The closure was confirmed on December 31 by Sprinkles founder Candace Nelson, who shared an emotional message on Instagram describing the news as “surreal.” Nelson founded Sprinkles in 2005 with the opening of its first bakery in Beverly Hills, helping spark the nationwide gourmet cupcake craze that dominated the late 2000s and early 2010s. She sold the company to private equity in 2012 and has not been involved in its operations for more than a decade.
“This isn’t how I thought the story would go,” Nelson said in her post, reflecting on the brand’s sudden end. She added that she believed Sprinkles would “keep growing and be around forever,” calling it what she once envisioned as her lasting legacy.
In San Diego, the closure impacts the long-running La Jolla location, which had operated for nearly 15 years and served as the region’s last physical Sprinkles bakery. Formerly, the brand also maintained cupcake ATMs at Fashion Valley Mall and in Little Italy, part of a novelty concept Sprinkles introduced in 2012 that allowed customers to purchase cupcakes around the clock from vending-style machines. Those ATMs were among the first of their kind in the country and became a defining feature of the brand’s identity.
Employees at the La Jolla store told local media they were given little notice before the shutdown, with some learning they would be out of work just a day before the final closure. Social media quickly filled with comments from former workers across the country expressing frustration over the abrupt layoffs and lack of severance, adding a difficult coda to what had been a celebratory brand for many customers.
At its peak, Sprinkles operated more than 20 locations across multiple states and Washington, D.C., along with dozens of cupcake ATMs. The company was still publicly promoting future expansion as recently as mid-December, including a forthcoming Burlingame location, making the nationwide shutdown all the more unexpected.
Sprinkles rose to prominence with its dense, bakery-style cupcakes in flavors like red velvet, strawberry, ginger lemon, and s’mores, and quickly became a favorite of celebrities and national tastemakers. Oprah Winfrey famously counted Sprinkles among her favorite desserts, while the Los Angeles Times once dubbed the brand “the progenitor of the haute cupcake craze.”
The company’s current ownership has not provided a detailed explanation for the closures, issuing only a brief statement acknowledging the decision to “transition away from operating company-owned Sprinkles bakeries.” Requests for further comment were not returned by the time of publication.
For San Diego, the closure marks the end of a dessert fixture that once symbolized the city’s embrace of national food trends, from upscale cupcakes to automated food retail. With the La Jolla bakery and local cupcake ATMs now gone, Sprinkles joins a growing list of once-dominant fast-casual and dessert brands struggling to survive in a shifting retail and dining landscape.
Originally published on December 31, 2025.