State Street Keeps Coming and Going

Not that it was a big surprise, but Pacific Capital Retail Partners, managing partner of Paseo Nuevo Shops and Restaurants, closed on the building sale of the former Macy’s at the end of January and is now in control of its future, whatever that may be. 

With its sagging, brown wrapping paper-shrouded windows, the three-level building has been vacant for more than a year with no possible tenant in sight. 

“Rumors abound about what the fate of this building will be including housing, a boutique hotel, gym and more,” said commercial real estate broker Natalie V. Wagner in her latest newsletter, “It’s too soon to tell how this piece of the downtown puzzle will fit into its whole. Stay tuned to my newsletter and social media for more updates.” 

Paseo Nuevo management indicates some pop-up shops might inhabit the building in the year ahead. 

Meanwhile, the owner of the former Tonic Nightclub, near the former Macy’s around the corner of State and Ortega streets, says he’s not sure who might rent the 4,000-square-foot space, which has seen little activity since last fall. He seemed somewhat surprised when asked if it might be use for a pop up. 

Several State Street storefronts are making themselves available as pop ups, including the former Radio Shack space on the 600 block.

Wagner notes that, “Two vacancies on the 700 block of State Street are alive once again with Bibi Ji filling the turnkey restaurant space at 734 State St., and Japan-based retailer Miniso opening its doors at 733 State St. Additionally, you will soon be able to fill up on poke and Thai-style rolled ice cream (yum!) at 716 State St., which was previously MAC Cosmetics.” 

Wagner notes that Silver Wines has opened its first downtown tasting room at 813 Anacapa St. in El Paseo, next to 24 Hour Fitness. “Corazon Cocina is expanding in the Public Market by scooping up adjacent space to their current location,” she said. “Saratoga Turkish Bazaar has moved three doors down to 1015 State St., and is now open with new offerings.”

The multi-tenant commercial building at 1019-1021 Chapala St., which houses Select Staffing and Santa Barbara Ballet, has come on the market at $3.2 million, Wagner said. “And 631-633 Chapala St. is back on the market as an owner/user or investment opportunity at $2.175 million,” she said. 

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