UCSB to Buy 78-Unit Apartment Building, Commercial Space in Downtown Santa Barbara
Purchase Includes Former Staples Property on State Street, Apartments for Staff and Faculty
UC Santa Barbara announced the purchase of multiple properties in downtown Santa Barbara, encompassing a whole city block near the corner of State Street and East Gutierrez Street. The largest property in the deal, the 78-unit Soltara apartment complex, will be utilized as “economically viable” workforce rental housing for campus staff and faculty members, according to a statement released by UCSB officials Thursday.
Also included in the debt-financed acquisition is Reid’s appliance store on the corner of Anacapa and East Gutierrez — which will remain in place through its five-year lease — and a 18,000-square-foot commercial space that was formerly home to Staples on State Street.
The property deal was approved by the UC Board of Regents back in November, and the sale is expected to close by the end of this month. The terms of the deal have not been disclosed, though university officials have said that the property will be “self-supporting,” with rents fully covering the mortgage payments.
UCSB’s decision to invest in three buildings in the heart of downtown Santa Barbara marks the first time the university will have a permanent presence in the city’s center. The move is also considered a major step toward the revitalization of State Street and the downtown area, bringing workforce housing and a new space for UCSB events and programming.
In the coming months, university officials will work with Santa Barbara city leadership, downtown businesses, and the campus community to brainstorm what ways the former Staples storefront could be used for community benefit. Some early possibilities include an event space for lectures or performances, co-work offices, or a community “innovation hub” and maker’s space.
“UC Santa Barbara is extremely proud to be part of the Santa Barbara community, and we are tremendously excited about the opportunity to establish a permanent presence on State Street,” said Chancellor Henry T. Yang. “The university has always appreciated collaborating with partners across the county for the betterment of the entire region, and we look forward to working with the city of Santa Barbara and the local community to identify possibilities for this new space that will support downtown and benefit the entire area.”
The residential piece of the property acquisition, a 78-unit apartment complex built by developer Peter Lewis and completed last year, will be slowly transitioned into housing for university faculty and staff. About 50 of the units are currently occupied by tenants who moved in within the last year, and while all the current leases will be honored, the remaining units will be filled over time by campus faculty and staff.
The remaining units, if any, will be offered to local public government employees, school teachers, first responders, and other public agency workers.
“Although the initial number of available units is limited and a rental process for university employees is still being developed, significant interest among existing faculty and staff in downtown living is anticipated,” university officials said.
The 78 downtown units are part of UCSB’s plan to provide more housing for its students and workers. Another project bringing 540 workforce housing units along Ocean Road is slated for development over the next few years, and the UC Board of Regents recently approved designs to build 3,500 beds for students at San Benito and East Campus.
Santa Barbara City Administrator Kelly McAdoo said the city is “thrilled with the investment” UCSB is making downtown.
“We have been in conversations with key UCSB team members for a number of months discussing opportunities for partnership,” McAdoo told the Independent. “We look forward to the activation of downtown this will bring as well as the provision of critically needed workforce housing in our community.”
Mayor Randy Rowse — a proud Gaucho graduate who arrived in Santa Barbara to attend UCSB in the ’70s and never left — said that his alma mater making a move to downtown is the “town and gown” connection that has been “missing for a long time.”
“This is exciting news for the city and particularly for me as a Gaucho alum who has been working on inroads with UCSB since my council days,” Rowse said. “It’s also one more major energy injection to our downtown.”
