The Haley Hotel opened about three weeks ago.
“We wanted to have a hotel run by locals,” said John DeWilde, general partner. “We thought there was a need in Santa Barbara for more hotel rooms.”
The hotel has 17 rooms with prices ranging from $165 to $250 on a busy Saturday night.
“We're proud of our team,” DeWilde said, adding that the hotel wants to promote local businesses — like serving Handlebar Coffee at the hotel.
They rented every room this past weekend and after the hotel was added to Expedia, they were able to book 40 rooms over the next few weeks, he said.
DeWilde said the area is developing and shows great promise.
“There's a lot of energy and enthusiasm,” DeWilde said.
The rents on Haley Street are also cheaper, he said, which allows new businesses to come in.
“It's kind of a creative area,” he said.
The Santa Barbara City Council on Tuesday added the first block of East Haley Street, where the hotel is located, to its State Street sit-lie ordinance.