An area real estate investment and development company, Capitoline Properties, LLC, recently took ownership of the Santa Barbara Tourist Hostel to capitalize on its prime location.
Santa Barbara’s first and only hostel is located at 134 Chapala Street, by the train station and the city’s blossoming Funk Zone. “We believe the Funk Zone’s proximity to the beach as well as the types of businesses that have opened up will make the area a very long term destination for locals and tourists,” said Jared Filippone, Vice President of Capitoline Properties.
Filippone said the company plans to purchase new furniture for the kitchen, lobby, dorm rooms, and private rooms, as well as take care of some deferred maintenance. “We will also be looking to form relationships with local bars, restaurants, bike and surf rentals and other activity vendors to provide our guests with all that Santa Barbara has to offer,” Filippone said.
The purchase was a slight stray from Capitoline’s usual investments in multi-family apartment complexes on California’s Central Coast as well as in Bozeman, Montana. This is the second local acquisition Capitoline has made this year, the first being The Tahitian apartments in Isla Vista.
That purchase was the largest sale of a multi-family property in the South Coast in 2013. Capitoline currently manages about 180 units, including The Tahitian apartments and a building in Orange, CA. Filippone declined to identify the hostel’s previous owner or disclose details on the sale.