Joe's Crab Shack will soon shutter it's decades-old location along downtown San Diego's bayfront Embarcadero near The Rady Shell, clearing the way for a Texas-based restaurant and music venue to take its place.
The restaurant occupies the historic San Diego Rowing Club building at 525 E Harbor Drive, just steps from The Rady Shell at Jacobs Park and behind the San Diego Convention Center. The site has been eyed for redevelopment since 2022, when the Port of San Diego began seeking proposals for a new operator that could breathe life - and revenue - into the high-profile but underperforming parcel.
Port officials confirmed they are in final lease negotiations with The Rustic, a Texas-based restaurant, bar and live music concept, to take over the site. While the deal has not yet been finalized, port staff expect to present a lease agreement for board approval later this year. If approved, The Rustic would begin a significant remodel of the space, with an opening likely sometime in 2026.
Founded in Dallas in 2013, The Rustic is known for its large patios, family-style comfort food, and regular live music programming. The brand's original location features picnic tables, fire pits, and weekend concerts - a model the company may replicate in San Diego. Its menu emphasizes regionally sourced ingredients, though how that approach will translate outside of Texas remains to be seen.
This isn’t the first time The Rustic has faced scrutiny over expansion. Its San Antonio location shuttered in 2024 amid nearby freeway construction, though it has continued to grow in Houston, Dallas, and most recently, inside Houston's Hobby Airport. In San Diego, the concept would replace a legacy business at a site with both promise and complication - including limited street visibility and constrained access.
The Rowing Club structure, which dates back to the early 20th century, was previously home to Chart House before Joe’s took over in 2002. Since the Port shifted Joe's to a month-to-month lease in 2022, its financial contributions have continued to underwhelm. In 2024, the Port received just $118,000 in rent from the restaurant - down from $135,000 in 2019.
Though the Port received proposals from eight operators, it has not disclosed the full list of contenders. The San Diego Symphony, which operates The Rady Shell next door, was reportedly among the applicants, sparking interest in whether a more locally driven concept might have been a better cultural and economic fit. Critics have argued that awarding the lease to a Texas chain risks overlooking homegrown hospitality groups capable of reflecting San Diego’s unique identity while keeping lease revenue closer to the local economy.
If approved, The Rustic’s entry will mark a new phase for the Embarcadero Marina Park South area, where foot traffic has surged since The Rady Shell's debut in 2021. With a 9,000-square-foot interior, a wraparound patio, boat dock, and more than 50 parking spaces, the site offers plenty of room for reinvention.
But before The Rustic - or any new operator - can take the reins, Joe’s Crab Shack will host its final summer season. It remains unclear whether the space will sit vacant during renovations or be activated in the interim. What’s certain is that by 2026, one of San Diego’s most prominent waterfront restaurant spaces will be reborn - with new music, new food, and an uncertain welcome from locals.
For updates, visit portofsandiego.org or therustic.com.
The Rowing Club structure, which dates back to the early 20th century, was previously home to Chart House before Joe’s took over in 2002. Since the Port shifted Joe's to a month-to-month lease in 2022, its financial contributions have continued to underwhelm. In 2024, the Port received just $118,000 in rent from the restaurant - down from $135,000 in 2019.
Though the Port received proposals from eight operators, it has not disclosed the full list of contenders. The San Diego Symphony, which operates The Rady Shell next door, was reportedly among the applicants, sparking interest in whether a more locally driven concept might have been a better cultural and economic fit. Critics have argued that awarding the lease to a Texas chain risks overlooking homegrown hospitality groups capable of reflecting San Diego’s unique identity while keeping lease revenue closer to the local economy.
If approved, The Rustic’s entry will mark a new phase for the Embarcadero Marina Park South area, where foot traffic has surged since The Rady Shell's debut in 2021. With a 9,000-square-foot interior, a wraparound patio, boat dock, and more than 50 parking spaces, the site offers plenty of room for reinvention.
But before The Rustic - or any new operator - can take the reins, Joe’s Crab Shack will host its final summer season. It remains unclear whether the space will sit vacant during renovations or be activated in the interim. What’s certain is that by 2026, one of San Diego’s most prominent waterfront restaurant spaces will be reborn - with new music, new food, and an uncertain welcome from locals.
For updates, visit portofsandiego.org or therustic.com.
