Business & Tech
Starbucks Closing All La Boulange Stores In Bay Area
The 23 locations, including one in Palo Alto, do not fit long-term growth plans, officials said.
Three years after Starbucks purchased San Francisco’s La Boulange bakery cafes, the coffee behemoth announced Tuesday that all 23 locations in the San Francisco Bay Area will be closed by the end of September.
Starbucks officials released a statement Tuesday on the decision to shutter the restaurants, explaining that if the company intends to reach its “goals to grow its food business and deliver an incremental $2 billion in the next five years in the U.S.” the La Boulange bakery cafes have got to go.
“Starbucks has determined La Boulange stores are not sustainable for the company’s long-term growth,” according to Starbucks.
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La Boulange’s founder Pascal Rigo sold his local bakery chain to Starbucks in 2012 for $100 million.
While Starbucks will close La Boulange’s 23 locations, two manufacturing facilities and the Evolution Fresh retail location in San Francisco, the coffee retailer plans to continue serving La Boulange food and using the brand in stores.
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Starbucks says that it will help La Boulange employees find new positions at Starbucks stores in the area.
The company’s Palo Alto store is on University Avenue.
--Bay City News
--Image courtesy of La Boulange Cafe and Bakery on Facebook.
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