Orange County coffee house chain, Diedrich Coffee is selling out to Starbucks. They’re only selling their retail locations and will remain a coffee wholesaler but the current stores will become Starbucks or close.
Almost all locations are in Orange County but the had two here in the LA area – one in Santa Monica and one in Malibu (which I’ve been to a few times). They offer a free hour of wifi with purchase at most of their locations, but that wasn’t enough to keep them in the black. The sale was for $13.5 million according to the LATimes, which seems a little low to me but then again they also reported that they lost $1.7 in their most recent reported fiscal quarter.
Diedrich was Orange County’s coffee house, their first store opened in 1983.