News Summary
Darden Restaurants is considering selling its Bahama Breeze brand after closing 15 locations due to declining sales. Following a review of its business strategy, the company believes Bahama Breeze may perform better under new ownership while focusing on its more successful restaurant concepts. The brand has faced challenges in the competitive dining market, and its sales have dropped significantly. This reevaluation is part of Darden’s broader strategy to streamline operations and enhance overall performance.
Orlando, Florida – Darden Restaurants is considering selling its Bahama Breeze brand, as it has recently deprioritized the restaurant chain following the closures of several locations. In mid-May 2025, the company closed 15 Bahama Breeze restaurants, five of which were situated in Florida. Following these closures, 28 of the brand’s highest-performing locations remain operational.
Ricardo Cardenas, President and CEO of Darden Restaurants, indicated that this decision aligns with a thorough review of the company’s business strategy. He expressed that the remaining Bahama Breeze restaurants might be better positioned under new ownership. Darden is now exploring various strategic options for the brand, which may also involve transitioning some of the locations to different Darden restaurant concepts.
The closures of the 15 Bahama Breeze locations come at a time when the Caribbean-themed restaurant chain is struggling with declining sales. Last year, Bahama Breeze experienced a 7.7% decrease in systemwide sales, totaling $246.7 million. In contrast, Darden Restaurants reported an increase in overall sales by 6% over the 12 months ending May 25, reaching $12.1 billion.
Bahama Breeze was originally founded in 1996 in Orlando, Florida, and has since been known for its tropical atmosphere and Caribbean-inspired menu. However, the chain has faced increasing challenges and competition in the restaurant industry. Given the changing dynamics of the market, Darden’s decision to deprioritize the brand follows a broader trend observed in the restaurant sector, where many companies are reassessing their business models and the brands they emphasize.
The evaluation of Bahama Breeze is part of Darden Restaurants’ ongoing analysis of its business and brand strategy as it moves forward. The company’s prioritization of other brands indicates a shift in focus that could bolster its overall performance by concentrating on its most successful concepts.
Ultimately, any potential sale or strategic shift related to Bahama Breeze is not anticipated to have a significant impact on Darden’s financial condition. This reaffirmation of financial stability suggests that the company aims to streamline its operations while maintaining its primary focus on brands that yield better performance and customer engagement.
As Darden Restaurants continues to review its portfolio of brands and strategize for the future, the outcome of its deliberations regarding Bahama Breeze will likely be of interest to stakeholders and customers alike. The potential sale of the brand or transition of certain locations could pave the way for new opportunities, either enhancing the remaining Bahama Breeze restaurants’ performance under fresh leadership or integrating them into Darden’s established and successful restaurant concepts.
In summary, the recent closures and decision to deprioritize Bahama Breeze highlight significant changes within Darden Restaurants as it seeks to refine its business strategy for improved overall success in a competitive dining environment.
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Additional Resources
- Bloomberg: Darden Weighs Sale of Bahama Breeze Restaurant Chain
- Google Search: Bahama Breeze restaurant
- Nation’s Restaurant News: Darden Seeks to Spin Off 28-Unit Bahama Breeze
- Google Scholar: Bahama Breeze
- Restaurant Business Online: Darden Restaurants Could Sell Bahama Breeze
- Encyclopedia Britannica: Restaurant Chains
- Black Promoters Collective: Bahama Breeze Locations Will Be Shut Down or Sold
- Google News: Darden Restaurants
