That first-sip feeling has arrived on Santa Barbara’s Eastside.
A Starbucks coffee shop opened last week at the corner of Milpas and Gutierrez streets, the site of a former 7-Eleven.
It’s the first Starbucks on the Eastside, saving people a trek up Coast Village Road or downtown.
The iconic coffee brand has struggled financially in recent years after decades of outpacing its competitors. Starbucks hired a new CEO and since has simplified the menu with fewer drink options and cut positions to increase revenues.
It is also attempting to speed up orders, allow shift-trading, change dress codes and require baristas to write happy notes on cups and lids.
According to its second-quarter report for 2025, North America comparable store sales declined 1% year over year and 2% in the United States. The company opened 213 net new stores in the quarter, ending with 40,789 stores.
As Santa Barbara welcomes a Starbucks on the Eastside, however, it apparently is going to lose one downtown. According to Hayes Commercial Group, the Starbucks at the corner of State and Victoria streets soon will be exiting the space.
State Street Retail
Retail storefront vacancies are at 12% for Santa Barbara’s State Street, the lowest they have been in five years, according to Hayes’ first-quarter report.
Businesses signed five new leases between the 400 and 1300 blocks. Among them:
- Pascucci Italian restaurant leased 1230-A State St.
- Mevra Kamaci leased 909 State St. for a clothing and jewelry shop.
- Arrediamo Rugs signed a lease for 911½ State St.
- The Shade Store renewed its lease at 635 State St.
- In Paseo Nuevo, the bottom floor of Nordstrom, about 33,000 square feet, is being marketed exclusively for retail use, according to Hayes.
Cristian Granada Joins Loquita
Cristian Granada is the new executive chef at Loquita Santa Barbara, 202 State St.
Granada brings formal training from Colombia and Spain, “along with a passion for innovation rooted in cultural tradition,” according to a news release.
“We’re excited to welcome Cristian into this leadership role,” said Skyler Gamble, director of operations at Acme Hospitality. “His deep respect for Spanish cuisine and commitment to excellence align beautifully with Loquita’s vision. I’m confident that our guests will connect with the creativity and heart he brings to every dish.”
The chef previously worked at Xiquet by Danny Lledó, a Michelin-starred restaurant, and was executive chef at El Secreto de Rosita in Washington, D.C. He “led a vibrant fusion of Latin American flavors with European and Asian techniques, reimagining tradition through a contemporary lens,” according to a news release.
Bettina’s Spinoff Nears Opening
Tina’s Pizza is set to open May 22 in Linden Square in Carpinteria.
“This has been such a long time coming, and we can’t wait to share this project with you, ” the company said in an Instagram post.
The restaurant, a spinoff of Bettina Pizzeria, will offer “the same naturally leavened, thoughtful pies as Bettina, along with salads, meatballs, snacks and a gorgeous provisions shop.”
Grocery Outlet Bargain Market Opens
A Grocery Outlet Bargain Market opened Thursday as the anchor in a new development at the eastern entrance to Orcutt.
The store, at 1620 E. Clark Ave., will operate from 8 a.m. to 9 p.m. seven days a week with Bryan Lutz as the independent owner-operator.
The grand opening celebration Thursday morning included a $1,000 donation to the Supporting Orcutt Academy’s Academic Resources Foundation.
The building sits in the Orcutt Gateway Retail Commercial Center, south of East Clark Avenue and west of Highway 101 — an area dubbed Key Site 2 in the Orcutt Community Plan. That document is a blueprint for future development.
Other Grocery Outlets stores in the North County are at 1948 S. Broadway in Santa Maria and 316 E. Ocean Ave. in Lompoc.
In Santa Barbara, a Grocery Outlet sits at 2840 De la Vina St.
Grocery Outlet, which opened in 1946, has more than 400 stores.
Noozhawk North County Editor Janene Scully contributed to this report.