Delgado Guitars Considered Leaving Nashville
The 98-year-old luthier shop may depart due to escalating operational expenses.
Updated on Sept. 30, 2026 in Openings & Closings
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Delgado Guitars has announced plans to potentially leave Nashville after nearly a century in the city. The third-generation business reports that rising property taxes and high import costs have created unsustainable financial pressure.
Why it matters
The potential closure highlights how surging overhead, particularly property taxes and international shipping tariffs, creates significant challenges for long-standing small businesses. Owners are struggling to remain viable in an increasingly expensive urban climate.
The 98-year-old shop reports that international import expenses have tripled compared to last year. These rising costs, compounded by property tax-driven rent hikes, have forced the business to increase prices for customers.
The players
Delgado Guitars
This third-generation family business has operated in the Nashville area since 1928.
Metro Council
This governing body for the City of Nashville is responsible for passing local legislation and small business incentive programs.
The details
The owner noted that current municipal small business incentive proposals do not apply to his shop, further complicating plans to stay in the city. Rising logistics costs and shipping tariffs have significantly hampered the ability of the boutique luthier to maintain operations.
Timeline
Delgado Guitars began operations in 1928.
The shop faced significantly lower costs for imported products last year.
The Metro Council will hold a vote on small business incentives next week.
Market Landscape
The business current struggle with overhead costs highlights a gap in the eligibility requirements set by the Nashville Metro Council small business incentive proposals. This departure represents a broader trend of historic storefronts losing ground to rising urban operational expenses.
Customers should expect higher prices at the shop as the business attempts to offset rising operational expenses. The potential departure of this long-standing institution may limit local access to specialized luthier services if the shop relocates out of the city.
The takeaway
Small businesses often face unique hurdles when municipal tax structures and tariff environments shift faster than assistance programs can address. Business owners must frequently choose between passing costs to customers or relocating to more affordable markets.
What happens next
The Metro Council is scheduled to hold a third and final vote on small business incentive proposals next week.
Further reading
Learn more about the local retail climate by browsing Openings & Closings.
Source note: This article includes information reported by WZTV.
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