The City of Santa Barbara Waterfront Department and the Harbor Restaurant Announce Settlement of Litigation and Partnership for the Future

Today, the City of Santa Barbara and The Harbor Restaurant resolved their past disputes and agreed to move forward together, working toward a brighter future for the restaurant, the City, Stearns Wharf, locals, visitors, and all who love what makes Santa Barbara an incredible place to live, work, and play.

Over the past several years, since the COVID pandemic, The Harbor Restaurant on Stearns Wharf has changed ownership and recently modernized its venue, menu, service, and style. With new leadership in place, the City and its tenants are finding ways to collaborate to restore this once-thriving epicenter where locals and visitors can enjoy stunning views of our exceptional oceanside community. The settlement resolves a number of outstanding issues, including payment of past-due rent and restructuring of lease terms, allowing The Harbor Restaurant to continue its rehabilitation and rebuilding process and supporting the successful redevelopment of this key property on Stearns Wharf.

"We settled our lawsuits with the City during a nine-hour mediation that saw a great deal of cooperation and commitment by all involved. The City and the owners of The Harbor Restaurant were able to resolve outstanding rent, credits for improvements, additional improvements, and reached agreements regarding ongoing rent pending a new lease with options that guarantee the City will receive market rent for the property," said John Thyne, attorney and one of the owners of The Harbor Restaurant. He and his partners, Olesya Thyne, Eugenio Sanchez, and Carolina Jimenez, look forward to working collaboratively with the Waterfront Department and the City.

"We believe this settlement represents a new beginning for The Harbor Restaurant, and we look forward to ensuring the public is served not only by guaranteeing that market rent is collected for the premises, but also by ensuring a first-class restaurant is available at this Stearns Wharf location seven days a week. We are encouraged by the number of new business owners investing in the Waterfront District and are eager to partner with The Harbor and others to maintain a vibrant and thriving business community at Stearns Wharf, the Marina, and the Harbor," said Kelly McAdoo, City Administrator.

The Harbor Restaurant and the City of Santa Barbara thank their mediator, John Derrick, for a job well done.

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