Forest & Flour, a bakery known for gluten-free, dairy-free, soy-free, corn-free and peanut-free breads and pastries, has closed after its final farmers market appearances at the end of September, co-owner Sway Soturi told The Oaklandside.

Why it matters: The bakery served many customers with food allergies and sensitivities. Its closure is the latest sign of how hard it is to run a values-driven food business in the Bay Area.

What's gone

Soturi and partner Damian Bibb ran the bakery from a kitchen at 43587 Mission Blvd. in Fremont and sold at farmers markets including Grand Lake in Oakland and Clement Street in San Francisco, according to the bakery's website. The cafe closed in May, The Oaklandside reported. The $13 sourdough baguettes often sold out.

Why it closed

Soturi said the Fremont build-out, in a former Starbucks near Ohlone College, took about a year. It was priced at $137,216 but ended up costing $291,162.52. Seven months went to back-and-forth with the Alameda County Health Department, she said.

The bakery kept food costs at 25%, but Soturi said bread would have needed to sell for $35 to stay afloat. Staff were paid well above minimum wage, and full-time staff got paid time off and health insurance, funded by an automatic 15% charge at markets and 20% at the cafe instead of tips. That program cost $40,000 in its first year.

What's next

The couple hopes someone will buy the business. They plan to return in January 2027 with pop-ups at Grand Lake and Clement Street, though Soturi said even that is not guaranteed.