn Moody, Lynn's wife Susy and other family members to help with the project. Felix also managed to recruit
a couple of head cooks from his favorite Mexican restaurant, who brought their delicious recipes with them.
Their trips to Mexico inspired the restaurant's décor and name. "Taco" was a given, and it was Billie Jo who suggested "Cabana" as it reminded her of their relaxing beach vacations.
Everything was made fresh right here at the restaurant. Pots of rice and beans simmered on the stove. Fresh tortillas were patted out by hand. Salsa and pico de gallo were prepared from scratch every single day.
When Taco Cabana opened on September 21 in 1978, it was an immediate hit. You could enjoy a fresh bacon and egg taco and a coffee for 50¢. The most popular item, bean and cheese tacos, were only 29¢. People from all over town flocked to Taco Cabana for great, cheap Mexican food.
Originally, the plan was to only stay open from 6AM-2PM. But the crowds kept coming, so closing time got later and later. The big leap came when they decided to serve around the clock. It gave the late-night crowd a place to go. It also ended the pesky problem of having their patio furniture stolen in the wee hours of the morning.
The crowds got so large, the staff couldn't keep up with adding salsas, pico and jalapeños to orders. So they set them out in metal pans on a table and invited customers to help themselves. It was such a big hit that a tradition was born. Today, the Salsa Bar is the centerpiece of every TC. And all the salsas and pico are still handmade fresh every day right in the kitchen at each of our restaurants.
Staying open 24 hours took three shifts a day. With that many hands on deck, consistency became a top priority. To make sure the rice and beans were always seasoned just right, they decided to pre-mix and individually bag the spices for each batch. To accomplish the task at the volume they needed, Lynn came up with a unique solution: a cement mixer. They moved it into the building next door, an old Lone Star Ice House purchased by Felix which was home to the original TC
Felix believed in putting on a show. He wanted the fresh food preparation to happen where people could see it, not hidden away in a back kitchen. When Steak and Chicken Fajitas were added, Lynn's wife, Susy, recalling a visit to the interior of Mexico, suggested serving them on a hot metal skillet to create smoke and sizzle when paraded through the restaurant. Sizzling Fajita Skillets became a signature item at Taco Cabana.
Within a few years, the exterior of the restaurants were transformed to celebrate the iconic, bright, festive colors of Mexico, also inspired by the family's many trips across the border. Now when people think of Taco Cabana, they think "Pink".
As you can see, the Stehling family didn't begin with the goal of building a world-class restaurant chain. Only with a desire to create a casual neighborhood gathering place where you could savor great, affordable Mexican food crafted from authentic family recipes. Today, every Taco Cabana can trace its roots back to the unique heritage of this very first restaurant.