Low bone mineral density (BMD) is common in older adults, occurring in up to 56% of women over age 50 years. This condition increases the risk for falls, fractures and restricted independence. Limited research exists on the combined effect of diet and exercise interventions on BMD in this population. The purpose of this study was to examine the impact of a behaviorally‐based diet and exercise intervention on BMD in older obese women. Twenty‐six obese women (mean age 61.5±6.0 years; mean body mass index 34.3±4.0 kg/m 2 ; mean total BMD T‐score: 1.1±0.1) were randomly assigned to either a diet education group (DE) (n=13) or a diet education plus Tai Chi group (DETC) (n=13) for 16 weeks. Both groups received 45 minutes of diet education per week for 16 weeks. Those in DETC also participated in three 45 minute Tai Chi classes three times a week. Dual‐energy X‐ ray absorptiometry (DXA) was used to evaluate total body and femoral BMD. There was no significant change in total body (DE 1.08±0.3 vs 1.09±0.3 and DERT 0.93±0.3 vs 1.00±0.3) or femoral BMD (DE 0.98±0.12 vs 0.97±0.05 and DERT 1.00±0.9 vs 1.00±0.08) in both groups. The combination of diet education and Tai Chi did not impact BMD more than diet education alone. This may be due to the short duration of the study. Further research is needed to clarify the separate and/or combined roles of diet education and Tai Chi in this population and to study the long‐term effects.