This week in Santa Cruz County business: La Bahia prepares for opening, Santa Cruz offers new storefront beautification grant, next steps for Soif 2.0

Each week, we’re taking a closer look at the movers and shakers, the growth of industries and what’s really driving the Santa Cruz County economy. I’ll be spotlighting some of the biggest areas for opportunity, updates on local development and all things underpinning the regional business scene each Wednesday.

Got ideas? Send them my way to news@lookoutlocal.com with “Business News” in the subject line.

At long last, Santa Cruz’s much-hyped luxury hotel to welcome first guests

Santa Cruz’s first luxury hotel and spa is expected to host its first guests in the coming weeks, with reservations slated to begin Sept. 8, according to a hotel spokesperson. La Bahia Hotel and Spa on Beach Street, across from the Santa Cruz Beach Boardwalk, features 155 guestrooms as well as two restaurants and bars that will be open to the public. A ribbon-cutting is scheduled for Wednesday afternoon. 

The new hotel opens following years of efforts to restore or revitalize the former La Bahia Apartments, which fell into disrepair amid bureaucratic and development delays. Workers broke ground in September 2022 on the project, a joint venture between Ensemble Hospitality and the Santa Cruz Seaside Company, owners of the Beach Boardwalk. Ensemble also owns the Dream Inn in Santa Cruz. 

My colleague Wallace Baine got a sneak peek at the still-under-construction hotel back in January. Read that here.

Santa Cruz city officials seeking applications for storefront beautification grants

A new storefront beautification program will help businesses located in the city of Santa Cruz improve their facades. The program offers grants of up to $15,000 for storefront upgrades that meet the eligibility criteria on a first-come, first-served basis.

FUTURE OF DOWNTOWN: Read Lookout’s series here

Projects could include exterior improvements like new signage and new paint jobs. Eligible properties must be a commercial storefront property in the city of Santa Cruz that serves a retail, food service, ground floor office or personal service use. The business or tenant must also have a license to do business in the city, and there can’t be any active code violations on the building or business. 

Funds are limited, so grants will be administered in order of completed applications received until the resources are exhausted. More details and the application are here.

ICYMI: At former Caffe Pergolesi site, a new incarnation of Soif takes shape

A hearing before the Santa Cruz Historic Preservation Commission scheduled for next month is expected to help drive progress on transforming the former Caffe Pergolesi building into a new wine bar and retail shop.

Andrea “Dede” Eckhardt and Alexis Carr worked for Soif Wine Bar and Merchant for years before taking the reins of the business from owner Patrice Boyle when its Walnut Avenue location shuttered in 2023. Since then, the pair have been planning to open Soif 2.0 in the former Dr. Miller’s building at Cedar and Elm streets in downtown Santa Cruz.

The next step of that journey is a review of their proposed plans at the Sept. 17 meeting of the Historic Preservation Commission to ensure that any renovations or repairs maintain the historic integrity of the 1880s-era Victorian building. Once they get the green light from that commission, they’ll be able to submit their plans to the city’s building department to obtain approval/permits for renovations. Read more here.

Ch-ch-changes: Openings, closings and other developments

• Santa Cruz New Leaf store to open next month: New Leaf Community Markets is slated to open its new store in Gateway Plaza on River Street in Santa Cruz on Sept. 27. The company closed its downtown Santa Cruz store, on the corner of Pacific and Soquel avenues, in October in preparation for a new, larger store, similar to its new Capitola store. 
• Firefly Coffee House opens in former Paula’s spot: Firefly Coffee has opened a third location in Pleasure Point, taking over the former Paula’s breakfast joint at 3500 Portola Dr. Paula’s closed earlier this year following the death of the restaurant’s owner, Russell Fox. Firefly Coffee also operates cafes on Front Street in downtown Santa Cruz and on Commercial Way in Live Oak. 
• Jet Set Bohemian closes Aptos store: Consignment store Jet Set Bohemian shuttered its location on Soquel Drive in Aptos this past weekend, after more than 30 years. The store will consolidate with Jet Set’s location next to the Rio Theatre in Santa Cruz, which will be open seven days a week starting on Sept. 1. 
• Sheriff’s substation to take over former wine tasting room: The Santa Cruz County Sheriff’s Department is opening a new substation in Davenport, taking over the space that previously housed Bonny Doon Vineyard’s tasting room. The winery closed its Highway 1 location in late 2019. Beauregard Vineyards later opened the Slow Coast Wine Bar there, but closed it in 2023. The new substation is expected to open this fall.
• Founding Alderwood chef takes the helm at harbor restaurant: Jeffrey Wall is the new head chef at Johnny’s Harborside in the Santa Cruz Harbor. The move comes as businesses in the harbor and Seabright area are struggling with reduced foot traffic amid the Murray Street Bridge construction project. The restaurant also has a new owner, Ciera Kash, whose father previously owned the restaurant. Wall left his position as executive chef at Alderwood Santa Cruz in March 2024, having worked there since the restaurant’s 2018 debut. (Alderwood Santa Cruz closed at the beginning of this year.)

• Capitola gains new wine bar from industry vets: Capitola Village’s newest wine bar is run by two sommeliers from Carmel’s Michelin-starred Aubergine restaurant. Vin Vivant opened in the former Capitola Wine Bar on San Jose Avenue. Read Lily Belli’s full story here. Also new to the village this summer is Cocoa Vino, a wine and chocolate bar that quietly opened in June on Capitola Avenue. 
• Credit union hires new community engagement manager: Santa Cruz-headquartered Bay Federal Credit Union appointed Amanda Gamban as its new community engagement manager. Gamban was previously the program and communications manager at United Way of Santa Cruz County. She brings more than eight years of experience in the social impact sector, including expertise in program design, marketing, communications, fundraising and event management.
• Goodles hires longtime food business executive for new operations role: Santa Cruz-based macaroni and cheese company Goodles has brought on Monica Sejour as its new senior vice president of operations to help manage everything from procurement to distribution. She joins the company from Sovos Brands, the parent company behind brands like Rao’s Homemade and Noosa yogurt, which was purchased by the Campbell’s Company last year. Since launching in 2021, Goodles has quickly expanded to national distribution in some of the biggest grocery stores and retailers, maintaining its headquarters in the Old Sash Mill. 
• Local real estate company owners honored with annual scouting award: Chuck and Ramona Allen of Watsonville are the recipients of this year’s 2025 Friends of Scouting Award from the Silicon Valley Monterey Bay Council, the regional chapter of Scouting America (formerly known as Boy Scouts of America). The award, given out at the annual Skillicorn BBQ this month, honors those who’ve supported scouting programs in the greater Pajaro Valley and Loma Prieta areas. The Allens own Chuck Allen KW Ag & Commercial, a Watsonville-based real estate company, and previously owned the former Rodeway Inn on Beach Street. The pair is also are actively involved with the Pajaro Valley Historical Association and numerous other community and nonprofit organizations in the area.
• Boardwalk executive joins state travel organization’s board: Karley Pope, director of sales and marketing at the Santa Cruz Beach Boardwalk, is now on the board of directors for the California Travel Association. The statewide organization advocates on behalf of the travel, tourism and hospitality industry, serving more than 230 member organizations including resorts, airports, universities and transportation companies. Pope has worked for the Boardwalk since 2004, starting as director of promotions and entertainment. 
• Three local companies named to 2025 Inc. 5000 list: Santa Cruz-based solar energy company Mynt Systems, digital health company Murj and cybersecurity company Bastille Networks are included on this year’s Inc. 5000 list, which recognizes the fastest-growing companies in America. Inc. Magazine’s annual list ranks companies according to their percentage revenue growth between 2021 and 2024, and must be privately held, for-profit and based in the U.S. to qualify. See the full list here.

Got hires, promotions, or departures to report? Send them to news@lookoutlocal.com with the subject line “Career changes.”

What’s new on the Lookout Job Board

• Clinic Nurse II at City of Santa Cruz
• Assistant Director for the Colleges at UC Santa Cruz
• Part-Time Marketing & Social Media Coordinator at Kuumbwa Jazz
• Coordinator for Residential Education at UC Santa Cruz
• Engineering Technician I/II at Scotts Valley Water District

Want more? Browse all openings on our job board. | Hiring? Post your job today!

Looking at the numbers

• $15.9 million: That’s how much a 4,715-square-foot home owned by the creator of Apple Face ID will set you back. The home on East Cliff Drive, aptly dubbed “East Cliff,” overlooks the ocean and includes four bedrooms, four baths and a game room, according to the real estate listing. It’s owned by Susie and Steve Hotelling. Steve Hotelling is a former Apple engineer known for transforming the way iPhones look and feel, namely through technologies like Face ID and Touch ID, for which he’s credited on the patent. 

Save the date

• Saturday, Sept. 6: The Santa Cruz County chapter of the American Association of University Women is hosting a free panel discussion on Watsonville women’s leadership at the Watsonville Public Library from 1 to 3 p.m. Panel participants include Watsonville Mayor Maria Orozco, Cabrillo College professor Ekua Omosupe, Pajaro Valley Unified School District trustees Joy Flynn and Jessica Carrasco and Watsonville City Councilmember Vanessa Quiroz-Carter, among others.
• Tuesday, Sept. 16: The Santa Cruz Area Chamber of Commerce, Dientes and Santa Cruz Community Health will host the next business after-hours event from 5 to 7 p.m. The event takes place at the outdoor plaza between the new Santa Cruz Community Health Center and Dientes clinic at 1500 Capitola Rd. The CEOs from both organizations will speak at the event, which also includes networking and refreshments. Register here.
• Saturday, Sept. 27: El Pajaro Community Development Corporation will hold Mujer al Mando, a business and leadership conference for women from Santa Cruz, Monterey and San Benito counties. The event includes interactive workshops, panel speakers and networking opportunities. It takes place from 9 a.m. to 2:30 p.m. in the community room of the Watsonville Civic Plaza. Tickets, which are $30 in advance or $40 at the door, are available here.
• Friday, Oct. 17: Registration is now open for the 2025 State of the Region event, hosted by the Monterey Bay Economic Partnership. The event takes place at the University Center at Cal State Monterey Bay in Seaside from 9 a.m. to 4 p.m. The event focuses on economic opportunities and challenges in Santa Cruz, Monterey and San Benito counties. This year’s speakers haven’t been announced yet. 

Add your business or networking events to Lookout’s free public calendar, BOLO. Click here to add your event.

Business news worth reading

• Bed Bath & Beyond chairman says he won’t reopen stores in “overregulated, expensive and risky” California (Los Angeles Times)
• Major Calif. food processing factory closing, leaving state after 78 years (SF Gate)
• Port of Oakland container volume surges in July as tariff jitters drive shipping activity (Local News Matters)

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