Another well-known restaurant chain is disappearing from the high street with remarkable speed. Bahama Breeze, the Caribbean-themed sister chain of Olive Garden, is shutting its doors permanently after nearly three decades of operation.
Darden Announces Strategic Restructuring
Darden Restaurants, the parent company based in Orlando, confirmed on Tuesday that it will close its Bahama Breeze chain entirely. The company revealed plans to permanently shutter 14 of Bahama Breeze's 28 restaurants, while the remaining 14 locations will undergo conversion to other brands within the Darden portfolio.
Timeline for Closures and Conversions
The restaurants designated for permanent closure will remain operational through April 5, providing a brief window for final visits. Darden indicated that rebranding the 14 conversion locations will require approximately 12 to 18 months to complete. During this transition period, restaurants will generally stay open, with only brief shutdowns necessary for renovation work.
The company has not specified which Darden brands will replace the Bahama Breeze sites. Darden's extensive portfolio includes Olive Garden Italian Restaurant, LongHorn Steakhouse, Seasons 52, Yard House, Cheddar's Scratch Kitchen, and Chuy's. Additionally, the parent company operates three fine dining chains: Ruth's Chris Steak House, Eddie V's Prime Seafood, and The Capital Grille.
Geographic Impact of the Changes
The Bahama Breeze locations scheduled for permanent closure span multiple states across the United States:
- Delaware
- Georgia
- Michigan
- New Jersey
- North Carolina
- Pennsylvania
- Virginia
- Washington
Most restaurants earmarked for conversion are situated in Florida, with additional locations in Georgia, North Carolina, South Carolina, and Virginia.
Employee Support and Company Statement
Darden emphasised its commitment to supporting affected team members throughout this transition. 'The company believes the conversion locations are great sites that will benefit several of the brands in its portfolio,' stated Darden. 'Going forward, the primary focus will continue to be on supporting team members, including placing as many as possible in roles within the Darden portfolio.'
This approach mirrors previous efforts when Bahama Breeze abruptly closed 15 restaurants in May following a sharp decline in earnings. At that time, Darden attempted to offer affected workers positions at other Darden-owned establishments like Olive Garden and LongHorn Steakhouse, while providing severance packages to staff members who could not be rehired.
Historical Context and Broader Industry Trends
Founded in 1996 with its inaugural location in Orlando, Florida, Bahama Breeze specialised in Caribbean-inspired cuisine and tropical cocktails. The casual dining chain expanded significantly, operating approximately 43 locations by 2014 before gradually reducing its footprint.
Bahama Breeze is not alone in facing operational challenges. Numerous restaurant chains have been reducing their presence as economic uncertainty leads Americans to dine out less frequently. Recent examples include:
- Noodles & Company announcing plans to close 30 to 35 additional restaurants in 2026, following more shutdowns than initially planned last year.
- Kasper's Hot Dogs, a popular California fast-food spot renowned for its chili dogs and nostalgic appeal, closing its final two locations late last year.
- Lemonade, another West Coast institution, shuttering its last remaining Bay Area store after closing all other locations in the region just months ago.
Despite these industry challenges, Darden Restaurants' shares have performed robustly, climbing more than 14 percent so far this year. The closure of Bahama Breeze represents a strategic realignment for the company as it focuses on strengthening its remaining brands in a competitive dining landscape.
