Public filings reviewed this week show Nutmeg Bakery & Cafe is planning a new full-service location at 4120 Napier Street, Suites A & B, in the heart of Bay Park near Morena Boulevard and Mission Bay. The approximately 2,340-square-foot restaurant space is currently under city review, with ownership targeting an opening in early 2027. The upcoming cafe would mark Nutmeg’s third San Diego-area location and its southernmost outpost to date, extending the family-run business beyond its North County roots into one of the city’s fastest-evolving food neighborhoods.
Founded in 2012 by Shirin Soroushian alongside daughter Michka Hoffos and son-in-law chef Drew Hoffos, Nutmeg began as a modest bakery and brunch operation in Sabre Springs before building a fiercely loyal following for its organic pastries, lower-sugar desserts, and ingredient-driven breakfast and lunch menu.
Long before gluten-friendly baking became mainstream, Nutmeg carved out a niche by focusing on scratch-made baked goods that catered to a wide range of dietary needs without sacrificing flavor or presentation. Over time, the cafe evolved into a destination for seasonal brunch plates, artisanal pastries, avocado toast, sandwiches, salads, French toast, and locally sourced ingredients sourced whenever possible from regional farms and producers.
The business expanded into Scripps Ranch in 2019, opening a stylish second location with a larger footprint and tree-lined patio seating that helped elevate Nutmeg from neighborhood bakery to one of North County’s more recognizable independent cafe brands.
National attention arrived in early 2023 when Nutmeg was featured on Food Network’s “Diners, Drive-Ins & Dives,” introducing Guy Fieri viewers across the country to the San Diego bakery’s brunch offerings and housemade pastries. The exposure delivered what many restaurant owners call the “Guy Fieri bump,” driving a surge of new visitors and tourism interest. But the timing also coincided with escalating inflation, labor pressures, and operational costs that have continued reshaping San Diego’s restaurant industry.
Despite the television spotlight, Nutmeg ultimately closed its Scripps Ranch restaurant in 2024 and relocated operations to a larger space in Poway at 13771 Danielson Street, taking over the former San Diego Cafe location. Ownership cited rising costs and operational realities as major factors behind the move, though the relocation also allowed the company to expand its menu with burgers, sandwiches, salads, burritos, and additional brunch offerings.
The Bay Park expansion suggests the company has stabilized following that transition and is once again entering growth mode. The proposed Napier Street location sits inside a recently renovated retail strip near the Mission Bay corridor, an area that has quietly transformed over the past several years into one of San Diego’s emerging food and cafe hubs. Bay Park has seen an influx of coffee shops, breweries, neighborhood eateries, and chef-driven concepts fueled by increasing residential density and proximity to both coastal communities and central San Diego.
Commercial marketing materials for the Napier property emphasize high visibility, restaurant-ready infrastructure, and strong commuter traffic along Morena Boulevard and Interstate 5. Reports indicate the building already contains key restaurant components including grease traps and hood systems that could streamline Nutmeg’s buildout timeline.
The move also places Nutmeg into a dramatically different demographic environment than Poway or Scripps Ranch. Bay Park’s increasingly younger and lifestyle-oriented customer base aligns naturally with Nutmeg’s branding around wellness, brunch culture, specialty coffee, and dietary-conscious eating.
While ownership has not yet publicly detailed the full Bay Park menu, the new location is expected to operate as a full-service bakery and cafe with seating, coffee service, pastries, breakfast and brunch dishes, and many of the gluten-friendly and lower-sugar items that helped establish the brand’s identity.
The bakery has also increasingly leaned into its role as a community-oriented neighborhood gathering space rather than simply a pastry shop. Earlier interviews with ownership emphasized a desire to create welcoming, family-friendly environments where customers with dietary restrictions could still enjoy elevated brunch and dessert experiences without feeling excluded.
That positioning has become increasingly valuable in San Diego, where consumer demand for gluten-conscious, vegan-friendly, and health-forward dining continues growing even as many independent restaurants struggle with cost pressures and shrinking margins.
For Bay Park residents, the upcoming opening will likely offer a much closer alternative to traveling north for Nutmeg’s pastries and brunch dishes. And for the bakery itself, the move represents another significant chapter in a business that has steadily evolved from small neighborhood bakery into one of San Diego’s more recognizable independent cafe brands.
Nutmeg Bakery & Cafe is expected to open its Bay Park location at 4120 Napier Street, Suites A & B, in early 2027 pending permit approvals and buildout completion. For more information, visit nutmegsd.com.
Originally published on May 6, 2026. Information first reported by Daniela Velez of What Now.
