The Farmacy Faces Fallout After Abrupt Flagship Restaurant Closure As Newly-Opened San Diego Location Draws Backlash

Once celebrated as a community-minded brunch favorite in Albuquerque’s Nob Hill, The Farmacy has now become the center of controversy - closing abruptly in New Mexico, leaving nearly 20 employees unpaid, and facing a growing backlash at its recently opened downtown San Diego location.

The longtime Albuquerque café, owned by Chef Jacob Elliot and Mary Hammack, announced its permanent closure on October 15 after nearly a decade in business. “We regret to announce that The Farmacy has permanently closed its doors,” read the farewell post on Facebook. But behind the warm words, former employees allege they were blindsided and left without their final paychecks - while the owners had already been pouring their focus into the new East Village San Diego restaurant, which quietly debuted at the end of summer 2025.

According to reporting by The Paper in Albuquerque, workers said they were told the restaurant was only closing temporarily for “inventory issues” before learning through social media that it was shutting down for good. “We were all just sitting in limbo, waiting to hear what was going on,” said former server Dymond White, who discovered the closure via Facebook.

Another former employee, Karah Lizotte, said staff had grown uneasy as supplies ran out and the owners’ attention shifted west. “We kind of knew it was coming once Jacob and Mary started focusing on opening [the new restaurant] in San Diego,” she told The Paper.

When workers demanded their last paychecks, they were reportedly told that the company had filed for bankruptcy and that the owners no longer had access to the business accounts. Court records confirm that The Farmacy filed for bankruptcy protection on October 15, the same day the closure was announced publicly. Some employees have since filed wage claims with the New Mexico Department of Workforce Solutions.

In an emailed statement to SanDiegoVille, Chef Jacob Elliot clarified that the bankruptcy applies only to the Albuquerque LLC, which he says is a legally separate entity from the San Diego restaurant.

“Albuquerque restaurant The Farmacy Coffee Shop LLC filed for emergency bankruptcy,” Elliot explained. “This is a separate LLC with a different ownership structure from the San Diego location known as The Farmacy.”

Elliot said the filing occurred mid-payroll cycle, preventing him from legally issuing checks to employees.

“My bankruptcy attorneys informed me that I could not legally issue checks for that pay period,” he said. “The bankruptcy court assigned a third-party trustee who now controls any and all of the LLC’s assets. To distribute funds on our own would be illegal. We made sure every employee received the necessary documents and information to file claims.”

Elliot added that the decision to close was made abruptly due to financial strain caused by delayed permitting in San Diego and declining sales in New Mexico.

“Our San Diego permitting process was severely mishandled by various city agencies, delaying our opening by nearly two years,” he said. “With no return on investment on a leased property in downtown San Diego, our funds were rapidly depleting. We had hoped to run both locations in tandem, but it very suddenly became clear the Albuquerque business was no longer financially viable.”

He said he and Hammack, who have lived in San Diego for five years, personally invested their own money to try to save the Albuquerque restaurant before filing.

“It was a difficult decision that had to be made much more abruptly than we would have hoped,” Elliot said.

While The Farmacy San Diego continues operating at 721 Eighth Avenue, the backlash from Albuquerque has quickly crossed state lines. The restaurant’s Google listing has been flooded with one-star reviews, with commenters accusing the owners of abandoning their former staff.

Elliot said the criticism and online hostility have taken a toll.

“Some of the allegations online are deeply upsetting,” he said. “We’ve had people who were never involved sending threatening messages to our family. Allegations are not facts, and we’ve always tried to take care of our employees and our community.”

He cited several examples of goodwill during their Albuquerque years, including paying for a regular customer’s funeral, helping an employee fund her citizenship process, and organizing multiple community fundraisers.

“We’ve always strived to look out for our community,” Elliot said. “We believe the recent allegations lack merit and proof. We hope anyone forming an opinion considers this.”

The closure follows a turbulent year for The Farmacy. In January 2025, the restaurant launched a GoFundMe campaign after a break-in that owners said caused a “devastating loss of revenue.” According to the campaign post, thieves stole iPads, computers, phones, and POS system components - crippling the café during a busy holiday weekend.

Elliot said the San Diego restaurant - operated under a separate entity - is open and “gaining momentum.”

“We love our space in East Village and are excited to finally share our menu with guests,” he said. “The restaurant has been very well received by those who’ve made the trip here.”

The Farmacy’s new space replaces the former Minou Creperie, serving the same style of farm-to-table comfort fare that made its Albuquerque predecessor a local favorite - from scratch-made biscuits and Reubens to waffles, quiche, and mimosas.

Still, the fallout from New Mexico remains a cloud over the new venture, with many online commenters conflating the two businesses.

Whether the San Diego location can overcome the controversy remains to be seen, but Elliot says he welcomes open communication.

“Anyone who wants more clarity on the situation is welcome to reach out to us personally,” he said. “We’re happy to be transparent so that informed opinions can be developed.”

The Farmacy now faces a mounting backlash that stretches from the high desert to the California coast - with former employees demanding accountability, customers demanding transparency, and San Diego diners left to decide whether the restaurant’s new chapter deserves a clean slate.

The Farmacy is located at 721 Eighth Avenue in San Diego's East Village. For more information, follow @farmacysd on Instagram

Originally published on October 19, 2025.