Los Angeles Dessert Shop Abruptly Shuts Down Multiple Locations, Blames California’s High Business Costs
This week, a dessert shop that has been operating in Los Angeles for almost thirty years abruptly closed, claiming rising operating expenses in California.
Sweet Lady Jane, which is well-known for her triple berry cake, posted on its website on Sunday that all of its shops were closing. The bakery stated that December 31, 2023, was its last day of operation.
“We did not make this decision hastily or lightly,” the bakery’s website says in a note. “While the support and loyalty of our customers have been strong, sales are not enough to continue doing business in the state of California, allowing us to service our lease obligations and pay our treasured employees a living wage without passing those costs directly on to you.”
The company has eight sites in the Los Angeles region, including ones in Calabasas, Santa Monica, and Beverly Hills.
According to its website, the chain intended to open locations in the Marina Del Rey and Larchmont neighborhoods of Los Angeles. Up to 200 people were employed by Sweet Lady Jane, according to LinkedIn.
In California, minimum wage employees are paid $16 per hour; however, several localities mandate that firms pay a higher minimum wage. Many fast restaurant employees in the state will receive $20 per hour starting in April.
FOX Business attempted to get in contact with the bakery.