The recent posting of an Alcoholic Beverage Control sign on the Ellwood Restaurant at Goleta Beach triggered a wave of online speculation that the restaurant, which just opened in February, was experiencing tough times and already changing hands.
Both suggestions are not true, said co-founder and co-owner Omar Khashen. Rather, when the restaurant finished construction, the existing investors put in more money to cover the final costs. As some put more than others, the percentages of ownership changed enough to require an updated license from the ABC.
The restaurant, meanwhile, is doing well. “We’re had consistent numbers since we opened,” said Khashen. “Hopefully that continues to grow.”

With the Ellwood’s team working well, he’s been spending more of his recent time working on opening Lily’s Donuts & Pops, which will be coming to both 504 State Street and the S.B. Public Market.
“That got started when the Ellwood was taking so long,” said Khashen. “But then that ended up taking two-and-a-half years going through permitting with the city.”
He just got approval for the State Street location about three weeks ago, and expects the Public Market approval soon. “We are about to go full bore on construction for both of those and try to get them open before the end of the year,” he said.
The second phase of development at Goleta Beach is moving along too, as Khashen and his team are working with the county to finalize the more casual outdoor eatery and special events/live music space next to the Ellwood. The county is currently analyzing the specific designs for the layout, landscaping, and infrastructure. He’s also hoping that they will be functional by the end of the year.

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