Seafood distributor Santa Monica Seafood closed its restaurant and fish market in Costa Mesa, California, U.S.A., in a move it said reflects a challenging operational environment for restaurants in the U.S. and particularly in California.
Santa Monica Seafood CEO Roger O’Brien confirmed the closure to SeafoodSource, noting that the fish market and cafe is an “insignificant part of our business.” Additionally, the company’s restaurant and fish market in Santa Monica, California, remains open.
O’Brien said the Costa Mesa closure is due to an “unsustainable business environment” for California restaurants that includes high commercial lease rates, along with much higher operational costs, labor, and food expenses.
“For almost 30 years, we’ve served Costa Mesa. As we close our doors at this location, our hearts are filled with gratitude for your support throughout the years,” the company wrote in a 19 February Facebook post. “This isn’t goodbye; it’s see you soon. We’d love to welcome you at our Santa Monica location.”
The Rancho Dominguez, California, U.S.A.-based company operates distribution centers across the U.S. and completed construction on a distribution and processing facility near Denver, Colorado, U.S.A., last year.
The company is continuing to grow, too.
While Santa Monica Seafood put acquisitions on hold in 2023 and 2024, O’Brien told SeafoodSource the company is “always looking” for potential acquisitions this year.
Santa Monica isn’t the only company dealing with a difficult business environment.
Following bankruptcy filings by Red Lobster, Rubio’s Coastal Grill, and numerous other chains last year, Hooters may also file for bankruptcy protection this year.
Additionally, Bloomin’ Brands, the operator of Bonefish Grill, Outback Steakhouse, Fleming’s Prime, and other restaurant brands, said last week it is laying off 100 corporate employees, while Starbucks is laying off around 1,100 corporate employees.
