Bahama Breeze shuts down Daytona Beach, Gainesville locations amid chain-wide cuts | FOX 51 Gainesville
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Bahama Breeze shuts down Daytona Beach, Gainesville locations amid chain-wide cuts

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Published  May 16, 2025 10:56pm EDT
Business
FOX 35 Orlando
Bahama Breeze abruptly closes 15 restaurants

Bahama Breeze abruptly closes 15 restaurants

Bahama Breeze has announced the unexpected closure of 15 of its restaurants across the United States, including five in Florida. The restaurant chain, known for its tropical atmosphere and Caribbean-inspired food, is owned by Darden Restaurants.

The Brief

    • Bahama Breeze abruptly closed 15 locations nationwide, including in Daytona Beach and Gainesville.
    • Parent company Darden cited shifting consumer habits and underperformance as reasons for the closures.
    • Some affected workers may be transferred to other Darden restaurants; others will receive severance.

DAYTONA BEACH, Fla. - Bahama Breeze has abruptly closed 15 of its restaurants nationwide this week, including locations in Daytona Beach and Gainesville, as the chain shifts focus to better-performing sites.

Employees to be offered transfers or severances

What we know:

Bahama Breeze has permanently closed its locations in Daytona Beach and Gainesville, part of a larger decision to shut down 15 of the Caribbean-themed restaurants across the U.S. this week. 

The closures were executed swiftly, with the Daytona Beach location cleared within hours. Witnesses described the scene as sudden and complete, with signage stripped, and the restaurant emptied by the end of the day. The restaurant’s parent company, Darden Restaurants, confirmed the closures and cited business performance as the reason behind them.

What we don't know:

It's unclear how many employees are affected at each location and how many will ultimately be transferred to other Darden brands like Olive Garden or Cheddar’s Scratch Kitchen. The company has yet to say whether more closures could be coming or if this was a one-time restructuring effort.

The backstory:

Casual dining chains like Bahama Breeze have faced mounting challenges in recent years, especially as the pandemic accelerated a consumer shift toward food delivery, takeout, and more affordable dining options. 

While fast-casual and quick-service restaurants have adapted more quickly to these changes, sit-down chains have struggled to maintain traffic and margins. Bahama Breeze, known for its island-inspired menu and tropical theme, has not been immune to the pressures of changing dining behaviors.

What they're saying:

The closures mark a continued downturn for the casual dining sector, which has struggled to rebound from shifting consumer habits.

Experts say more diners are opting for takeout or lower-cost alternatives, putting pressure on mid-tier restaurant chains.

"People still want to have a great experience when they go out and want good food," said Mark Johnston, a marketing professor at Rollins College. "But the area that has been most dramatically hit is this casual dining."

"Closing a restaurant is a difficult choice because it impacts our team members and guests," Darden Restaurants said in a statement. "However, we believe this is the right decision because it will allow Bahama Breeze to focus on its highest-performing restaurants and strengthen the brand's overall performance."

What's next:

The company said it will attempt to place displaced employees at other Darden-owned restaurants. Those not reassigned will receive severance packages.

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The Source: This story was written based on information shared by Darden Restaurants, and Rollins College marketing professor Mark Johnston.

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