Water Street Cafe, the seafood and oyster bar fixture at 143 Water St. in Stonington Borough, will close for good after dinner service on Saturday, Nov. 7. The closure brings an end to more than three decades of French, Asian and American-inflected cooking that turned the small waterfront spot into one of the borough's most recognizable addresses.
Owners Stephanie Hayes-Houlihan and Chef Walter Houlihan announced the closure on Facebook, according to Patch, though the pair did not give a reason for shutting the doors. As reported by Daily Voice, Hayes-Houlihan and Houlihan used the announcement to thank the diners who helped turn the restaurant into a community gathering place, and the post drew responses from nearly 200 customers.
The restaurant opened April 14, 1994, per Patch's reporting, and eventually settled into its current Water Street location in 2002 after operating at several spots around Stonington Borough. A 1997 New York Times review, however, described the cafe as having only been open since that June, a discrepancy that remains unresolved between the two accounts of its early history.
A Menu Built on Decades-Old Favorites
Over the years, Water Street Cafe became known for its seafood, oyster bar and a menu blending French, Asian and American influences, a mix the Patch report traces to the restaurant's founding identity. The same cross-cultural approach was still on display in 2022, when Hayes-Houlihan described the offerings as New American cuisine that was ethnically diverse, according to Stonington Borough's community blog. That same profile noted the business remained a family affair, with Hayes-Houlihan running the front of house and operations while Walter Houlihan served as executive chef and co-owner.
Some of those signature dishes never left the menu. Edible Connecticut reported that several of Water Street's dishes had been served since the restaurant's 1994 opening, and diners quoted in the Daily Voice piece singled out the skillet chicken, the warm duck breast salad and the crispy crab spring rolls as recent favorites. Those staples echo the restaurant's earlier reputation: a 1997 New York Times review by the same name called the warm duck salad a gratifying light lunch and praised the seared duck and scallops as an entree worth ordering again.
Loyalty That Outlasted a Fire
The cafe's following proved durable even through hardship. Edible Connecticut's report noted the overwhelming community support the restaurant received after a 1997 fire destroyed its second location, support that helped keep the business running in the decades that followed. Longtime customers Mike and Lori Paolella told the outlet they had eaten at Water Street Cafe since the day it opened, praising its fresh fish, classic dishes and staff, while customer Rebecca Higgins said the skillet chicken was her favorite and called the staff and atmosphere the best around.
That loyalty was visible again this week. One customer, cited in the Daily Voice report, called Water Street Cafe a community staple with amazing food, drink and service as word of the closure spread. The restaurant's Facebook page lists nearly 3,000 followers and thousands of check-ins, reflecting the kind of neighborhood staying power the owners built over 32 years in the borough.
What Comes Next for Regulars
For now, the focus is on the final week of service. The owners have encouraged customers holding unused gift certificates to redeem them before the restaurant closes Saturday night, and no information has been released about what, if anything, might follow Water Street Cafe at the Water Street address.
