The bakery brand, known for its handcrafted pastries, artisanal breads, and breakfast sandwiches, recently announced on Instagram that both its Oceanside branch and original Costa Mesa location have permanently shuttered. Court records confirm that Blackmarket Bakery Inc. filed for Chapter 11 bankruptcy protection in the Southern District of California on September 4, 2024 (Case No. 24-03364-JBM11). The case remains active under Judge J. Barrett Marum, with proceedings ongoing through August 2025.
"It is with a sad heart that I have to announce… Our bakeries in Costa Mesa and Oceanside have unfortunately closed. We appreciate all of our customers and staff! Our North Park bakery is still operating so we hope you can visit us there. We love you and thank you!"
The closure of the Oceanside and Costa Mesa outposts follows a challenging period for the once-expanding bakery chain, which originated in Costa Mesa and grew to include locations in Santa Ana, San Diego's North Park, and more recently, the East Village. The bankruptcy filing underscores the financial strain the company has faced after years of expansion and multiple closures.
Founded by CIA-trained pastry chef Rachel Klemek, Blackmarket Bakery first gained a cult following at farmers markets and later at its first retail storefront in Costa Mesa in 2013. Klemek, a former assistant pastry chef at Mélisse in Santa Monica and night baker at Zov’s in Tustin, built a reputation for creative spins on nostalgic baked goods - think house-made Pop Tarts, fruit-studded tarts, croissant egg sandwiches, and the signature "two-tone" cookies featuring both milk and dark chocolate chips.
The Oceanside location opened in summer 2022 as part of the Freeman Collective development, alongside tenants like HomeState and Artifex Brewing. Designed as a modern café with outdoor seating and grab-and-go options, the bakery aimed to anchor a new hub of coastal culinary creativity in North County.
The closures follow a difficult stretch for the once-expanding bakery brand. Blackmarket previously shuttered its East Village shop earlier this year, less than twelve months after opening. That space was quickly taken over by Relic Bageri, a pandemic-born artisanal bakery that has since built its own following but has yet to open its brick-and-mortar site.
While the brand’s North Park store remains open, its long-term future is unclear, with indications that the business may be up for sale. We reached out to Rachel Klemek for more information but did not receive a substantive response.
For more information, the bankruptcy docket can be viewed via the U.S. Bankruptcy Court for the Southern District of California under Case No. 24-03364-JBM11. For bakery details, visit blackmarketbakery.com.
Originally published on August 20, 2025.
