The Great Dublin Restaurant Shuffle

Having lived abroad, I developed the habit of eating out and frequenting a selection of local restaurants. Two of my favourites, however, closed suddenly and were replaced within days by a brand I'd never heard of until last Christmas: Tucano.

One was Eatokyo on Capel Street, which closed in January 2025. Its sister branch on Talbot Street also closed, though their popular spot on Wellington Quay in Temple Bar has remained open. The other was The Hungry Mexican, a place I’d known for years, dating back to its original location in Bodkins on Bolton Street. It had moved to Wellington Quay and was operational until a few days ago, when it sold its lease to Tucano.

The rapid succession of these closures and new openings isn't a coincidence but a clear sign of the market's transformation.

Eatokyo's Exit: A Perfect Storm

The sudden closure of Eatokyo's northside branches came as a surprise. The business was by all accounts a success, with its flagship Wellington Quay restaurant celebrated as a "peaceful haven" with a beautiful view of the Liffey. Its other branches on Capel and Talbot Streets were also well-regarded, earning rave reviews for their modern atmosphere and impressive menu.

But this success couldn't withstand a "perfect storm" of external pressures. While the business had navigated the Covid-19 lockdowns, a new set of crises proved too much. The 2023 Dublin Riot had a devastating psychological and financial impact, causing bookings to disappear and footfall to plummet as people avoided the Northside. At the same time, the rise of remote work eroded the vital weekday lunchtime trade. These were compounded by soaring costs from rising energy and food prices, staffing shortages, and the reversal of the hospitality VAT rate from 9% to 13.5%.

Eatokyo's closures weren't due to health and safety issues but were a difficult business decision made in response to a hostile environment. Rather than retire, Eatokyo's owner, Jack, has pivoted, taking over Essence in Dundrum [highly recommended]. This move from a crisis-hit city centre to a more stable suburban location shows entrepreneurial resilience and a smart adaptation to local market conditions.

The Hungry Mexican: A Strategic Transition

The Hungry Mexican's story is a different kind of narrative. The restaurant was well-known, with a reputation for authentic Mexican food and its "award-winning Margarita." It had a loyal following, especially in its early years, and was seen as a fun, budget-friendly spot. When I visited about ten days ago it was very busy.

Tucano’s Rise: A Calculated Strategy

Tucano's sudden emergence and rapid expansion are not random events. While the Dublin-based brand should not be confused with other businesses of the same name, it has established itself as a "vibrant gem" known for its Brazilian cuisine. This existing success provides a strong foundation for expansion.

The rapid acquisition of the leases for both Eatokyo and The Hungry Mexican's Wellington Quay branches is the cornerstone of this strategy. These closures created a sudden availability of prime, high-footfall properties. Instead of building from scratch, Tucano seized the opportunity to take over established locations.

The most compelling aspect of this strategy is its adaptability. For the Capel Street location, the new restaurant isn't a simple Brazilian clone but a new concept called Tucano Plus, which features a special sushi menu. By incorporating the cuisine of its predecessor, Tucano Plus isn't just replacing a competitor; it's strategically attempting to capture and retain Eatokyo's former customer base. This sophisticated approach minimizes risk and ensures a smoother transition by catering to an already established market.

I understand that Tucano on Wellington Quay is also in the process of rebranding and should be open for walk-in business within the next two or three days. To the best of my knowledge, they officially took control of the property over the weekend.

A Dynamic Culinary Ecosystem

The stories of these three restaurants are deeply interconnected and illustrate the broader dynamics of Dublin's hospitality sector. The challenging conditions that overwhelmed Eatokyo and exacerbated The Hungry Mexican's struggles have acted as a form of market selection.

The businesses that are now thriving and expanding are those that offer a resilient and compelling value proposition. Dublin’s culinary landscape is increasingly defined by a preference for "experiential dining" with unique concepts and a fusion of global flavours. Tucano's business model, with its lively ambiance and strategic adaptation, aligns perfectly with this trend. It's a new type of business, one that leverages the void left by its predecessors.

The seemingly paradoxical closures are therefore not simply stories of failure, but of a dynamic market in flux. They represent an ecosystem in transition, where some businesses retreat and others strategically emerge to fill the new spaces they leave behind.

Dublin, Dublin hospitality industry, restaurant closure, restaurant trends, Eatokyo, The Hungry Mexican, Tucano, business analysis, lease sale, strategic expansion, commercial property market, William Murphy, Infomatique, Photonique,