Santa Barbara City Council Clears Legal Barriers to Purchase Homeless Shelter at Cacique Street

The Santa Barbara City Council approved an ordinance amendment allowing the continued operation of the homeless shelter at 816 Cacique Street.

At the January 13 City Council meeting, councilmembers unanimously approved consent calendar items that removed legal restrictions tied to the former People Assisting the Homeless (PATH) shelter, allowing the City to move forward with purchasing the property and maintaining shelter services.

The ordinance amendment updated conditions tied to an older conditional use permit that had restricted ownership and operation of the facility. With those restrictions amended, the City is now legally able to purchase the property and directly support shelter operations.

As part of the consent calendar, the council also approved a second amended restricted use covenant for the property and amended the fiscal year 2026 budget to allocate $1.59 million in Measure C funds. The funding will support Mercy House Living Centers’ interim shelter operations while the City develops a long-term service arrangement.

In December, the City Council approved the purchase of the property at 816 Cacique Street from PATH for $3.75 million. The total project cost is estimated at $4.06 million, including inspections, life-safety upgrades, and related expenses, as previously reported by Edhat.

The purchase will be funded through Measure C. The 24,423-square-foot facility serves approximately 100 people.

The transition is expected to be completed in early 2026.

In preparation for the purchase, the City arranged to continue services after PATH’s scheduled exit on December 31, 2025.

The City entered into an agreement with Mercy House Living Centers to provide interim services beginning December 1, 2025. Shelter operations include overnight accommodations, meals, access to health care, case management, and housing navigation support.

The ordinance approval comes when there has been rising concern about vulnerability and public safety. During a ceremonial proclamation for Human Trafficking Awareness Month, officials noted that homelessness and housing instability increase the risk of exploitation, abuse, and harm, underscoring the need for stable, managed shelter environments.

The City plans to issue a request for proposals by March 2026 to select a long-term shelter service provider for the Cacique Street facility. Mercy House will be eligible to apply, and its interim performance will be considered as part of the evaluation process. City officials said the goal is to secure a provider that supports pathways out of homelessness.