The 75-room Hotel Santa Barbara, an iconic landmark property in the heart of the coastal city’s vibrant downtown, has been listed for $49 million.
“This boutique hotel is located in the well-traveled, world-famous Spanish Colonial Revival-themed Lower State Street corridor, five city blocks from Stearns Wharf and Santa Barbara Harbor,” said Aaron Valenty, who has listed the hotel along with fellow commercial agents Mark Simon and J.J. Gobbell. “It is an incredible opportunity to own a piece of Santa Barbara history that has been lovingly updated as a premier destination surrounded by the best the city has to offer.”
“We are honored to have been selected to represent the seller of this fabulous property, and are committed to providing the utmost in attentive service to potential buyers,” J.J. added. “We recognize the special place Hotel Santa Barbara holds within the community, and are dedicated to helping preserve its heritage in every way possible.”
A hotel has occupied this site since the mid-1800s. After the 1925 earthquake that destroyed the prior hotel, the owner vowed never to lose another building to an earthquake, and constructed the new hotel, Saint Barbara, out of solid steel-reinforced poured concrete.
“Since the hotel’s reopening in the 1960s as the Hotel Santa Barbara and being acquired by the current owners in 1975, there have been several remodels, with major renovations in 1996, 2013, and most recently 2019,” Aaron said. “Under the current ownership, the hotel was not only restored to its original luster, but also has thrived, adapted, and overcome through the decades to become one of the crown jewels of Santa Barbara.”
Situated on a 25,000-square-foot lot, the hotel at 527-533 State Street features a lobby, two meeting rooms, a small kitchen used for lobby breakfast service (currently on hold due to COVID-19), and six ground-level retail spaces along State Street, anchored by Starbucks Coffee at the immediate corner. In addition to the tenants, the rooftop space is leased to a cell tower company.
The single U-shaped building is served by a rear surface parking lot with 23 spaces, which offers many repositioning opportunities. The hotel is roughly 39,305 square feet in size, while the retail spaces are a total of approximately 6,105 square feet.
“This is such a wonderful location,” J.J. said. “Right near the hotel is the open-air, picturesque Spanish-style Paseo Nuevo shopping center, wine-tasting rooms, plus the historic La Arcada Plaza which includes restaurants, art galleries, shops, and world-class entertainment venues such as the Granada Theatre, Lobero Theatre, and Arlington Theatre.”
Aaron Valenty has been involved in real estate since 2005. Over the course of his career, he has received several top sales accolades, a fact he credits to his focus on providing prompt communications and honest advice. He has strong ties in the local neighborhoods and a vast understanding of the nuances that each has to offer.
Mark Simon specializes in sales and leasing of commercial and residential properties along the Southern California waterfront. Using a combination of high tech-tools and old-fashioned know-how, Mark and his team know how to give clients the edge over the competition.
J.J. Gobbell, a real estate consultant for over 30 years, also has an extensive background in residential and commercial real estate appraisal. He achieved the MAI (Member, Appraisal Institute) designation in 2006. Such experience is critical in many areas, including setting the appropriate listing price for a seller as well as when negotiating the best purchase price for a buyer.