City National Bank of Florida has filed a lawsuit against The Salty Donut, alleging that the Miami-based donut company defaulted on a $4.8 million loan intended for the development of a store in Houston. The legal action was initiated in August in Miami-Dade County Circuit Court.
According to Johanna Castellon Vega, an attorney representing City National Bank, The Salty Donut borrowed the funds in October 2021 with plans to open a location at 1658 Westheimer Road in Houston’s Montrose neighborhood. However, the store never opened.
The bank states that the loan matured in January but that it entered into a forbearance agreement with The Salty Donut in May, extending the maturity date to June 27. Despite this extension, City National Bank claims that the loan remains unpaid.
Founders Andres Rodriguez and Amanda Pizarro personally guaranteed the loan, according to court documents. City National Bank is seeking repayment of the principal as well as interest and attorneys’ fees.
“Our client is at their wits end with this, knowing this is an entity that has several locations, not only in Texas, but here in Florida and in other states,” Vega said.
The Salty Donut did not respond to requests for comment before publication.
Rodriguez and Pizarro started The Salty Donut in 2014 from a vintage camper before opening their first physical store two years later in Miami’s Wynwood neighborhood. Currently, The Salty Donut operates 21 stores across cities including Atlanta, Austin, Charlotte, Dallas, Denver, Miami, Nashville, Orlando, Tampa and West Palm Beach. Additional locations are planned for Atlanta; Charlotte; and Washington D.C., according to its website.
Houston does not appear on its list of current or upcoming stores. However, last year The Salty Donut opened its first Houston-area location at LaCenterra at Cinco Ranch Boulevard in Katy—about 30 miles west of downtown Houston.
