The downtown café at 90 New Montgomery St. was sued by its landlord, which alleged Outset owed more than $121,000 in rent in 2025. A San Francisco Superior Court judge awarded the landlord possession of the property in December 2025. The sheriff’s office said an attempt to carry out the eviction in January was unsuccessful, but that Outset had left the space by August.

At 790 Valencia St., Outset’s landlord sued in June 2025, alleging that the café had stopped paying rent after the end of 2024 and owed more than $100,000 by April 2025. The landlord said the shop had described itself as temporarily closed because of staffing changes, then appeared to abandon the space. Its lease was set to run through April 2028. A judge entered a $200,000 judgment against Outset this month, covering back rent, legal fees and interest.

The landlords’ separate lawsuits alleged the company owed more than $223,000 in total. Court records show Outset did not respond to either case. Fuji Inc., Sun’s company, was Outset’s parent company and guaranteed its leases. Sun did not respond to a request for comment.

Outset opened on Valencia Street in June 2023 and later opened downtown. The café earned attention for coffee, matcha and fruit drinks with Asian-inspired flavors. Its closure follows the apparent shutdown of Zero&, Sun’s fruit-focused tea business, which once leased about a dozen locations. Sun previously said in 2025 that business at Zero& was “just unsustainable in some locations,” after landlords raised claims of unpaid rent at several shops.

The closures come as San Francisco continues to see new coffee businesses open, highlighting the financial pressures that can challenge independent food and drink operators even as the city’s café scene grows.