L.A.’s favorite cupcakery closes after two decades

Sprinkles Cupcakes has closed all of its locations with little notice to customers, fans and employees. The gourmet cupcake chain was founded just over two decades ago in Beverly Hills by Candace and Charles Nelson.

The former investment bankers rode the wave of hand-held sweets until selling out to a private equity firm in 2012. “Even though I sold the company over a decade ago, I still have such a personal connection to it, and this isn’t how I thought the story would go,” Ms. Nelson said in a social media post.  

The 00s cupcake craze seems to have kicked off in New York after Sarah Jessica Parker’s character in Sex and the City was seen munching on pink-frosted cupcakes from Magnolia Bakery. That New York institution expanded to a location in L.A.’s Beverly Grove neighborhood in 2010.

Sprinkles CupcakesCredit: Photo by spablab

After opening their first store in Beverly Hills in 2005, Sprinkles soon became known for not only the quality of their cakes, but also their aesthetics and unique limited-time flavors like chai latte and candy corn. That first store was soon selling 1,000 cupcakes a day at $3.25 each. Soon, they were selling out of a mobile food truck and their famous Cupcake ATM, which was open 24 hours a day.

Candace Nelson cited her French-born grandmother’s recipes as an inspiration for opening Sprinkles. She met her husband when the two were bankers in San Francisco in the 1990s. The pair set up shop in Beverly Hills and sold out on their first day. Soon, celebrity fans like Oprah, Katie Holmes and Barbra Streisand were singing the praises of her sweet treats. “Not only is (Streisand) an icon, but she has an amazing knowledge of baking,” Nelson told the Los Angeles Times. “She wanted to discuss specific baking points and recipes with me. I was thrilled.” 

Sprinkles CupcakesCredit: Photo by David Berkowitz

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Nelson went on to appear as a guest judge on Food Network’s Cupcake Wars and on ABC’s Shark Tank. She wrote the book Sweet Success: A Simple Recipe to Turn Your Passion into Profit. In 2017, the couple opened Pizzana, a Neapolitan-style pizzeria that currently boasts eight locations and a spot in the Michelin guide.

The founders sold Sprinkles to KarpReilly in 2012. The Connecticut-based company also owns fast-growing chains Salt and Straw, HomeState and Pitfire Pizza. They also own moribund operations like Marie Callender’s and Mimi’s Café. Sprinkles appeared to be doing well. The 24-unit chain was poised to grow quickly after adopting a franchise model in 2023, with plans to reach 200 locations around the world. The business had reported $44.5 million in sales in 2024, a 3% increase from the previous year.

“I thought Sprinkles would keep growing and be around forever,” Nelson said on Instagram. “I thought it was going to be my legacy.”

An empty Sprinkles Cupcakes location, 2026Credit: Photo by Chris Nichols