DELRAY BEACH — Atlantic Avenue’s Sugar Factory officially closed its doors in March. Its promised “bigger” return to Delray Beach remains a sugar-coated mystery.
In a March press release, Sugar Factory said it had “outgrown the current space” and planned to relocate to a larger location within the city. Details would come within weeks, the release stated.
Multiple calls and emails to Sugar Factory representatives have not been returned.
Replacing it would be Beach Club, a new Italian restaurant concept, according to the release. It was expected to open in spring 2025 following a remodel. As of July, “coming soon” signs still hang on the space’s shuttered doors.
The arrival of Beach Club marks the third tenant change at 307 E. Atlantic Ave. in just a year, underscoring the rapid churn of restaurants at the high-profile spot.
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A nearby shop employee said turnover at that location is nothing new — businesses rarely last long there, possibly because of high rent. Sugar Factory, he noted, didn’t even make it one year.
Sugar Factory, known internationally for its celebrity ties and signature goblet drinks, took over the Atlantic Avenue space after Lionfish abruptly closed in April 2024, ending a three-year run.
Lionfish, an acclaimed seafood restaurant, opened in September 2020 following months of pandemic-related delays. The modern coastal cuisine restaurant focused on sustainability and was twice recognized by the James Beard Foundation as a Smart Catch Leader for its environmentally responsible practices.
Susan Nelson, of Delray Beach, visited Sugar Factory with her family twice while it was open. She recalled the space being lavishly decorated for holidays like Valentine’s Day and Christmas.
On one visit before Christmas, Nelson stopped in hoping for ice cream but ended up ordering an enormous hot cocoa punch bowl topped with marshmallows, gummy bears, chocolate pretzels and more — enough, she said, to serve 40 people. She and her family shared it with others in the restaurant and even with passersby.
“It was crazy,” she said. “But that’s why I decided to go back in February.”
Nelson said she was sorry to see the restaurant close.
“It wasn’t open very long,” she said. “We were surprised it closed so fast. It seemed that they could stick around and sustain.”
Sugar Factory representatives declined to comment on the restaurant’s closure and future plans. The restaurant is listed online as “permanently closed,” and its social media accounts have been inactive since March 7.
Beach Club is part of a larger real estate development.
Beach Club’s partners Rob Krauss, Jared Falco, Matthew Watson, Shaun Vanalphen and Ian Bond back three restaurant concepts in New York City’s Westchester and Fairfield County suburbs: Fortina, Bar Rosina and Grigg Street Pizza, which was featured on Guy Fieri’s “Diners, Drive-Ins and Dives” on Food Network.
Palm Beach Post Staff Writer Diana Biederman contributed to this report.
Jasmine Fernández is a journalist covering Delray Beach and Boca Raton for The Palm Beach Post. You can reach her at jfernandez@pbpost.com and follow her on X (formerly Twitter) at @jasminefernandz. Help support our work. Subscribe today.
This article originally appeared on Palm Beach Post: Delray Beach’s Sugar Factory shuttered months ago. Its promised return is still a mystery.
Reporting by Jasmine Fernández, Palm Beach Post / Palm Beach Post
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